Development of Lush driven by several factors both macroeconomic and individual.
The North Coast of KwaZulu-Natal (Ballito to Tinley Manor) has seen a serious population boom in the last 7 years. A 75% increase in the number of people now residing on the North Coast indicates that the area still exerts a strong pull over the residential market. Interestingly, half of recent residential property buyers fall within an 18-35-year age range; this indicates that the area is attracting new investors and first-time homeowners whilst the bulk of stable owners fall within the 50-64-year age group.
“These stats indicate great market confidence in the area and shows that the KZN North Coast continues to attract a mix of buyers across a range of economic strata and with varying investment potential. Private Sector investment confidence in the North Coast is also evident in the emergence of new malls of super-regional size like Ballito Junction, high-end private schools (Reddam House, Ashton International College and Crawford College) and private healthcare facilities, also pointing towards the envisioned buyers and spending potential of the market,” explains Clifton Smithers, Development Representative, Lush at Elaleni.
Between August 2017 and July 2018, R1.4 billion of transfers were transacted on the North Coast indicating that the mindset that Durban, and moreover the North Coast, are no longer just quaint holiday destinations but rather a premium investment choice. The real estate market is in a period of unquestionable change, and despite the recent economic downturn and widening wealth gap, property has remained a prime asset for the country’s High Net Worth Individuals equating to an average of 30% of their total assets . (AfrAsia Bank Africa Wealth Report, 2017)
Other challenges have driven the shift in the South African property market. Every day threats such as crime are in largely responsible for the demand for secure sectional title homes; and the market demand for a more multi-dimensional way of living has also driven a change and pushed developers to offer holistic live-work-play offerings.
Smithers explains, “The factors affecting the shift in the real estate market can be seen as an interplay of factors as opposed to just attributing it to one factor alone, however that’s not to say that some factors exert greater influence than others. Factors like greater government regulation in the real estate sector means that property developers are no longer able to develop schemes which are deliberately ignorant of the environmental impact they may have. Sustainability now ranks high on the agenda, and even urban developments are moving towards ‘greener’ methods.”
Elaleni Coastal Forest Estate is one of the first residential developments in Sheffield Beach where sustainability methods underpin the development of the scheme and these efforts were spearheaded by rehabilitation of the endemic fig forest and preservation of existing flora; and subsequently a solar-powered Gatehouse and common areas. South Africa’s ongoing drought and strain on natural resources has also pushed buyers to consider the long-term impact of their home and how this can be mitigated.
Situated within the confines of Elaleni Coastal Forest Estate, the developers of Lush have produced a scheme for a price sensitive market looking to attract both end-users and investors alike, with the added benefit of being within Elaleni and all that offers in terms of estate security, family amenities, a strong sustainability ethos and practice.
He ends, “Although a very compelling offering, Elaleni was poised to attract a very specific market segment and by virtue of this, paved the way for Lush. Lush offers its buyers the ease of lock-up-and-go living with an urban-esque aesthetic while balancing environmentally-sensitive development practices and a price-sensitive offering.”
Phase 1 of Lush sold out within only 5 weeks from launch, and Phase 2 has now been launched with prices starting from R1.35 million.