Following the soft launch of JSE-listed real investment trust Growthpoint Properties’ R2-billion Olympus mixed-use residential and retail development, in Sandton, Gauteng, in December, CEO Estienne de Klerk expects to start construction on the first of two towers in coming months.

During a media tour hosted by the company on January 29, De Klerk advised that 160 units had been sold out of the first tower’s 283 units, which comprises 60% by area and 70% by value.

When the sales reach between 75% and 80%, it justifies the capital required for start of construction.

The first tower will comprise 22 storeys, including hotel rooms and residential units, a spa, sauna and infinity pool, as well as a Marble restaurant on the eighteenth floor.

Notably, among the first units to be sold is a R45-million 900 m2 penthouse, which, together with the other sales, shows the high-end demand in the market for residential property in Sandton Central.

The smaller studio-size units start selling at R1.5-million.

The Olympus property is situated in a prime location, at the intersection of Rivonia road and Sandton drive, across from Discovery’s head office.

Growthpoint is developing Olympus in partnership with luxury residential developer Tricolt.

Among the value-added offerings of the residential units are turnkey design elements that customers can choose from before start of construction. This same principle will be followed with the second tower.

De Klerk adds that the second tower’s units will be adapted according to demand and may be similar or different to that of the first tower.

The Olympus development promises residents views of the Johannesburg, Sandton and Midrand skylines, as well as proximity to the newly launched next-door LXX shopping centre.

De Klerk explains that Growthpoint’s joint venture (JV) with Tricolt aims to turn a profit once developed, hence it will not be an investment remaining on Growthpoint’s balance sheet. Growthpoint will, however, retain some ownership of retail sections of the towers.

As with all of Growthpoint’s latest developments, the design of Olympus includes smart energy management systems, aligning with Growthpoint’s environmental, social and governance (ESG) commitments and offers to customers.

These credentials are a key offering for Growthpoint’s office customers, with green electricity helping companies to boost their ESG credentials, and blockchain technology allowing for carbon credit trading.

Growthpoint’s e-co2 scheme provides tenants with access to wheeled renewable hydro, wind and solar electricity at fixed escalations, sharing the benefits of Growthpoint’s milestone power purchase agreement for renewable energy, with which it secured 195 GWh of green power.

Another notable JV in the residential space is that of the Riverwoods complex, in Bedfordview. In partnership with BlackBrick Hotels and Setso, the companies converted the existing office property to residential and hotel units.

About 75% of the property’s 163 residential units have been sold, comprising studio-size (31%), one-bedroom (58%) and two- bedroom (11%) apartments with balconies or patios.

The property also has 91 hotel units, which started operating in May last year. The residential units started being occupied in November and December last year.

The Riverwoods complex includes recreational facilities, including a gym, Padel tennis court, volleyball court, trail running track and pool. The complex also offers collaborative workspaces and a restaurant.

Similar to the Olympus transaction, once the Riverwood development is fully complete, Growthpoint will exit its investment.

Meanwhile, Growthpoint also continues to develop light industrial units within the Island Precinct development, in Samrand. The area comprises 400 000 m2 of land, of which 80 000 m2 has been developed and 220 000 m2 can be feasibly developed.

Having started the precinct’s development three years ago, it now comprises five buildings. Growthpoint has secured partnerships for another 3 500 m2 to be developed.