21 Room Multi Let Investment in Kempton Park CBD

About this property

5A Willow Street is a 21-room multi-let residential asset in the established Kempton Park CBD node, well suited to staff housing, contractor lodging, shared worker accommodation or room-by-room rental. The property is sold with full vacant possession, giving a purchaser complete control over lease-up, tenant mix and rental structuring from day one, in an area with strong underlying demand from working tenants and relocating families. The asking price reflects an entry point at a conservative assumed rental of R3,500 per room per month, positioning the investment below stabilised market value once let up.

Executive summary

Bidding to start from	R2,500,000
Asset Class	Multi-Let Residential / Staff & Shared Worker Accommodation
Erf	Remaining Extent of Erf 2751, Kempton Park Township, Registration Division I.R., Gauteng
Erf Size	929 m²
Gross Lettable Area (GLA)	427.78 m² (Grand Total Built, per approved plans)
Zoning	Business 3 (City of Ekurhuleni Land Use Scheme, 2021)
Rates & Taxes	R45,896 per annum, see Annual Operating Performance
Current Occupancy Vacant	0 of 21 rooms currently occupied (sold with vacant possession)
Annual Gross Income (GLI)	R882,000 (projected, see Annual Operating Performance)
Net Income Before Purchaser Adjustments	R631,780 (projected, see Annual Operating Performance)
Sale Method	Public Auction

Key investment highlights

✓ 21 modern bedrooms with 7 toilets and 7 showers, plus additional communal ablution facilities
✓ Centralised, canteen-style kitchen with 5 gas hobs and ample cooking space
✓ Fully walled and secured with electric fencing; pre-paid meters per room keep utility costs low
✓ Sold with full vacant possession, giving a purchaser full control over lease-up, tenant mix and rent structuring from day one
✓ Well-positioned Kempton Park CBD location, close to transport, schools, clinics and shopping
✓ Strong local rental demand fundamentals from workers, contractors and relocating families
✓ Scope to combine management with the adjoining 7 Willow Street for portfolio-scale efficiencies
✓ Low municipal rates and taxes relative to income potential

Auction Terms

Registration Fee	R25,000 refundable deposit via EFT payable prior to auction. No cash accepted.
FICA	ID, proof of residence, and letter of authority required to sign on behalf of a juristic entity.
Purchaser's Deposit	5% of purchase price payable immediately on fall of the hammer. Non-refundable.
Commission	10% + VAT over and above the bid price, payable by the purchaser. Non-refundable.
VAT / Transfer Duty	Seller VAT registered. VAT or Transfer Duty payable as applicable.
Confirmation Period	5 business days
Guarantee Period	Within 45 calendar days from acceptance
Transfer Attorney	TBA
General	CPA 2008 applies. Rules of auction available on request. Auctioneer may bid to reserve. Subject to change without notice.

In accordance with industry best practice, Aldes Auctions will present the seller with the highest bid achieved at the auction for acceptance and will not accept any counter offers during this confirmation period.