South Africa’s commercial property market is experiencing a recovery, driven largely by the growing demand for office space as companies across the country bring employees back to the office,Geoff Jennett, CEO of Emira Property Fund, noted that South Africa’s listed property market has struggled for the past seven years.
Jennett pointed out that listed property shares have recently begun to show stronger performance, with real estate investment trust returns up by more than 50% in 2024. He believes that this positive trend will gradually extend to the broader commercial property market. ‘The Western Cape is seeing an influx of people, and that’s helping drive demand for office space,’ he said. However, Jennett emphasised that the rebound is not solely due to semigration. Other factors, such as improved political sentiment following the establishment of the Government of National Unity, less frequent load-shedding, and the recent reduction in interest rates, have all contributed to a more positive economic outlook.