Renico Construction Newsletter: October 2024

Hopefully, the cold snap hitting us currently will be our last for the year and we'll soon be in a better position to enjoy the fantastic weather South Africa is known for. Initial predictions are that most of the country will enjoy above average rainfall during the coming season. Unfortunately, the northern areas of our country and our neighbours to the north of us on the continent will still have to withstand the worst of the El Nino weather phenomenon.

The Western Cape received record levels of rainfall this past season with some areas receiving their normal annual precipitation in a single month in some instances! You can only imagine what this does to projected timelines during a construction process; something I can attest to since we have partnered with another multinational construction company in the construction of student accommodation in Stellenbosch!

With yet another major decrease in the fuel price predicted for this month combined with the first twenty-five basis point reduction in the interest rate announced last week, the average South African consumer might just breathe a sigh of relief as the pressure felt by the increasing cost of living will ease. This is hopefully the first of many positive happenings to be felt in the economy that will bring ongoing relief to consumers.

With construction now underway at the iThemba site in Albertsdal we hope to have a completed show unit available before the annual builder holiday kicks in on 15 December. The ongoing building activity and a completed show unit is sure to further bolster the marketing campaign, which should also lead to a surge in the number of sales concluded.

All homes making up the second phase of our Riverspray Lifestyle Estate development in Vanderbijlpark, are now complete and ready for occupation. The first families are moving into their brand-new full title simplex homes within this exclusive lifestyle estate, but we still have a limited number of unsold homes available. If you are interested in becoming a resident of this stunning estate, contact Nicolene on 083 561 1731 to book a viewing of the available homes and learn of the lengthy list of amenities offered to its residents.

We have seen excellent progress with the construction of the remaining twenty-seven homes at our Fernhill residential estate in the heart of Bryanston. The site is almost 50% sold, and I am confident that we will be securing quite a few more sales in the months leading up to December. I am not much of a betting man, but with this estate I have a feeling that we could possibly have all the homes sold by the time we reach the planned occupation date of 1 May 2025! I am sure there are quite a number of my colleagues who hope that I am right!

With the construction commencing at our iThemba project in Albertsdal, we have secured another two sites adjacent to iThemba, for future development. This will bring the construction of another 125 homes into our planned future projects. My in-house professional team has already commenced with the tedious administrative process to 'ripen' the stands and by doing so, prepare them to for development within the next twelve to twenty-four months.