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This month we look at the increased demand for warehouses as manufacturing declines, we offer 10 tips for finding the right rental premises for your business, and we meet Francois Mouton, our latest square peg.
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Warehouse boom takes hold as manufacturing declines

The slow decline of manufacturing in South Africa is making its impact felt in the local property market as demand for factory space wanes. Shane Padayachy, property finance specialist at Business Partners Limited, says one the defining property trends of 2017 is the move away from factory premises to warehouses.

More and more owners of industrial property are converting their old smoke stacks into distribution-type premises, and new developments in industrial areas have a lighter industry and warehouse feel to them.

While elsewhere in the world the increasing demand for warehouse space is driven partly by the rise of online retail, in South Africa the warehouse boom is more the result the replacement of locally manufactured goods by imported items, which needs warehouses for repacking, sorting and shipping, says Padayachy.

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Ten tips for finding the right rental premises for your business

“This is the best time for a business owner to be looking for rental premises in South Africa,” says Stanton Naidoo, COO of Property Management Services at Business Partners Limited. The chances of finding just the right spot at the right price is ideal under the current conditions in the business property sector, which makes it very much a tenant’s market, he says.

The choice to rent premises remains a weighty one and the side effects of signing a lease without doing sufficient homework will be borne by the business for as long as the lease lasts, which could even mean years.

Being landlord to thousands of businesses across South Africa, Mr Naidoo gives us his top ten tips to consider when looking to find the right place for a business.

1. Location is key

This ‘golden rule’ of property applies to rental premises as well. It serves no purpose to occupy a grand building, even at minimal rent, but you are miles away from your customers and suppliers. This could also mean that your employees would struggle to reach work, having to wade through congested traffic to get to your premises and needing to employ a private army to keep your equipment safe at night. Start by choosing a good area for your business – then look for the right building.

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March 2017 / Vol.8.3

IN THIS ISSUE:

Are you a
square peg?

This quiz is not scientific but serves to highlight some of the key attributes of entrepreneurs or “square pegs”, as we at Business Partners Limited affectionately call them. The quiz should give you some idea on whether you “possess” entrepreneurial qualities, or not. However, please remember that a positive outcome/score is not a recipe for success.

 
Take the quiz

Entrepreneur engineers his freedom from the shackles of an office 

Many business owners measure their success by the size of their workforce or square-meterage of their shop floors. None of these yardsticks are important to Francois Mouton, a 59-year-old industrial property developer who runs a multi-million rand business without a single employee, not even a secretary.

“I have my laptop, and I have my phone, and they make it possible for me to work anywhere,” says Mouton, who literally means anywhere in the world. For the past six years he has been spending the South African winters on the Spanish island of Mallorca and the summers in Paarl, and until recently a couple of months in Swakopmund, Namibia, planning and managing the development of industrial properties mainly in Centurion in Gauteng.

Mouton describes a routine that many entrepreneurs can only dream of: He cycles for an hour and a half every morning, enjoys a family breakfast and spends perhaps a few hours now and then working in his study, but without feeling trapped there. 

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2017 Entrepreneur of the Year® competition now open for entries
 

The instrumental value that entrepreneurs add to the South African economy is undisputable – they are an important cog in the creation of the much needed jobs in the country. It is therefore encouraging that the challenges and obstacles which impede this valuable sector are receiving some much-needed attention from both the public and private sectors – with the inclusion of small and medium enterprises (SMEs) in the State of the Nation Address (SONA) and National Budget Speech – beckoning for a more focussed approach to entrepreneurial development in the country.

This is according to Ben Bierman, Managing Director at Business Partners Limited (BUSINESS/PARTNERS), who was speaking at the launch of the 2017 Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS.

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Swartkops Industrial Park, Port Elizabeth
Location: 289 Grahamstown Road, Deal Party, Port Elizabeth. The park is located within 15 minutes of the Coega IDZ, 20 minutes drive from the PE CBD and within 1km of the N2 off-ramp.

Description: 598m² space is available to let (Unit 3), it can be used as a warehousing facility or factories.

Contact:
Sharon Lines
041 367 1082
slines
@businesspartners.co.za











 
Aldo Park,
Port Elizabeth
Location: Greenbushes Industrial Park, Gate 2, Old Cape Road, Port Elizabeth

Description: 598m² space is available to let (Unit 9). The unit consists of one garage door with access to the factory, an open plan reception, offices, toilets and showers. It includes 24-hour security with guards at the access point and electric fencing.

Rent: R28 800.00 excl. VAT per month (Prepaid 3-phase power & water charged separately)

Contact:
Sharon Lines
041 367 1082
slines
@businesspartners.co.za




 
Buffalo Thorn Business Park, Rustenburg
Location: Buffalo Thorn Business Park, Nr 56, corner of Van Belkum and Kock Streets, Rustenburg.

Description: 3 units of 254m² each are available to let (unit 9, 10 and 11). They can be combined for bigger space. The units are road facing and consist of one garage door with access to the factory, an open plan reception and office/storage on a mezzanine level. The Business Park has 24-hour security with guards at the access point.

Rent: R13 970.00 excl. VAT per month per unit. Metered electricity, sewerage and water charged separately.

Contact:
Valencia Tshidi
079 011 9191
vtshidi
@businesspartners.co.za

 
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