The prestigious Wale Street Chambers building has been rescaled to meet the needs – and pockets – of the modern business owner who values face-to-face interaction and the urban lifestyle.
Cape Town, – There has been a major trend towards converting existing office spaces into residential units in Cape Town’s coveted central business district.
The State of Cape Town Central City Report 2021 found the value of developments under construction or in the planning phase was R3.2-billion for last year alone.
The inner city construction boom, much of which involves residential conversions, has meant office stock levels in the CBD have been significantly reduced, driving up commercial property prices in one of the safest and most fashionable metropolitan precincts in the country.
This puts businesses wanting to be based in the CBD in a tricky position, particularly since fuel prices inevitably impact on operational and rental costs.
With many firms hoping to return to office-based work for greater staff interaction but in an environment that is quieter than it was pre-pandemic, with people now accustomed to less disruptions while working from home, this represents a considerable challenge.
Enter an exciting new development by the Klarey Property Group.
The prestigious Wale Street Chambers building on the corner of Wale and Long streets in the heart of the CBD is being upcycled and rescaled to meet the growing demand for bite-sized offices favoured by young and sophisticated IT professionals, investors, lawyers and entrepreneurs.
The offices are purpose-built to meet all the demands of the modern office worker.
All units are fibre-ready, include a UPS system ensuring uninterupted power, and are fitted with air conditioning – and all are easily accessed by three lifts in the building.
What’s more, there’s ample parking available in the building, ensuring that no one in your office is without a parking bay.
The beauty of the Wale Street Chambers development is that instead of renting bite-size office space at astronomical rates per square meter, it can be purchased at the same amount per month for you to own yourself.
Launched on the 7th November and developed by the Klarey Property Group, whose impressive resume includes The Harri in the East City Precinct, an architectural marvel boasting 48 high-end apartments, offices and retail spaces, Wale Street Chambers represents the future of work in the Mother City.
According to architect James Wilkinson, of W-Design, location in the inner city, where transport is already established and parking is available, is key to the new cellular business model. That the development is also located within walking distance of the Western Cape High Court, Company Gardens, Houses of Parliament, jazz bars, world-class dining, rooftop terraces, theatres and bars and nightclubs, also makes it ideal for working professionals who love to be at the centre of the action.
What really stands out is that the units, ranging in size from 112m² to 149m², are selling at a significant discount compared to the market price for offices in the CBD.
The show unit will be available for viewing from 28 November.
“The average selling price of commercial property in this price range is R22 000/sqm, so currently we are coming in at 20% cheaper than the market,” explains Jeffrey Kleu, investor and developer for the Klarey Group.
“Instead of renting, you can buy and only pay on average R1 975 more per month on your mortgage over a 10-year period in some cases. At the end of year 10, a business’s purchase deposit of R500 000 could be worth as much as R4.4-million as opposed to zero if renting.”
Depending on the bank used for finance, Klarey Group only requires a 10% deposit to secure a sectional title office, which will be included in the offer to purchase.
Owners can opt for a “grey box” or “white box”. With the white box option, they will be able to move their furniture in. The unit will be fibre-ready and will enable businesses to start working immediately.
With the grey box option, owners do their own floors and lighting, but the developers offer them a contribution towards selecting their own lights and flooring, enabling them to tailor their own office to a degree.
Highly sought after parking bays are also for sale at R150 000 per bay, a rarity when some developments in the CBD don’t even offer vehicle space. Owners also have the option of renting more bays from the body corporate, while there is alternative parking available at the old Christiaan Barnard Hospital 200m away. Every staff member in your team is guaranteed a parking bay.
“Capital growth in an area like the CBD has seen an average of approximately 6.5% per annum, while rental returns are between 7 and 9%. This gives investors an annual return of between 13 and 15%, which is an excellent return,” Kleu says.
The Wale Street Chambers offering comes at a time when the City of Cape Town aims to establish the city as one of the best in the world for ease of doing business. The city has already become globally-renowned as a leading tech and digital nomad destination and experiences less load-shedding than other parts of the country, while the efforts of the Cape Town Central Improvement District have reduced crime by 90% since 2000.
These promotive conditions mean it is the perfect time for businesses to set up in the CBD.
