Rates hold steady ahead of Broll’s August auction spanning income, retail and development plays
Against a backdrop of steady, if elevated, borrowing costs, Broll Auctions and Sales is bringing a diverse spread of commercial property assets to the auction floor on 20 August 2026.
The Reserve Bank kept the country’s repo rate at 7.00%, with the prime lending rate holding at 10.50% for a second consecutive meeting.
“Broll’s August auction offer a varied mix of opportunities, from income-producing retail and student accommodation to prime development land, giving investors across every risk appetite something to consider,” said Norman Raad, CEO of Broll Auctions and Sales.
“With financing costs no longer moving, investors and developers can plan debt servicing, cap rates and deal returns with a greater level of confidence.”
“Held rates remove the risk of financing costs deteriorating further mid-transaction, which supports bidder appetite at auction.”
Topping the bill in Johannesburg is Remington House, a 100% occupied, National Student Financial Aid Scheme (NSFAS) accredited student accommodation asset on the corner of Rahima Moosa and Nugget Streets in Johannesburg Central.
The newly developed building offers 133 self-contained apartments across 7,630sqm of Gross Lettable Area (GLA), with 260 student beds linked to the University of Johannesburg and Johannesburg Central College, and ground-floor retail space.
The property generates a gross monthly income of around R1.2 million.
“Purpose-built, fully operational student accommodation of this calibre, with NSFAS accreditation and strong occupancy, seldom comes onto the open market,” Raad said.
In Midrand, Penny Lane Shopping Centre offers a prominent corner site on Old Pretoria Road, minutes from the N1 in the established commercial corridor between Johannesburg and Pretoria.
The L-shaped centre spans about 2 750sqm of under-roof GLA across two erven, with two entry points and a multi-tenanted mix that currently includes a pharmacy, betting store and motor spares outlet.
“Assets with this kind of exposure, in this node, rarely trade. On 20 August, this one does,” Raad said.
A mixed-use precinct on the corner of Hillcrest Avenue and Conrad Drive in Blairgowrie, Craighall Park, rounds out the Johannesburg metro offering.
Serving an affluent upper-middle-income catchment, the 3,200sqm precinct is anchored by tenants including Fresh Earth, Scrums.com, Olive & Co and Salute Salon, and includes a fully owned grid-tied solar PV system.
The property generates a gross annual income of approximately R7.5 million.
In Lenasia South, Sheffield Plaza has a anchored retail centre of 2,291sqm, with tenants including uSave, Steers, Fishaways and Debonairs Pizza alongside a pharmacy and ATMs.
The centre generates a gross annual income of about R4.81 million against a net annual income of R2.65 million, with scope for cosmetic upgrades to lift its appeal further.
On the corner of Witkoppen Road and Main Road in Magaliessig, a 3.68-hectare freehold property within the Fourways growth corridor combines an existing income stream of R1.8 million a year, excluding an owner-operated nursery.
This income stream comes from a motor dealership, day spa and other tenants.
It also includes a Township Establishment and Special Rezoning Application already lodged with the City of Johannesburg for a mixed-use development of roughly 14,184sqm.
“This is an established, income-producing asset with significant medium- to long-term redevelopment potential in one of Johannesburg’s premier growth corridors,” Raad said.
Nearby, 12.5 hectares of land 3.5km from Lanseria Airport lies within the Lanseria Smart City Development Framework, one of Gauteng’s most significant future urban and economic expansion zones.
The property has exposure along the R512, two boreholes and an existing main house structure.
In the Western Cape, a landmark commercial property on Saldanha Road, Vredenburg, brings a vacant, freehold asset to the West Coast’s principal business hub to auction.
The 495sqm property comprises four self-contained retail or showroom units, each with its own entrance, kitchenette and bathroom, offering flexible configurations from a single flagship headquarters to four independent tenancies, along with 25 secure on-site parking bays.
In KwaZulu-Natal, a double-storey corner retail block on Anton Lembede Street in Durban CBD offers exceptional exposure across two erven.
The main retail building of 1,290sqm has been recently renovated and is fully tenanted on flexible month-to-month leases, while the second erf includes a tenanted parking lot with approved plans for a further 530sqm warehouse.
“We’re seeing strong enquiries across the board, and expect solid interest from institutions, funds and private investors given the breadth of what’s on offer and building on the success of Broll’s previous auctions this year,” Raad said.
The hammer lifts from noon on August 20 at The Wanderers Golf Club in Illovo, Johannesburg.
Click here to register for the next auction by Broll Auctions and Sales.
Loading ...