The FNB Commercial Property Broker Survey surveys a sample of commercial property brokers in and around the 6 major metros of South Africa, namely, City of Joburg and Ekurhuleni (Greater Johannesburg), Tshwane, Ethekwini, City of Cape Town and Nelson Mandela Bay.

In this report, we discuss the 2nd quarter 2020 results of the rental market component of our FNB Commercial Property Broker Survey, which surveys a sample of commercial property brokers in and around the 6 major metros of South Africa, namely, City of Joburg and Ekurhuleni (Greater Johannesburg), Tshwane, Ethekwini, City of Cape Town and Nelson Mandela Bay.

“The COVID-19 Crisis has changed the world a lot, perhaps less through introducing new trends and more through speeding up old trends,” said John Loos, FNB Economist at an FNB Commercial Property Finance (CPF) webinar earlier today.

On Sunday evening, the President announced a relaxation in COVID-19-related lockdown measures, from level 4 to level 3 as from 1 June, which means the opening up of most retail activity, excluding restaurant and pub facilities.

In a recent note, we indicated that, in the “post-lockdown” recessionary period we would likely see the direct economy-related pressures being more severe on the Industrial Property Sector, via a very weak.

In a downturn, Property Market Values can deviate dramatically from the market “equilibrium” value, a value which can be far lower than market in recessionary times due to strong resistance by the market to dropping values to make the sales.

As in the case of the buying/selling market survey, brokers perceive the most buoyant conditions to be in the Industrial Rental Market.

Will electricity supply reliability and cost increases become a key issue again in 2020?

Sub-1% economic growth insufficient to curb vacancy rate rise and unlikely to prop up real property values at recent levels'.

On a year-on-year basis, Total Restaurant, Catering and Take-Aways Retail Sales Income growth recorded 5.2% in September.

Page 1 of 12

Most Popular

Business parks thrive as industrial tenants seek value

Sep 10, 2020
Rael Levitt
Business parks are coming into their own as a viable asset class in commercial real…

Growthpoint grants R436m rental relief to struggling tenants, impacting its full-year distributable income which was down 14.8%

Sep 10, 2020
Norbert Sasse Growthpoint Properties Group CEO
Growthpoint Properties Limited (JSE: GRT) delivered 5.4% growth in revenue and R5.5bn in…

Creativity on the march across retail landscape

Sep 14, 2020
Belinda Clur MD
Creativity is on the march across the retail landscape as sector players get to grips…

Signs of increasing activity in the luxury residential property market

Sep 08, 2020
Clifton Property sold for R30m
As South Africa continues gradually emerging from the national lockdown, the luxury…

Strategy pays off as Spear REIT navigates Covid-19 challenges with 93.25% collections

Sep 18, 2020
Quintin_Rossi
Spear REIT Limited (SEA:SJ), the only regionally focused REIT on the JSE with exposure to…

Please publish modules in offcanvas position.