INNER city property developer Aengus Lifestyle Properties has begun converting the historic YMCA building in Braamfontein into its biggest mixed-use development to date.

The new development will consist of 4 000m² of commercial space, 190 residential units and prime retail space.

Close to a number of large employers in the Braamfontein area as well as the University of the Witwatersrand, it is expected to be fully tenanted as demand for comfortable, affordable accommodation in downtown Johannesburg climbs. It is also close to the Gautrain’s Park Station, due to be fully operational by 2011.

“The building has an interesting legacy and will no doubt attract both residential and commercial tenants who are ‘early adopters’, especially those within the creative industries,” says Aengus Lifestyle Properties CEO Richard Rubin.

The YMCA building on the corner of Rissik and Smit streets was built in 1952 to provide refuge for young men looking for shelter. Once referred to as “the answer to the moral decay in society”, the Young Men’s Christian Association was first established in SA in 1865 in Cape Town and later moved to Johannesburg. In 1912 the YMCA building at 71 Pritchard Street was converted into the Vaudette Theatre and the YMCA built its new residence where the building stands today.

Aengus recently bought the building from property loan stock company ApexHi for an undisclosed amount.

“We felt this was a great opportunity to convert the YMCA building into a more modern and fashionable development that would attract people back to live and shop in the area,” Rubin says.

Work has already begun and the building is due for completion by the end of July. Residential units will be let by Aengus Property Management, which will continue to use the same model it uses in its other inner-city property developments.

For the first time Aengus will be offering small commercial units for sectional title sale. Pre-launch, more than 60% of the commercial space has been taken by those in the design arena.

“Investment returns in inner-city property continue to exceed expectations as, unlike other types of residential property, it has been buffered to some extent by the huge demand for high quality accommodation in the city centre,” Rubin says.

Residential units will be fully furnished and rent for R2 100 a month.

Retailers are expected to benefit as there are between 20 000 and 30 000 people working close to the building.

The building forms part of the hub consisting of the Johannesburg Civic Theatre, Civic Towers and Eskom’s downtown offices.

“We expect the upgrading to have a positive effect on the whole area,” Rubin says.

Source: Business Day