South African corporates continue to face multiple macroeconomic challenges, forcing them to reassess their current business models. These assessments often lead to a business having to restructure itself, which may bring about the sale of properties that are no longer serving the new business model or agreed upon direction. The disposal of such properties creates property investment opportunities for other businesses to take advantage of as these properties would otherwise never be on the market.
One such property investment example is the corporate disposal of a former motor showroom in Gauteng which was brought to market by Nexus Property Group. Located on the high traffic corner of Westinghouse Boulevard and Edison Road, Vanderbijlpark CE 6, this former motor show room was sold by a listed entity as the business unit operating from the site has been moved.
The reasons for the sale in this instance was quite simply related to macroeconomic factors which led the company to downsize across the board. This, however, presented a property investment opportunity for local businesses – particularly owner-occupiers.
Extending over 2 450 m², the property has a Gross Lettable Area (GLA) of 3100m2, consisting of a ground floor (2 050 m²) and first floor (1 050 m²). Sold with vacant occupation and boasting ample parking, this property also has great exposure and offers easy access to the R42 (Barrage Road).”