Bishopscourt Property for Grabs in Sale by Tender

Located in coveted Hillwood Avenue in Bishopscourt, a five-bedroom 5-bathroom home on a 4,000 square meter plot, with awe-inspiring views of the city and mountains, is to go on sale by tender through Greeff Properties, exclusive affiliate of Christie’s International Real Estate in Cape Town, South Africa.  The tenders will close on 14 November at noon.

“A sale by tender can be an exciting and very effective process for both seller and buyer,” says Mike Greeff. “It’s best employed when a quick sale is required, since it creates a sense of urgency which tends to prompt action from potential buyers who are required to submit confidential offers, sealed in an envelope, by a certain date. These offers are presented to the seller on a designated day, and the agent and seller open the bids together,” explains Greeff, adding that the advantage for the would-be purchasers is that, unlike an auction, which is a cash only scenario, a sale by tender does not rule out “subject to” offers and there is no reserve. Furthermore, all offers are presented to the seller. “If the seller is not happy with any of the tenders, he can approach each of the tenderers and suggest that they retender, once again, by a specified date,” says Greeff, adding that in a sale by tender the seller pays estate agent commission and not the buyer, which is the case with an auction sale.

“Obviously, the big question is how much one should tender and part of that answer is what the buyer believes the property is worth, however, it’s more helpful to look at comparative values for the immediate area and make a judgment call based on the condition of the house and the improvements you intend to make if any,” says Greeff. According to Propstats, since January 2011, properties in Bishopscourt have been fetching around 14% below asking price, which puts the current price per square meter for the Hillwood area at around R4500. Homes in the immediate area have sold for between R19.5 million and R35 million–this latter amount was achieved for a sale concluded in October 2011.

Coveted by many, but occupied only by the elite few, Bishopscourt comprises some of the most valuable real estate, not only in South Africa, but possibly on the African continent too. It’s one of Cape Town’s oldest suburbs and was originally the site of Jan van Riebeeck’s farm, Boscheuwel–the hedge he planted in 1660 to protect the cattle of the Cape colonists still stands in Kirstenbosch. It can also be seen in Klaassens Road, opposite number 31.

At present, Bishopscourt has approximately 350 properties. It’s home to large family residences, numerous consulates and embassies, exclusive guest houses, and a collection of local and international celebrities– Archbishop Desmond Tutu and his wife, Leah, still number among the residents, and it was in their home that Nelson Mandela spent his first night of freedom after his release in February 1990.