»
Jan 23, 2012:
JOHANNESBURG – The decision to put the Jorissen Place up for tender was prompted by a recent offer made on the 18-storey high rise in Braamfontein adjacent to the Johannesburg CBD.
Calls for tenders went out on January 17 2012. The structure spans Jorissen, Bertha, De Beer and De Korte streets in a newly-refurbished part of Braamfontein and belongs to Liberty Properties.
In response to questions about why the property was up for sale, Liberty’s Mel Urdang said: “Liberty recently received a reasonable offer for Jorissen Place, however before a decision was made to sell the building it was decided that it would be best to ensure that all possible interested parties were given the opportunity to tender for the building.”
Urdang also said that the funds received from the sale would be pumped into another property asset, adding “…we are not able to give any specific details in this regard at this point in time.”
He said Liberty’s goal, as a property asset manager, was to acquire the right balance of sectoral and geographical diversification. “We are continually looking at the acquisition of suitable property assets throughout the country.”
Head of capital markets at Jones Lang LaSalle who is managing the tender process, Andrew Bradford, says a building like Jorissen Place usually attracts a fairly sophisticated buyer.
Bradford says the opportunity to acquire an entire city block is rare and could attract owner/occupiers, property entrepreneurs and investors. Around three tenders are expected.
In a statement LaSalle said the building has 28 000m² of office space, 630m² of retail and 563 parking bays.
Bradford also said in the statement: “If you add the predictable timelines and avoidance of hassle, existing buildings trump new developments by far. We have achieved a number of successes in this space recently with demand for these types of properties for outstripping supply.”
He adds that Jorrisen Place’s location is also attractive in that it provides easy access to the M1 motorway, is within walking distance of public transport and the bustling Park Station as well as to retail.