Back in April, the highly sought after  ‘4 Apostle Steps Way’ plot in Clifton was marked for auction.

It was one of the last remaining plots in the area, so naturally, it attracted a lot of attention.

Now, another plot, located on the coveted Clifton fourth beach, is going under the hammer.

The auction is coming at a bit of a weird time if you take into account the current state of the high-end property market.

Over the last three years properties in Cape Town’s most affluent areas – from the Atlantic Seaboard to Constantia Upper – have seen massive price reductions of up to R10 million.

In fact, price reductions of between 20% and 50% in Cape Town’s luxury property market gave become the norm.

It’s definitely a buyers’ market out there.

With that in mind, let’s get a look at that rare Clifton plot up for grabs.

Over to BusinessTech:

According to Rodney Beck, a director at High Street Auctions, the freehold title is located on Clifton’s fourth beach and measures 417 square metres. Bidding on the property is expected to open at R15 million.

Citing data from real estate sales analysis databases such as PropStats, Beck said that only two Clifton bungalow plots have changed hands in the past decade.

“In fact, in the whole of Clifton fewer than 10 vacant land transactions have been recorded since 2009, with the total value of these properties in the region of R200 million,” he said.

In other words, it is very rare, and the location of the plot could be its saving grace in a buyers market.

“The tiny enclave around fourth beach, particularly, is in such demand that investors from across the world are prepared to pay a premium of millions for the most dilapidated, ramshackle cottages, which they then demolish because buyers are only interest in the land on which they stand.”

Plans for a triple-storey house have already been drawn up and approved by the City of Cape Town, so whoever makes the winning bid can start developing immediately.

“The total blueprint floor area, including balconies, spans more than 470 square metres.”

High Street Auctions lead auctioneer and director Joff van Reenen says the Clifton residential development site has sparked massive interest from bidders in South Africa and abroad.

So, if you have upwards of R15 million, go for it.

Then it’s time to get going on that dark orange tan popular amongst the Clifton locals.

[source:businesstech]