A champion estate that has stood the test of time
Category Residential Property News
The development of leading estates spans decades and during their lifetime they will be affected by the cycles of the property market. However, despite the bumps and the hiccups that slow things down, overtime excellent capital growth is achieved, says Myles Wakefield CEO of Wakefields Real Estate.
Take as an example Mount Edgecombe Country Club Estates I and II which, according to developers Tongaat Hulett Developments, have come to symbolise up-market living and have had a significant impact on property values in the area.
Historically Estate I – a residential estate developed around an 18-hole golf course - started as a golf club and course, the Huletts Country Club that traces its history back to 1924. In 1987 it was hit by floods and then a fire in 1988 which destroyed the club house. From this ruin the now acclaimed Mount Edgecombe Country Club Estate was born, according to the Estates’ website.
In conjunction with the concept of developing a residential component, Hugh Baiocchi was commissioned to introduce design improvements to the original golf course. In October 1989 the clubhouse was rebuilt, and between 1991 and 1995 sites for around 300 homes in five villages around the golf course were sold.
The outstanding success of the first Estate saw the 1994 start of plans for the second 18-hole golf course and larger 900-unit residential Mount Edgecombe Country Club Estate II, within a nature conservancy. Dyson, De Villiers and Van der Merwe designed the “challenging but fair” golf course which opened for play in 1997.
According to early press releases the first three Estate II villages - Bellerive, Merion and Greenbrier - were launched in October 1995 with a minimum land price of R140 000 and within the first six months sales had topped 85%.
Other reports state that land within the Estates was selling for between R100 000 and R200 000 with houses costing up to R900 000, and were considered expensive at the time.
By 2006 as the Estates neared being sold out there was last minute demand and one of the last remaining sites of 1033 square metres on Estate II sold for R4, 6 million. The average price in 2006 was just over R3 million and by 2011/2012 the average price was just over R5 million despite market conditions.
During this time there were some severe market ups and downs and interest rates that reached 25%, but Mount Edgecombe prevailed to become an excellent investment and a wonderful place in which to live.
29 May 2012
Author: Wakefields
