Property research articles

Blog categorized as Property research articles

Some valuers abuse the DCF method 

22.01.24 03:03 PM By Lynette Smit - Comment(s)
Some valuers abuse the DCF method 
Some valuers abuse the DCF method and: Can you survey mineworkers to discover the price of gold?

Mind the gap

25.05.23 02:24 PM By Lynette Smit - Comment(s)
How stalling market-rental growth affects tenant installation allowance.

Delivering affordable housing solutions

08.11.22 09:02 PM By Rode - Comment(s)
South Africa must enlarge its middle class and house as many households as possible in formal shelters.

The STSMA is seriously flawed

11.04.22 08:07 PM By Rode - Comment(s)
The Sectional Titles Schemes Management Act (STSMA) replaced the original Sectional Title Act some time ago. It essentially splits the registration of schemes from the  management of sectional title schemes.

Inclusionary housing: The risks and opportunities

16.07.20 09:12 PM By Rode - Comment(s)
Let us assume South Africa was a 4×2 bakkie. The two front wheels are already over the (fiscal) cliff; the two rear wheels are still on terra firma. The driver is still behind the steering wheel and is frantically engaging reverse gear – but it is a front-wheel-drive vehicle.

Micro-units: Big solutions in small spaces?

16.07.20 09:12 PM By Rode - Comment(s)
Let us assume South Africa was a 4×2 bakkie. The two front wheels are already over the (fiscal) cliff; the two rear wheels are still on terra firma. The driver is still behind the steering wheel and is frantically engaging reverse gear – but it is a front-wheel-drive vehicle.

The drivers of house prices

16.07.20 09:12 PM By Rode - Comment(s)
Let us assume South Africa was a 4×2 bakkie. The two front wheels are already over the (fiscal) cliff; the two rear wheels are still on terra firma. The driver is still behind the steering wheel and is frantically engaging reverse gear – but it is a front-wheel-drive vehicle.

The drivers of house prices revisited

16.07.20 09:12 PM By Rode - Comment(s)
Let us assume South Africa was a 4×2 bakkie. The two front wheels are already over the (fiscal) cliff; the two rear wheels are still on terra firma. The driver is still behind the steering wheel and is frantically engaging reverse gear – but it is a front-wheel-drive vehicle.

How to value real estate when the road curves

16.07.20 09:12 PM By Rode - Comment(s)
Let us assume South Africa was a 4×2 bakkie. The two front wheels are already over the (fiscal) cliff; the two rear wheels are still on terra firma. The driver is still behind the steering wheel and is frantically engaging reverse gear – but it is a front-wheel-drive vehicle.

City of Cape Town Spatial Development Frameworks, 2012 and 2018: Evaluating the approach to spatial planning

25.04.20 12:38 AM By Rode - Comment(s)
Worldwide, the tertiary or services sector of the economy — manned to a large extent by knowledge workers — is growing much faster than the manufacturing of goods (secondary sector) and the production of raw materials in the primary sector (agriculture and mining).

Why do you need an engineer

25.04.20 12:38 AM By Rode - Comment(s)
Worldwide, the tertiary or services sector of the economy — manned to a large extent by knowledge workers — is growing much faster than the manufacturing of goods (secondary sector) and the production of raw materials in the primary sector (agriculture and mining).

Office buildings: Some thoughts on the decentralization trend in SA

25.04.20 12:38 AM By Rode - Comment(s)
Worldwide, the tertiary or services sector of the economy — manned to a large extent by knowledge workers — is growing much faster than the manufacturing of goods (secondary sector) and the production of raw materials in the primary sector (agriculture and mining).

The financial case for ‘green’ affordable housing

25.04.20 12:26 AM By Rode - Comment(s)
The swelling momentum in the affordable housing market in South Africa is evidence of robust growth in an otherwise largely flat residential sector.

A tool to calculate covered office parking rentals – anywhere

25.04.20 12:24 AM By Rode - Comment(s)
Ever since the first quarter of 1993, Rode’s Report (RR) has been publishing average monthly parking rentals for office buildings by grade. In this issue of the report, we attempt to quantify the relationship between office parking and office rentals.

Vacancy rates above their estimated ‘natural’ levels

25.04.20 12:20 AM By Rode - Comment(s)
Owing to slowing economic activity, office vacancy rates have over the past three years edged north and, in general, are now above their estimated ‘natural’ levels.

Houses overvalued by 25%: A rejoinder

25.04.20 12:17 AM By Rode - Comment(s)
It appears estate agents and house investors and other stakeholders in the housing market have experienced serious anguish and denial following the launch of Rode’s Report (quarter 4 of 2011) on 26 January 2012.

Haunting questions around the protection of our cultural heritage

25.04.20 12:14 AM By Rode - Comment(s)
Heritage practitioners and other concerned parties in Cape Town are up in arms. The war of words was prompted by the proposed addition of a parking garage and office block on top of a dilapidated warehouse built in the VOC era, situated in the so-called Lutheran Church block in the Cape Town CBD.

How to avoid Deeds Office pitfalls

25.04.20 12:00 AM By Rode - Comment(s)
An onerous title deed condition that isn’t discovered in time could delay or prevent the progress of a property development – with serious cost implications. Alternatively, such an omission could be costly when buying or selling property.

How to lick the cap rate problem (well, almost!)

24.04.20 11:57 PM By Rode - Comment(s)
The two crucial determinants of income-producing properties’ market value are market rentals and capitalization (cap) rates. By comparison, all the other determinants are incidental.

Tumbling standard capitalization rates create a trap for valuers and analysts

24.04.20 11:09 PM By Rode - Comment(s)
In the residential property market, estate agents and valuers have a serious problem in estimating the market value of a house.
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