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De la Roche

Description

The project consists of a plot and plan development in Northern Paarl, bordering on Retief Street, of 229 living units. The developers are aiming to position the properties at the entry level of the market where there is a big shortage in Paarl. The layout of the development makes provision for a natural, tree-rich neighbourhood that is very true to Paarl.

Summary
  1. Term: 2-3 Years
  2. Minimum Investment: R 100,000.00
  3. Projected Return on Investment: 70% over 2-3 year period.
Opportunities

There have been no developments aimed at the entry level market in Paarl during the last 10 years. The recent developments in and around Paarl were aimed at the older, lifestyle market that is totally unaffordable to the entry level investor. In the more affordable market there are only apartments available. These apartments are in the market for approximately R600 000 for 40sqm. This development, in our opinion, will add to that market.

This development offers good value to the investor who wants to profit from the lively rental market in Paarl. The trend of more and more people swopping their city property for property in the nearby countryside contributed to a serious housing shortage in Paarl that lead to property values showing abnormal growth.

The big worry around the availability of electricity as well as all services have already been allayed by the local authorities.

Developer

The Developer, CAD Projects, consists of a small professional team based in Paarl. The owner has taken on an assortment of similar projects and completed it successfully.

Time Schedule

The planned time for completion is still approximately 36 months and it will run as follows:

Item Planned date of completion
Tenders for services July 2009
Services April 2010
Marketing September 2009
Transfers May 2011

Offer
  1. An investment in the De La Roche Development of R23,5 million that delivers a profit of R16,5 million over 36 months and is structured as follows.
  2. Newly formed company De La Roche Development (Pty) Ltd that buys the land from Marcelle Props CC and runs the development.
  3. 100 Normal shares of R1 each taken up by Merlot Trust or nominated.
  4. R23,5 million in convertible/releasable letters of debt that will be released inside the 36 month period. The profit from the letters of debt will be used to buy land for the development and to cover some of the development cost. The letters can at any time according to the choice of the direction be converted into shares. The profit from the letters of debt will thereafter be paid off on a 50% basis along with other capital suppliers with money yielded from plots.
Proposed Development

Residential

229 single residential living units (own title) that take up 350 - 500m2 in surface area are being suggested.

The differing plot sizes ensure that a humdrum, conventional town extension will be avoided and different categories of buyers can be accommodated in a single quality development.

The plots are being suggested with different orientations, street front breadths, surface areas, views, locations, etc. to offer potential buyers an assortment of living options and price classes.

A low living density of 14.9 units per ha is achieved with an 8m height restriction (the same as surrounding houses).

Contemporary houses that reflect the architecture of the area were prepared for the development by Wilhelm Basson Architects. Six to eight types of houses will be presented to proposed buyers on a plot and plan basis that will give surrounding owners, the aesthetical committee and residents the assurance that a quality development will be established here.

Business / Tourist Activities

The central farm building with its existing gardens and vineyards that directly border it is being suggested as an exclusive restaurant with office uses (as part of extending tourism in Paarl).

A surface area of 10 250m2 (1.25ha) with additional open spaces around the structure that serve as sighting lines, is being budgeted to ensure the integrity of focus inside the development.

The central location in the suggested development complements the use economically by means of "feet" or buying power coming from the development directly to the facility.

Aside from the fact that the open spaces around the farm building will be kept in order to strengthen the focus of the building, the orchards and established gardens also bring a quality open space central to the development.

Company Profile

M&B Architects

M&B Architects, who were formed in 1992, have a basic philosophy - "To create architecture that works".

It's a way of thinking that is reflected in every category of their work ranging from corporate headquarters to private residences. Regular reviews on projects are an essential part of their creative process which encourages a consistent level of design. Each project is monitored by a partner and with a highly qualified team facilitated by computer aided drafting and other state of the art techniques, a high level of professionalism is ensured. M&B Architects believe that good architecture should be functional and inspired by its excellence, which is the ideal for which they constantly strive.

Various prestigious developments previously and presently being undertaken include over 400 projects ranging from corporate headquarters to private residences. From commerce to industry.

Visser & Visser Quantity Surveyors

Anton Visser (B.Sc. Quantity Surveying)

Anton obtained his B.Sc. degree in quantity surveying at the University of Port Elizabeth in 1987 and joined Senekal Allen & Partners the same year. From here he moved on to CP de Leeuw Quantity Surveyors in Cape Town, becoming an associate in 1996. Anton has vast experience in all aspects of quantity surveying having worked for corporate clients such as Sanlam, Eskom, Airports Company SA, Metropolitan, Communicare, etc on commercial, residential and industrial projects.

In 1999 Anton left CP de Leeuw and started his own Quantity Surveying and Project Management company where he specializes in residential projects. Anton has also been involved in residential developments of his own from conception to final completion.

JD Steenkamp

Ontwikkelaar van De La Roche

Jeremy is sedert 1994 reeds aktief in die boubedryf betrokke en was gedurende die tyd by 'n groot verskeidenheid bou projekte betrokke.

In 2004 het hy besluit om hom voltyds op ontwikkelings toe te spits. Sedertdien het hy 'n ontwikkeling in Saldanhabaai suksesvol afgehandel en uitverkoop.

Gedurende 2005 het hy begin met die onderhandelings vir 'n eiendom in Langebaan. Die projek bestaan uit ongeveer 150 eenhede. Die ontwikkelings gedeelte is reeds susesvol afgehandel en al die eiendomme is verkoop en getransporteer. Die konstruksie van die eenhede vind nou plaas en is ongeveer 65% voltooi. Die projekwaarde is meer as R70 milj wat die konstruksie deel insluit.

'n Verdere projek buite Vredenburg is nou in proses. Die dienste gaan begin Augustus 2008 in aanvang neem.

Die ontwikkelaar het 'n klein span permanente mense wat hom bystaan. Die persone het wye ervaring in Bankwese, Regservaring, Finansiële bestuur, Rekeningkundige en Belasting ervaring.

Daar is ook 'n paneel van professionele ondernemings wat betrek word.

Element Consulting Engineers

Die ontwikkelaar het al 'n lang verbintenis met die maatskappy. Vir meer inligting oor die maatskappy kan u hulle webtuiste besoek by www.eceng.co.za.
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Disclaimer: This information was prepared by Stonevest (Pty) Ltd and is not intended to provide advice to any particular investor, or take into account his or her individual investment circumstances. Investors should consult a financial advisor. Stonevest (Pty) Ltd does not guarantee the performance of its investments.


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