Aengus Property Holdings (APH) is a brand synonymous with inner-city regeneration, urban renewal, a new wave of fashionable inner-city living. APH has come a long way in a short time, thanks to its unique approach to providing affordable yet upmarket accommodation within the Joburg CBD.

As one of Johannesburg’s foremost urban renewal specialists, APH has brought stylish yet affordable inner-city living to thousands of people, setting the benchmark for affordable housing in areas previously characterised by limited supply and quality of accommodation.

Their premise was an innovative one: convert mothballed commercial office blocks into stylish, upmarket loft apartments, perfectly suited to South Africa’s massive emerging middle class.

With an estimated one million people commuting to work in the Joburg CBD each day, this represents not just a gap in the property market, but rather a yawning chasm, which APH is rapidly filling.

The holding company APH, created Aengus Lifestyle Properties (ALP) and Aengus Property Management (APM).

The Aengus total lifestyle package

Using a now-proven recipe of in-house construction and property management, APH has created stylish apartments for 1 500 tenants across 13 renovated buildings, predominantly in the Johannesburg CBD area as well as in Durban’s Berea.

Its tenants are typically young professionals earning between R10 000 and R15 000 a month, and employed by one of the large, established organisations in and around the city.

APH also targets the city’s student community, having strong relationships with many tertiary education institutions that call the CBD their home. One of its longer-term objectives is further national expansion into the student residential market, meeting the rapidly increasing demand for upmarket quality student accommodation.

The apartments in converted APH buildings are bachelor pads or single-bedroom units, making them affordable to this low to mid-income market.

While easy on the pocket, APH units do not however, compromise on style. All units come standard with the ultra-modern fittings and finishes associated with luxury living: fridge/freezers, built-in stoves, strip wooden floors, ceramic tiled bathrooms, fitted cupboards, window blinds, and even 12-channel satellite TV.

All buildings have access control and 24-hour security, as well as secure parking, making them attractive to female tenants, who make up approximately 70% of the tenant base.

Tenants are also offered numerous value-adds, such as on-site laundries, the Aengus Lifestyle Card which gives them discounts at 500 retail and service businesses, and even free daily transport for students to universities and colleges further than 1,5km away.

Investing in the dream
Many of APH’s desirable rental units were offered for sale to the investor market through sectional title sale in 2007, delivering outstanding yields with medium- to long-term capital appreciation. APH buildings generate returns of over 10% per year, with rental escalations maintained at 8%, sometimes as often as twice a year.

Investors’ interests are further looked after by APH’s management company, Aengus Property Management, which ensures that investors enjoy as close to 100% occupancy and 100% rental collection as possible, while taking care of all maintenance and building issues on the investor’s behalf.

AENGUS LIFESTYLE PROPERTIES (ALP)

All Aengus Property Holdings’ conversion projects are owned by Aengus Lifestyle Properties (ALP), a special purpose vehicle company owned by APH (74%) and International Housing Solutions (26%).

Investment firm International Housing Solutions is a global fund that partners with financial institutions, private capital groups, real estate developers and local governments to help finance affordable property projects for families in the lower to mid-income range.

AENGUS PROPERTY MANAGEMENT (APM)

With a vested interest in the ongoing success of its converted buildings, Aengus Property Holdings was reluctant to leave the management of its properties to an outside concern.

It therefore set up Aengus Property Management (APM), a wholly-owned subsidiary of APH that  manages the entire rental portfolio, as well as sectional title buildings on behalf of the group.

APM performs a facilities management role within APH. On top of managing all repairs and maintenance, its 200-strong team also manages all security aspects, including access control, guarding and monitoring.

An in-house professional letting team coordinates vacancies, ensuring that vacated apartments are seamlessly filled with new, vetted tenants from APM’s waiting lists.

Strict screening processes for prospective tenants and year-round demand for APH apartments (with some buildings being as much as 10 times over-subscribed), have seen APM boasting an enviable 100% occupancy for the 1 500 units across the 15 buildings that it manages. It also has a track record of 100% rental collection and zero arrears.

APM furthermore manages the financial processes of all buildings, in bodies corporate, collecting levies and rentals and paying profits to investors.

This dedicated management of tenants, buildings and facilities has contributed to the way-above-average rental returns for investors within the Aengus building portfolios. It also adds to the long-term appeal and capital appreciation which these units are delivering.

Aengus Property Holdings (APH) is a brand synonymous with inner-city regeneration, urban renewal, a new wave of fashionable inner-city living. APH has come a long way in a short time, thanks to its unique approach to providing affordable yet upmarket accommodation within the Joburg CBD.

As one of Johannesburg’s foremost urban renewal specialists, APH has brought stylish yet affordable inner-city living to thousands of people, setting the benchmark for affordable housing in areas previously characterised by limited supply and quality of accommodation.

Their premise was an innovative one: convert mothballed commercial office blocks into stylish, upmarket loft apartments, perfectly suited to South Africa’s massive emerging middle class.

With an estimated one million people commuting to work in the Joburg CBD each day, this represents not just a gap in the property market, but rather a yawning chasm, which APH is rapidly filling.

The holding company APH, created Aengus Lifestyle Properties (ALP) and Aengus Property Management (APM).

The Aengus total lifestyle package

Using a now-proven recipe of in-house construction and property management, APH has created stylish apartments for 1 500 tenants across 13 renovated buildings, predominantly in the Johannesburg CBD area as well as in Durban’s Berea.

Its tenants are typically young professionals earning between R10 000 and R15 000 a month, and employed by one of the large, established organisations in and around the city.

APH also targets the city’s student community, having strong relationships with many tertiary education institutions that call the CBD their home. One of its longer-term objectives is further national expansion into the student residential market, meeting the rapidly increasing demand for upmarket quality student accommodation.

The apartments in converted APH buildings are bachelor pads or single-bedroom units, making them affordable to this low to mid-income market.

While easy on the pocket, APH units do not however, compromise on style. All units come standard with the ultra-modern fittings and finishes associated with luxury living: fridge/freezers, built-in stoves, strip wooden floors, ceramic tiled bathrooms, fitted cupboards, window blinds, and even 12-channel satellite TV.

All buildings have access control and 24-hour security, as well as secure parking, making them attractive to female tenants, who make up approximately 70% of the tenant base.

Tenants are also offered numerous value-adds, such as on-site laundries, the Aengus Lifestyle Card which gives them discounts at 500 retail and service businesses, and even free daily transport for students to universities and colleges further than 1,5km away.

Investing in the dream
Many of APH’s desirable rental units were offered for sale to the investor market through sectional title sale in 2007, delivering outstanding yields with medium- to long-term capital appreciation. APH buildings generate returns of over 10% per year, with rental escalations maintained at 8%, sometimes as often as twice a year.

Investors’ interests are further looked after by APH’s management company, Aengus Property Management, which ensures that investors enjoy as close to 100% occupancy and 100% rental collection as possible, while taking care of all maintenance and building issues on the investor’s behalf.

AENGUS LIFESTYLE PROPERTIES (ALP)

All Aengus Property Holdings’ conversion projects are owned by Aengus Lifestyle Properties (ALP), a special purpose vehicle company owned by APH (74%) and International Housing Solutions (26%).

Investment firm International Housing Solutions is a global fund that partners with financial institutions, private capital groups, real estate developers and local governments to help finance affordable property projects for families in the lower to mid-income range.

AENGUS PROPERTY MANAGEMENT (APM)

With a vested interest in the ongoing success of its converted buildings, Aengus Property Holdings was reluctant to leave the management of its properties to an outside concern.

It therefore set up Aengus Property Management (APM), a wholly-owned subsidiary of APH that  manages the entire rental portfolio, as well as sectional title buildings on behalf of the group.

APM performs a facilities management role within APH. On top of managing all repairs and maintenance, its 200-strong team also manages all security aspects, including access control, guarding and monitoring.

An in-house professional letting team coordinates vacancies, ensuring that vacated apartments are seamlessly filled with new, vetted tenants from APM’s waiting lists.

Strict screening processes for prospective tenants and year-round demand for APH apartments (with some buildings being as much as 10 times over-subscribed), have seen APM boasting an enviable 100% occupancy for the 1 500 units across the 15 buildings that it manages. It also has a track record of 100% rental collection and zero arrears.

APM furthermore manages the financial processes of all buildings, in bodies corporate, collecting levies and rentals and paying profits to investors.

This dedicated management of tenants, buildings and facilities has contributed to the way-above-average rental returns for investors within the Aengus building portfolios. It also adds to the long-term appeal and capital appreciation which these units are delivering.