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Demand for lifestyle retirement properties in the Winelands soars
Category Property News
ALLURE OF THE WINELANDS: Retired people are increasingly drawn by the relaxed lifestyle and natural scenic beauty of the Cape Winelands in towns like Stellenbosch, with a sense of history and an array of amenities just a short walk or drive away.
The rocketing demand for secure lifestyle retirement accommodation in the Cape Winelands is at an all-time high, with agents reporting a dearth of available stock and long waiting lists at most of the existing developments.
This is according to Chris Cilliers, chief executive and principal for Lew Geffen Sotheby’s International Realty in the Winelands, who says: “The retirement sector of the market was overlooked and undeveloped for many years and, although developers have recognised the yawning gap in the market and are looking to source land, there is now much less available than a decade ago and it is also much more expensive.
“The modern lifestyle retirement village concept is very different to the traditional apartment block old age homes which offered little more than a roof over your head and three square meals a day, and requires substantially more development property than previously.
“Their challenge is to acquire suitable land at a reasonable price, otherwise the units become too expensive for older people to afford and will be priced above the general housing market in the area.”
In response to the widening gap between demand and supply, one of the Winelands’ most sought-after lifestyle estates has taken the initiative by developing a retirement facility within the existing development.
Says Cilliers: “We have been appointed joint marketing agents for Val de Vie Manor which is due to be launched in September and is already attracting great interest.
“Residents will enjoy top class retirement facilities including frail care, and will have access to all the other facilities available on this estate.”
Lew Geffen, chairman of Lew Geffen Sotheby’s international Realty, says there are a number of key factors contributing to the spike in demand for quality retirement property in the Winelands.
“More and more people want to retire away from the city and the Winelands is especially appealing as it offers a slow-paced country lifestyle in beautiful surrounds, yet is less than an hour’s drive from Cape Town and a short hop to pristine beaches and popular attractions.”
He cites the current socioeconomic situation in South Africa as another strong driving factor in the growing demand for secure lifestyle retirement properties.
“A decade ago older people still relatively felt safe in their homes and many opted to stay in familiar surroundings for as long as possible. However, many now feel vulnerable and security has become a primary concern.
“Additionally, a growing number of retired people are losing the support of their adult children as a result of emigration and the sense of community offered by modern retirement villages is therefore very appealing.”
Cilliers says that demand is also being spurred by an emergent trend of more people planning for their retirement from an earlier age.
“Many people now recognise the long-term value of these developments and the benefits of investing in their retirement home long before they retire. They are ensuring that their golden years are comfortable, and they are doing so at today’s prices because the cost of property is extremely unlikely to come down.
“A sizeable chunk of the bond can also be covered by renting out the property until they are ready to move in.”
Investors can expect to pay between R2.5 million and R4.5m for a unit in a retirement village, depending on the area, facilities offered, property size and finishes.
Cilliers says: “Today’s retirement villages are centred on offering a quality lifestyle in a secure community for mature people who are still active but no longer want the responsibility of large homes, with many developments accepting residents from the age of 55.
“And, as these developments recognise that there are different stages of retirement and offer a variety of packages, retired people can settle for life knowing that they can be cared for in their homes or in frail care centres if necessary.
“Retirement communities in the Winelands offer security, support and a sense of community and can also be a new lease on life for older people who will have many activities and facilities on their doorstep.”
Author: Lew Geffen Sotheby's International Realty