SA’s property market is recovering, except for offices

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Industrial property was in the best position compared to other non‐residential property types.

Just when it looked as if more workers would return to the office, the third Covid‐19 wave came in June. Another wave possibly closer to the end of 2021 meant office property owners were bracing for tougher times, as many workers would continue to stay away from the office.

“Working completely from home won’t work for many companies, especially large corporates, as humans need face‐to‐ face interaction to build a company culture and morale.” The national decentralized vacancy factor stood at 4.2 points, equal to an average vacancy rate of about 14 percent, the highest this century.

This meant growth had picked up from about 1 percent in the first half of 2021, but it was well below the 5 percent of 2019.

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