Jackalberry Residential Estate at Mandeni overlooking the Tugela River and Golf Course in northern KwaZulu-Natal is breaking the mould in estate living. As an emerging market estate, homes are priced between R380,000 and R765,000.
“It is the first of its kind in the country,” says eLan Property Group Development Director, Andrew Thompson. “Estates are usually associated with luxury, high price points. When Sappi approached us to partner with them in setting up an estate incorporating what were originally employee homes, we knew it would be a winner.”
Sales have been brisk and new owners appreciate the appeal of living in a secure all-inclusive estate where children can ride their bikes, families walk to the Country Club, and friends enjoy a round of golf.
Securing a home loan has, however, proved a stumbling block for some enthusiastic buyers. “Lenders were assuming average area prices for homes in the area as a benchmark,” says eLan Property Group Sales Executive, Julie Naidoo. “We are confident that properties within the estate are well-priced with huge potential for increases as the estate becomes more established.”
“Our solution was to bring lenders to the estate to take them through the homes on sale and give them a tour of the estate’s facilities and natural beauty,” says Naidoo.
What a success that proved to be! All the major banks, as well as bond originators, ooba and conveyancing attorneys, Strauss Daly, concluded the excursion convinced of the inherent and potential value of homes on the Jackalberry Residential Estate.
Originally built in the 1970s, the structural integrity and generous plots impressed the lenders. “It’s plain to see the great value for money that these comfortable homes on large stands represent,” says Naidoo.
The establishment of the estate is a joint venture between Sappi and the eLan Property Group.
Having developed a number of estates, including the highly successful Simbithi Eco Estate in Ballito, the eLan Property Group has a good understanding of the impact of an estate environment can have on property values.
“While the estate is being established, sales prices are based on the value of the individual home,” says Thompson. “But, we know from experience that the potential increase in the home’s value is based on the lifestyle, as well as the individual structure.”
Named after the endemic Jackalberry Tree, which thrives in the Tugela River region, the current estate represents the first phase of a longer-term development for the area.
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