By Nicola Jenvey

Property management group Trafalgar CEO Neville Schaefer said at the weekend the company planned to double its turnover to more than R200m within five years as demand for the professional management of properties increased.

Established 30 years ago, Trafalgar branched into property services a decade ago with the division now contributing more to turnover than traditional property management.

The group specialises in property management in inner city areas. Schaefer said in Johannesburg there was a strong swing towards redeveloping commercial properties into residential apartments, while in Durban, flat and townhouse complexes were being recapitalised and upgraded.

Schaefer said more than 80% of SA's 40.000 flat and townhouse complexes were owner-managed, suggesting a significant market segment that remained untapped, which was good news for Trafalgar, which was aiming to grow its business by offering professional management services to such complexes .

Trafalgar has about a 20% share of the flat and townhouse complex management contracts already managed by agents. This amounts to 1.000 flats and town- house complexes .

Commenting on where Trafalgar may be able to find future business, Schaefer said "distressed buildings" within the inner city, had little market value.

However, after rehabilitation and recapitalisation, owners could fetch R140.000 for a one bedroom flat or R220.000 for a two-bedroom flat.

Business Day 15 March 2004