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Port Elizabeth - Port Elizabeth’s historic Central is steadily being reclaimed and regenerated as a vibrant hub of live, work and play activity, according to Andrew Schaefer, managing director of national property management company Trafalgar.
The area is housing students, young professionals, creative and professional businesses and tertiary education institutions as well as popular tourist attractions.
“In fact, it is rapidly becoming one of the trendiest precincts in the whole city, and a place of pride for the Nelson Mandela Bay Metro,” says Schaefer. Trafalgar currently owns and manages ten buildings in the area, which house more than 1 000 students and young professionals who work nearby.
“In the same way as Maboneng led the way to the redevelopment and renewal of a really run-down and degenerate part of Johannesburg’s inner city, Central is quickly shaping up now as a sought-after address for Millennials who favour a ‘new urban’ lifestyle with their workplaces, retail outlets and recreation options all right on the doorstep - or at least within easy walking distance of home,” said Schaefer.
He says it was with this in mind that Trafalgar purchased and completely restored three buildings in Havelock Street last year. These currently provide accommodation for more than 100 students and young working singles and couples.
“In the meanwhile, we have also been awarded mandates by other investors in the area to manage seven more buildings offering similar accommodation options. Four of these are already almost 100% occupied and there is huge demand for the other three, which will be ready for occupation in September.”
Rentals in these buildings – some of which are university accredited - start at R1 500 a month per student sharing a triple room, R2 250 for single rooms and R2 800 for a double room.
The process of regenerating Central began about 10 years ago when the Mandela Bay Development Agency (MBDA) started to upgrade Govan Mbeki Avenue as well as some public infrastructure and historic landmarks.
The hope was that this would catalyse private sector investment in the area, and it did, starting with the multimillion rand renovation of the old Port Elizabeth Club in Bird Street into chambers for a large number of advocates who can now walk to the High Court.
This was followed by Denton Properties’ extensive restoration of the historic Donkin Street terrace houses and surrounding Victorian cottages to form the Donkin Creative Quarter and Donkin Village, an expanding business node.
According to Sarah Webb, a director of the Trust for Urban Housing Finance (TUHF), it has, over the past five years, assisted several private investors to buy and upgrade about R80m worth of residential rental accommodation in Central.
“TUHF typically finances the renovation, refurbishment or conversion of existing buildings to provide affordable rental accommodation in inner city areas that the banks regard as too risky. We aim to boost urban regeneration in the process and regard it as a great measure of success if the banks start to lend again in an area where we have been active," she said.
"This is exactly what is happening in Central now, and that means that home loans for individual buyers in the area are probably not very far off.”
