Confidence in Durban’s CBD as an office location has been signalled by a series of 10-year leases negotiated by Old Mutual Properties.

“Ten-year leases run counter to the norm of three- and five-year terms in the Durban office market,“ says Carlene Kidwell, regional manager  of Old Mutual Properties’ sales and leasing division.

The leases, worth R15,6 million, were struck close to asking rentals. They have seen a take-up of nearly

2 000m² in The Marine office tower, which boasts views of the yacht basin and port from its location on the Victoria Embankment.

“Coupled with negotiations now being finalised for 1 500m² on the ground floor, over a five-year term, and an extra 1 500m² taken by existing tenants, these leases mean The Marine is now virtually fully occupied,” says Kidwell.  “The current flow of inquiries indicates there is an increasing interest by tenants wanting to upgrade.”

The new long-term tenants at The Marine include 20 members of the Durban Bar who elected to relocate to the A-grade building, and a cosmetics company. 

Kidwell says the Old Mutual Properties’ broking team has leased a further 1 570m² in other Durban CBD buildings over the last quarter, and has also sold more than R30 million of property.

Nanda Naicker and Hedley Baker concluded two sales on behalf of Liberty Properties. Private investors bought the Natal Bank building in West Street and Liberty House in Smith Street.  Other sales included a 7 200 m² warehouse in Voortrekker Street, Jacobs, and a four-storey office building in Pickering Street, off Point Road.

Major sales have been concluded in Pietermaritzburg, where demand for office and retail space has been strong.   These include a prime retail site in Church Street, tenanted by Jet Stores, and offices with a retail component in Longmarket Street.

Ends

ISSUED FOR Old Mutual Properties

BY Michael Kerkhoff & Associates

INQUIRIES Carlene Kidwell/Adrian Raw 031-304-3581

                    Mike Kerkhoff 021-424-5280