The property market along KwaZulu-Natal's Mid-South Coast is showing signs of improvement, with a noticeable increase in buyer inquiries following the May general elections.
Jo Giraudeau, the manager for Seeff Mid-South Coast, reports that local agents have observed a significant rise in interest from South African expatriates who are considering returning to the country and have been inquiring about residential properties in areas like Pennington and Clansthal over recent months.
Giraudeau noted the area's unique appeal, highlighting its relaxed lifestyle, warmer climate, extended summers, and the inviting Indian Ocean.
The uMdoni Coast and Country, better known as the Mid-South Coast, is a scenic stretch from Scottburgh to Mtwalume, situated south of the Greater Durban Metro, with Scottburgh as its main town.
The area includes several key towns such as Amahlongwa, Amandawe, Bazley Beach, Dududu, Ifafa Beach, KwaCele, Mtwalume, Park Rynie, Pennington, Scottburgh, Sezela, and Umzinto.
The region is celebrated for its beautiful beaches, including some of the nation's top spots for surfing, fishing, snorkelling, and bodyboarding.
Additionally, the rivers and lagoons contribute to the area's allure, with many individuals purchasing holiday homes here with the intent of retiring in the area later, according to Giraudeau.
She also mentioned a shift in buyer preferences, with a growing demand for move-in ready homes or properties that offer rental potential, typically in the price range of R700,000 to R1.2 million.
Several factors are driving this increased demand.
Significant development projects in the area, such as the multi-billion-rand Renishaw Coastal Precinct, are already boosting property values. Future developments include a shopping cenre, filling station, private school, and church.
Giraudeau said the establishment of the multiparty Government of Provincial Unity, enhanced cooperation between Cooperative Governance and Traditional Affairs (COGTA) and municipalities.
Large-scale projects like the R20 billion uMkhomazi Water Project and the long-term Umkhomazi Local Area Plan are expected to improve service delivery and infrastructure, further increasing interest in the property market.
She added that the prospect of an interest rate cut in September is contributing to the growing sense of optimism.
Highlighting some key attractions, Giraudeau mentioned Clansthal, a small residential area nestled between Scottburgh and Umkomaas, known for Clansthal Beach and the Green Point lighthouse.
This area tends to attract older buyers and tenants, with approximately 149 properties, 80% of which are freehold, and a median value of R2.5 million.
Rental prices in Clansthal average around R8,000 for sectional titles and R10,000-16,000 for freehold properties, with strong yields of nearly 10% for sectional titles and 6.5% for freehold properties.
The Renishaw Coastal Precinct has already seen the successful establishment of Renishaw Hills, a mature lifestyle village with around 350 residents and R400 million in sales. Property values in this area have increased by 60% since 2016.
Recent sales at the 1,300-hectare Renishaw Coastal Precinct have triggered further development, benefiting local businesses, surrounding communities, and outside investors, thus fuelling the economic resurgence of the KZN Mid-South Coast.
In August, stakeholders gathered at the Scottburgh-based site to celebrate these milestone developments and showcase how they will drive community growth and unity.
The first of the precinct’s five interconnected nodes has already seen the successful development of Renishaw Hills, a mature lifestyle village with around 350 residents and R400 million in sales, where property values have surged by 60 percent since 2016.
The first six phases have already been constructed and are occupied, with only 7 of the 210 remaining. Once fully developed, Renishaw Hills will have more than 500 units.
New Growth Drivers at Renishaw Coastal Precinct
Shopping Centre
Two deals have already been finalized with local businesses. The first is for the construction of an upmarket shopping centre, roughly 10,000m², backed by Cubisol Property Fund, with mixed-use zoning allowing for potential apartment blocks.
This is the precinct’s first commercial development, and with the local Scottburgh Mall being one of Cubisol’s assets, the company understands the local market and recognizes the potential for future growth.
Petrol Filling Station
The second deal is for a petrol filling station, convenience store, and fast-food drive-through located at the main Renishaw entrance circle on Dududu Road.
This will be developed by well-known local business owners, Hampsons, which started and still runs the first petrol station in Scottburgh.
The location and zoning of both these sites were carefully considered. Found at the entrance to the precinct just off one of the main arterial routes in and out of Scottburgh, they are easily accessible to travellers and local communities.
Furthermore, they are located only about 100m from the N2 Interchange, a full diamond intersection that allows one to get on and off the N2 north and south, giving both developments great exposure to the N2.
Developers are also in negotiations around the establishment of a new church which will provide spiritual support and a sense of community, enhancing the area’s appeal and fostering a more vibrant, cohesive neighborhood alongside retail and convenience amenities.
Developers are also in advanced discussions that will see the area welcome a new school. Starting with early childhood development and building up to high school, this will significantly influence the area and impact potential property buyers’ decisions when considering Renishaw Coastal Precinct.
Node 4, located close to the well-known Crocworld Conservation Centre, has been earmarked for leisure developments with all forms of holiday accommodation. There is already an international hotel group showing strong interest in establishing a hotel in this space.
Renishaw Coastal Precinct is backed by Renishaw Property Developments, a subsidiary of the JSE-listed Crookes Brothers Limited, and its property development partner, Crocker Properties.
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