Cape Town industrial property vacancies continue to reduce
The amount of vacant industrial premises to rent in Cape Town has steadily been reducing for the last 24 months. This is according to Tony Bales of Epping Property, industrial property specialists who track the level of vacant space available for tenants to rent in the greater Cape Town area.
The company’s latest Epping Industrial Property Index has been released for the fourth quarter of 2013 (Q4). “As Epping is the most central and largest industrial area in Cape Town, its statistics can be regarded as a proxy for the rest of Cape Town,” says Bales.
According to the Epping Industrial Property Index, the average size premises available to rent in Epping has decreased significantly from 2 330m² to 1 650m², and the average (weighted) asking rental has risen to R37.15/m².
“This is due to a number of recent (second half of 2013) larger lettings as well as a number of new vacancies of smaller spaces,” advises Bales. “The total space available to rent in Epping has decreased steadily for the last eight quarters and it is an interesting fact that there are not too many larger spaces left to rent in Epping.”
“This shortage of larger, more modern premises has prompted various landlords and developers to initiate projects to cater for this market and these statistics show the continuing confidence medium and large businesses have in Epping – both as property owners and property users. Epping continues to offer good all-round value to owners and tenants, both financially and in terms of location,” concludes Bales.