An apartment on the water’s edge at Clifton 1st Beach, described as a “connoisseur’s dream” and finished with exquisite materials, has been bought for an eye-watering R145m by a South African living abroad.
The five-bedroom apartment — with direct beach access and sweeping views of the Atlantic Ocean — cost R234,249 per square metre, exceeding previous premium prices paid for apartments in the suburb by wealthy international buyers.
“The buyer is an ex-South African living in Monaco,” is all property broker Lance Cohen, who clinched the deal, would reveal about the new owner.
He described the sale as a “record for the highest price paid for an apartment sold in South Africa. I think the previous record was R120m.”
The lower level, accessible by lift, has three en-suite bedrooms with balconies overlooking the ocean, a spa-style bathroom and walk-through wardrobe. There is a guest suite for extended family or visitors. Other rooms include a studio and staff accommodation.
There is state-of-the-art security, five parking bays, five-and-a-half bathrooms and a 24/7 concierge service.
“The Open-plan main level includes an entrance area, a spacious lounge, dining area and a gourmet chef’s kitchen equipped with Gaggenau appliances, a walk-in refrigerator and a concealed scullery, making it a culinary enthusiast’s dream,” according to the property listing.
“Every inch of the home is finished with exquisite materials, including Onici Bianco marble in the entrance hall, black moss marble in the guest WC, Monet marble in the kitchen, and Colacatta and Statuarietto marble in the bathrooms. Custom oak flooring by Pierre Cronje, a Murano chandelier from Galerie Glustin in Paris, and gold-leaf ceilings are among the standout design elements, alongside a Michael Speller sculpture and custom panelling.”
Assuming the apartment was not paid for in cash, the monthly instalments on a 20-year bond — with a R5m deposit and a 10.75% interest rate — would be R1,421,320.
Laid out on two levels, the apartment features a large outdoor deck with a fully-equipped cocktail bar, gas barbecue, extra-long dining table, deck chairs, surround sound and steps leading to a private heated swimming pool with direct beach access.
“I sell all the top-end properties. President Cyril Ramaphosa bought one from me, and I rent out one property for him,” said Cohen, who moved to Cape Town from Johannesburg in 1996 and has been in the property business for decades.
“I deal with a lot of rich and famous [clients]. I trade overseas as well — Dubai, Mauritius and Portugal,” he said. “Unfortunately, I have noticed that our currency is slowly depreciating over the years, though now we are enjoying a good period because of the US dollar weakness.”
He said there was “renewed confidence in Cape Town” compared to other parts of the country. “If you [visit] Cape Town today, you will see cranes, which is a sign of growth.
“Cape Town is seen as a safe city offering incredible value and incredible food. Property prices are on the up. We are enjoying a property boom. There is more demand for property than there is supply. Rentals have doubled in the past two years.”
Cape Chamber of Commerce and Industry CEO John Lawson said that according to Stats SA’s latest Residential Property Price Index, there was “a startling value gap” between Cape Town and other South African cities, indicative of a similar gap in service delivery and investment.
“Cape Town residential property prices have soared since 2010 — and continue to soar — while prices have shrunk in real terms in other cities,” he said.
Cape Town property prices had far outstripped inflation in the past 15 years. Discounting inflation, prices in the city increased on average by 25%, while Johannesburg prices decreased by 20%.
“The gaping disparity mirrors a similar trend in municipal infrastructure development and service delivery, with property investors favouring Cape Town’s value proposition,” said Lawson.
“The residential property figures suggest a direct correlation between city property prices and municipal management. There is also a self-evident correlation between prices and investor confidence. While underperforming municipalities are inclined to bemoan their dwindling budgets and mounting challenges, words will not plug the holes in crumbling infrastructure.”
He said struggling municipalities needed to restore confidence and attract, or even retain, investment.
The R145m paid for the Clifton apartment included VAT. No transfer fees were applicable.
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