Skyways’ location above the site where the Gautrain station is being built gives the property significant opportunity for capital appreciation, Rubin here agrees with most of the property economists in the country who suggest that all nodes in and around the train should be looked at as investment destinations.

The 'lifestyle' development is a joint venture between Aengus Property Holdings and JSE-listed ApexHi Properties Limited. Richard Rubin, Angus CEO, says this latest investment product from the property development and management group offers net rental returns of between 13,5% and 15% - figures virtually unheard of in the general property investment market.

The tax benefits gained through the Urban Development Zone (UDZ) incentive, which allow the straight-line depreciation over five years of 30% of the property purchase price, are an added attraction for property investors. Skyways is located between Braamfontein and Parktown, and therefore falls within a UDZ.

A further boost will come from the sheer demand for serviced accommodation for the elderly. Rubin’s research into retirement institutions in South Africa shows that accommodation is oversubscribed by up to five times, with waiting lists extending from two to seven years.

Ownership in Skyways comes through a simple sectional title structure, which makes bank financing straightforward. This contrasts with the life-right ownership model typical in aged care, which banks have been against financing.

As is the case with Aengus’ other property developments, Skyways will be administered by Aengus Property Management and 80% of its body corporate will be controlled by the Aengus group. The investor, then, is freed from the decision making processes that are without the general skill set of the everyday investor.

“The net financial result is a very favourable one. Putting in even a limited amount of equity into the investment will push the investor into a positive cash-flow situation.”

Skyways offers bachelor, studio and one-bedroomed units ranging in size from 32m2 to 65m2. Prices start at R420 000 and extend up to R800 000.