9 Robert Street & 6 Drury Street - Aucor
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North End Corporate Disposal – Retail / Office and 12 x 1 Bedroom Flats
Port Elizabeth GBA – ± 2,229m²
9 Robert Street & 6 Drury Street
Thursday, 20 February 2020 @ 12h00
Houghton Golf Club – Osborn Road, Houghton, Johannesburg
John Hislop | 083 265 6867 | JohnH@aucor.com
Version 2: 6 February 2020 NJvV
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Index
Disclaimer, Auction Information and Terms & Conditions Page 3
Property Images Page 4
Executive Summary & Key Investment Highlights Page 7
General Information Page 8
Locality Information Page 9
Property Description Page 11
Projected Annual Income Summary Page 14
Projected Gross Annual Income Page 15
Lease Summary Page 16
Rates Statement Page 17
Zoning Information Page 18
Surveyor General Diagrams Page 21
/AucorProperty www.aucorproperty.co.za 2
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Disclaimer, Auction Information and
Terms & Conditions
Disclaimer
Whilst all reasonable care has been taken to provide accurate information, neither Aucor Corporate (Pty)
Ltd T/A Aucor Property nor the Seller/s guarantee the correctness of the information provided herein and
neither will be held liable for any direct or indirect damages or loss, of whatsoever nature, suffered by any
person as a result of errors or omissions in the information provided, whether due to negligence or otherwise
of Aucor Corporate (Pty) Ltd T/A Aucor Property or the Seller/s or any other person.
________________________________________________________________________________________________________
Auction Information
Deposit 5% of the bid price
Commission 10% plus 15% VAT thereon of the bid price
Confirmation period 7 Business days
Rules of auction and conditions of sale are available at www.aucorproperty.co.za/
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Terms & Conditions
R50 000 refundable deposit (strictly bank guaranteed cheque or cash transfer only). Bidders must provide
original proof of identity and residence on registration. No cash will be accepted at the auction. No
exceptions. All bids are exclusive of VAT. Aucor Property may bid up to reserve on behalf of the sellers.
Subject to change without notification. Auctioneer: Pieter Geldenhuys.
/AucorProperty www.aucorproperty.co.za 3
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property Images
Aerial Images
Boundary lines are not to scale and are
drawn for illustrative purposes only.
PE Central
/AucorProperty www.aucorproperty.co.za 4
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property Images
Robert Street Building Images
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Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property Images
Drury Street Building Images
/AucorProperty www.aucorproperty.co.za 6
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Executive Summary &
Key Investment Highlights
Street Address: 9 Robert Street & 6 Drury Street - North End, Port Elizabeth
GPS Coordinates: -33.9471, 25.6076 (center of the properties)
Erf 1930: 347m²; Erf 1931: 347m²; Erf 1932: 333m²
Registered Land Sizes:
Combined Erf Size: 1,027m²
Zoning: "Industrial 2" - See zoning confirmation attached to this brochure.
Assessment Rates: R13,327.59 / month (combined) - excluding consumption charges and
city levies
See from page 12 for full details
The site comprises three adjoining erven, two of which (Erven 1931 and
1932) face onto Robert Street, and Erf 1930 faces onto Drury Street. The
properties are visible from the M4 as well as the Mount Road off-ramp.
Accommodation:
Improvements include a double storey retail / office building facing
Robert Street, and a four-storey building comprising a ground floor
workshop / retail section (with mezzanine) and 12 x 1-bedroom
apartments facing Drury Street.
Area Description Approx GLA (m²)
Erven 1931 & 1932 - facing Robert St
Ground floor - retail / office 592
First Floor - offices 592
Subtotal: Erven 1931 & 1932 GBA 1 184
Erf 1930 - facing Drury St
Ground Floor - Retail / Workshop 306
Approx. Total Gross Building Area: First - Third Floors - Flats (4 per floor) 739
Subtotal: Erf 1930 GBA 1 045
Total Gross Lettable Area 2 229
Notes:
Gross Building Areas are approximates based on a combination of
on-site and aerial photograph measurements taken along the outer
building walls and include internal penetrations such as
passageways and staircases.
Occupation: The property is multi-let. See from page 14 for details.
Prime location in close proximity to Port Elizabeth Central.
Income generating investment opportunity with upside - Projected GAI
(gross annual income) of approx. R619,000.00
National tenant (Ellies) to sign a long-term lease upon successful sale.
Key Investment Highlights:
Located in a prominent industrial node of Port Elizabeth with visibility
from the Settlers Highway (M4), as well as the Mount Road off-ramp.
Highly accessible location with ease of access to various main roads,
highways and the nearby harbour.
By bidding on this property, the purchaser acknowledges that he has acquainted himself with the extent and
the nature of the property he is buying, and that he accepts the property as such.
/AucorProperty www.aucorproperty.co.za 7
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
General Information
Street Address 9 Robert Street & 6 Drury Street - North End, Port Elizabeth
GPS Coordinates -33.9471, 25.6076 (center of the properties)
________________________________________________________________________________________________________
Title Deed Information
Title Deed Number T70602/2010
Registered Owner Ellies Properties (Pty) Ltd - VAT registered
Title Deed Descriptions Erven 1930, 1931 and 1932, North End
Registered Land Sizes Erf 1930: 347m²; Erf 1931: 347m²; Erf 1932: 333m²
Combined Erf Size: 1,027m²
Title Deed Conditions A copy of the title deed is on hand and will be made available
upon request thereof.
________________________________________________________________________________________________________
Municipality Information
Municipality Nelson Mandela Bay Metropolitan Municipality
Rates Excluding consumption charges and city levies - based on the
Tax Invoice for the November 2019 billing period. See a copy
attached to this brochure for these and other charges.
Municipal Rates 2019 / 2020 2019 / 20 Annual 2019 / 2020 Monthly
Erven Exclusion Rebate
Valuation Category Tariff Rates Rates (Annual ÷12)
Erf 1930 R 3 950 000 0,0251860 R 99 484,70 R 8 290,39
General N/A N/A
Erf 1932 R 2 400 000 0,0251860 R 60 446,40 R 5 037,20
Total Combined Rates payable per month R 13 327,59
Note
It is understood that due to the extent of the improvements spanning both Erven 1931 & 1932, these properties are
regarded, valued and invoiced as one property for all intens and purposes.
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Zoning Information
Erven 1930, 1931 & 1932
Zoning "Industrial 2" - See the zoning confirmations attached to this
brochure
Permitted Uses Not specified
Annexure Number/Consent Use Not applicable
Height Not specified
Floor Area Ratio Erf 1930: 3,0/1,041m²
Erven 1931 & 1932: 3,0/2,040m² (combined)
Coverage Dwelling houses (erf
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Locality Information
Macro Locality
North End is a diverse allotment area, offering some 2,287 stands with zoning providing for a combination of
commercial, industrial and residential developments, and includes the Nelson Mandela Bay 2010 FIFA World Cup
Soccer Stadium. The subject site is situated in the heart of the established old CBD area of North End, one block
away from Govan Mbeki Avenue and facing onto Robert Street. The immediate area enjoys a good road
network and the subject property is easily accessible from the Settlers Way highway system via the Mount Road
off-ramp. The close proximity of the highway system allows for easy access to important transport hubs such as
the railway station, airport and the harbour. GPS coordinates for the sites are as follows: -33.9471, 25.6076
North End
Kensington
Millard
Grange
Image Data: Google, AfriGIS (Pty) Ltd, DigitalGlobe
/AucorProperty www.aucorproperty.co.za 9
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Locality
Locality
Information Information
Micro Locality
Absa Stadium
East London
standard bank logo
Magistrate
Court - PE
Image Data: Google, AfriGIS (Pty) Ltd, DigitalGlobe
/AucorProperty www.aucorproperty.co.za 10Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property
Locality
Information Description
Approximate Boundaries
N
Erf 1930
Image Data: Nelson Mandela Bay Metropolitan Municipality GIS MapViewer
Erf 1932
Erf 1931
/AucorProperty www.aucorproperty.co.za 11Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property Description
Accommodation The site comprises three adjoining erven, two of which (Erven 1931 and 1932) face
onto Robert Street, and Erf 1930 faces onto Drury Street. The properties are visible
from the M4 as well as the Mount Road off-ramp. Improvements include a double
storey retail / office building facing Robert Street, and a four-storey building
comprising a ground floor workshop / retail section (with mezzanine) and 12 x 1-
bedroom apartments facing Drury Street.
The double storey retail / office section comprises a large open plan retail section
on the ground floor with a receiving bay to the side and an administration section
comprising three offices. A secondary administration section that forms part of the
retail component includes an office, ablution facilities, kitchenette and open
storage area. An internal staircase leads to the first floor that is divided into admin /
sales and instructions / filing room and also includes a board room with
entertainment area, ablutions and kitchenette. The different office sections offer
quite similar configuration and predominantly comprise of a large general office,
±4 additional smaller offices, ablutions, kitchenette, filing office / storeroom and a
server room. Off the main entrance (referred to as the ‘sky dome entrance’) to the
various departments is an additional office and a storeroom.
The mixed-use, multi-storey building located on Erf 1930 that faces onto Drury
Street, comprises a medium sized workshop area on the ground floor with timber
mezzanine area covering approximately 80% of the workshop area with a section
partitioned off and utilized for an office. A number of smaller offices, storage areas
and ablution facilities leading off the workshop area are also present. A steel
staircase leads to the mezzanine area that is suitable for storage purposes.
The three floors directly above comprises of 12 x 1-bedroom apartments (four per
floor), accessible via the first floor of the building on Erven 1931 and 1932, as well as
via external staircases to the sides of each of the buildings accessible from the two
streets. The apartments similarly comprise an entrance hall, lounge, bedroom,
bathroom and kitchen.
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Additional features The building(s) boasts the following additional features:
• Built-in bar as part of the entertainment area (Robert Street building);
• The flats feature 3x access points;
• Air-conditioning in places;
• Concrete covered pedestrian walkways;
• Extensive solar panel system (±22kwH).
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/AucorProperty www.aucorproperty.co.za 12Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Property Description
Construction The buildings are predominantly constructed of a combination of rendered and
plastered walls, and/or painted brick walls with decorative tile cladding to some
street-facing sections. Roofing features a combination of asbestos and
waterproofed concrete with translucent skylights in places.
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Fixtures and Finishes All retail / commercial units have been fitted tenants’ specifications and
requirements.
The flats feature a combination of tiling, carpets and laminate-tiled covered
concrete flooring under painted concrete ceilings.
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Utilities It is understood that services & utilities are supplied by the Nelson Mandela Bay
Metropolitan Municipality. Some of the units (flats) have been fitted with prepaid
electricity meters and all remaining units appear to be separately metered and
recovered on a monthly basis.
The Robert Street facing building has additionally been fitted with a solar powered
generator that feeds into the main council supplied grid with approximately two
(2) additional, smaller battery powered backup power supplies (ownership of the
tenant).
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Gross Building Areas Area Description Approx GLA (m²)
Erven 1931 & 1932 - facing Robert St
Ground floor - retail / office 592
First Floor - offices 592
Subtotal: Erven 1931 & 1932 GBA 1 184
Erf 1930 - facing Drury St
Ground Floor - Retail / Workshop 306
First - Third Floors - Flats (4 per floor) 739
Subtotal: Erf 1930 GBA 1 045
Total Gross Lettable Area 2 229
Notes:
Gross Building Areas are approximates based on a combination of
on-site and aerial photograph measurements taken along the outer
building walls and include internal penetrations such as
passageways and staircases.
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Parking Standard street front parking is available along both street fronts. The unimproved
areas are predominantly concrete paved and hosts the staircases to access the
flats.
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Occupation The property is multi-let. See from page 14 for details.
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Condition The properties are regarded to be in a fair condition with ongoing repairs and
maintenance required. We have not undertaken a structural survey of the
buildings nor have we arranged for tests or inspections of the service installations,
but these appear to be in working order.
By bidding on this property, the purchaser acknowledges that he has acquainted himself with the
extent and the nature of the property he is buying and that he accepts the property as such.
/AucorProperty www.aucorproperty.co.za 13Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Projected Annual Income – Summary
BASIC RENT
Unit Item / Tenant Start Date Expiry Date Esc Basic Rent Area Let Total
Robert Street Building
Retail, Office, Warehouse Ellies Electronics (Pty) Ltd 01/02/2020 31/01/2025 6,5% R 26,04 1184 R 473 166,00
1 184 R 473 166,00
Drury Street Building
Ground Floor - Retail Brightsparx 01/02/2020 31/01/2025 6,5% R - 306 R -
First - Third Floors - 12x Flats Various Private Individuals 01/02/2020 31/01/2025 6,5% R 1 000,00 739 R 146 340,00
1 045 R 146 340,00
Combined Area Let 2 229
Potential Gross Annual Income R 619 506,00
Notes/Assumptions
1.The Basic rent and the escalation rate are as extracted from the draft lease supplied by the Seller.
2. Salient lease terms are as extracted from the proposed lease contracts.
3. It is understood that the rental for the ground floor retail tenant is included in the total rental charged to Ellies Electronics (Pty) Ltd. (Ellies sublet
to Brightsparx - as extracted from the draft lease). The basic rent (rate/m²) for Ellies Electronics (Pty) Ltd is therefore calculated based on the
combined sizes zomprising the Robert Street Building and the ground floor of the Drury Street Building.
4. All rental information presented above is exclusive of VAT.
5. Rental Information excludes balances brought forward, deposit charges and similar once-off items billed during this period.
Special Note - The rental information in this brochure is not intended to constitute specific advice nor to substitute for a due diligence exercise, and
Date:
accordingly should not be relied upon to make a purchase decision. Prospective purchasers should make their own enquiries and investigation to
6 February 2020
confirm pertinent information and forecasts, and should further seek appropriate independent professional advice in relation thereto from suitably
E & OE
qualified professionals to complete their own due diligence in relation to the Property.
/AucorProperty www.aucorproperty.co.za 14BASIC RENT
Unit Item / Tenant Start Date Expiry Date Esc Basic Rent Area Let May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 Total
Robert Street Building
Retail, Office, Warehouse Ellies Electronics (Pty) Ltd 01/02/2020 31/01/2025 6,5% R 26,04 1184 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 41 322,00 R 41 322,00 R 41 322,00 R 473 166,00
1 184 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 38 800,00 R 41 322,00 R 41 322,00 R 41 322,00 R 473 166,00
Drury Street Building
Ground Floor - Retail Brightsparx 01/02/2020 31/01/2025 6,5% R - 306 R - R - R - R - R - R - R - R - R - R - R - R - R -
First - Third Floors - 12x Flats Various Private Individuals 01/02/2020 31/01/2025 6,5% R 1 000,00 739 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 780,00 R 12 780,00 R 12 780,00 R 146 340,00
1 045 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 000,00 R 12 780,00 R 12 780,00 R 12 780,00 R 146 340,00
Combined Area Let 2 229
Potential Gross Annual Income R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 50 800,00 R 54 102,00 R 54 102,00 R 54 102,00 R 619 506,00
/AucorProperty
Notes/Assumptions
1.The Basic rent and the escalation rate are as extracted from the draft lease supplied by the Seller.
2. Salient lease terms are as extracted from the proposed lease contracts.
3. It is understood that the rental for the ground floor retail tenant is included in the total rental charged to Ellies Electronics (Pty) Ltd. (Ellies sublet to Brightsparx - as extracted from the draft lease). The basic rent (rate/m ²) for Ellies Electronics (Pty) Ltd is therefore calculated based on the combined sizes
comprising the Robert Street Building and the ground floor of the Drury Street Building.
4. All rental information presented above is exclusive of VAT.
5. Rental Information excludes balances brought forward, deposit charges and similar once-off items billed during this period.
Special Note - The rental information in this brochure is not intended to constitute specific advice nor to substitute for a due diligence exercise, and accordingly should not be relied upon to make a purchase decision. Prospective purchasers should make their own enquiries and investigation
Date: 2020/02/06 E & OE
to confirm pertinent information and forecasts, and should further seek appropriate independent professional advice in relation thereto from suitably qualified professionals to complete their own due diligence in relation to the Property.
Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
www.aucorproperty.co.za
Projected Gross Annual Income
15Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Lease Summary
This lease summary should not be relied upon in isolation and should be read in conjunction with the executed lease document,
a copy of which is on hand and will be made available to bona fide prospective purchasers upon request.
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Lease 1
Tenant Ellies Electronics (Pty) Ltd
Rentable Area Robert Street Building - Office, Warehouse & Retail - ±1184m²
Drury Street Building – Ground Floor Retail - ±306m²; 1st -3rd Floor flats -±739m²
Start Date 1 February 2020
Expiry Date 31 January 2025
Renewal Period Five (5) years
Escalation Rate 6.5% per annum
Monthly Rental (excl VAT)* Ellies - Retail, Office & Warehouse
From To Area (m²) * Basic Rental Gross Rate / m²
01/02/2020 31/01/2021 R 38 800 R 26,04
01/02/2021 31/01/2022 R 41 322 R 27,73
01/02/2022 31/01/2023 1490 R 44 007 R 29,54
01/02/2023 31/01/2024 R 46 868 R 31,46
01/02/2024 31/01/2025 R 49 914 R 33,50
12x Flats
From To Units Basic Rental Gross Rate / Flat
01/02/2020 31/01/2021 R 12 000 R 1 000,00
01/02/2021 31/01/2022 R 12 780 R 1 065,00
01/02/2022 31/01/2023 12 R 13 611 R 1 134,23
01/02/2023 31/01/2024 R 14 495 R 1 207,95
01/02/2024 31/01/2025 R 15 438 R 1 286,47
Additional Charges The tenant will be liable for the following additional charges:
o All consumption charges
o Their share of municipal charges including Rates and Taxes
o Internal maintenance (only for premises occupied)
o Plumbing, electrical installations, glass etc. (only for the portion of
the premises occupied)
Key Clause It is understood that the rental for the ground floor retail tenant is included in
the total rental charged to Ellies Electronics (Pty) Ltd. (Ellies sublet to
Brightsparx - as extracted from the draft lease). The basic rent (rate/m²) for
Ellies Electronics (Pty) Ltd is therefore calculated based on the combined
sizes (as indicated in the above table) comprising the Robert Street Building
and the ground floor of the Drury Street Building.
Note For the purposes of this summary and projection, the agreement and
escalations relating to the flats are based on the same principles as the Ellies
lease agreement.
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/AucorProperty www.aucorproperty.co.za 16Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Rates Statement
/AucorProperty www.aucorproperty.co.za 17Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Zoning Information
Erf 1930
/AucorProperty www.aucorproperty.co.za 18Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Zoning Information
Erf 1931
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Zoning Information
Erf 1932
/AucorProperty www.aucorproperty.co.za 20Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Surveyor General Diagrams
Erf 1930 – S.G. No. 6334/1938
/AucorProperty www.aucorproperty.co.za 21Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Surveyor General Diagrams
Erf 1931 – S.G. No. 534/1883
/AucorProperty www.aucorproperty.co.za 22Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
Surveyor General Diagrams
Erf 1932 – S.G. No. 2006/1860
/AucorProperty www.aucorproperty.co.za 23Corporate Disposal - Mixed-Used Buildings – North End, Port Elizabeth
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