Frequently Asked Questions


What is the address?
112 Loop Street, Cape Town, South Africa, 8001

Who is the Developer?
Rawson Developers
www.rawson-developers.co.za

Who is the Architect?
Bruce Wilson
bwilson.co.za

How do I purchase an apartment?

  • Sales go live on the 11th of May at 12:00 midday.
  • Prior to the launch you can create a shortlist of your favourite apartments on https://sales.thecarrington.co.za/register
  • Once sales go live, to reserve a unit, simply complete the online reservation process by filling out your details and paying a R5000 non-refundable deposit via PayStack using any the following methods:
    • Credit or Cheque Card
    • OZOW Instant EFT
    • Masterpass
    • Snapscan
  • At this point, the unit will be reserved and you will receive a confirmation email to approve your reservation.
  • An agreement of sale will then be emailed to you, which you’ll need to sign and return to your assigned agent within 24 hours. (Please note electronic signatures not allowed)
  • You as the buyer then have 7-days to pay your deposit of 10% of the purchase price into the conveyancer’s (STBB) trust account. The funds held in trust will accrue market-related interest in the favour of you, the purchaser, until the development is transferred in 2023.
  • You will need to secure the balance of 90% of the purchase price within 14-days from the date of signature. This can either be secured through a bond approval, a bank guarantee or cash.
  • Alternatively, we will also accept a 30% deposit with the balance payable 60 days prior to transfer in 2023.

When is the completion date?
Anticipated completion is Jan 2023 – this is based on construction commencing on 1 July 2022 and is subject to change. The transfer should take place approximately 2 months after completion.

Are short-term rentals / Airbnb bookings permitted?
Short-term rentals will be allowed. Therefore, units will be able to be marketed on Airbnb and other similar platforms.

How do I reserve an apartment?
Simply visit: https://sales.thecarrington.co.za/ on the 11th of May 2022 just before 12:00 midday to reserve your preferred apartment as soon as sales go live at 12:00.

The greyed out Reserve button will change to green and become active as soon as the countdown reaches zero at 12:00 midday

How do I qualify for the R100 000 launch discount?*

  1. Complete your Buyer Profile to activate your discount at https://sales.thecarrington.co.za/register
  2. On the launch day (11th May 2022) reserve your unit/units
  3. The discount applies to each unit you purchase.
  4. Sign an Agreement of Sale and pay your 10% deposit within 7 days
  5. Get your finance approval within 14 days (natural person) & 21 days (company) from the acceptance of your agreement of sale.

*If finance is not approved and the deposit is not received within the above-mentioned time frame then the launch discount will no longer be applicable.

What does the security consist of? 

  • 24-hour concierge service
  • 24-hour manned security
  • Biometric access controls
  • Video intercom to each unit
  • CCTV surveillance and on-site monitoring
  • The Carrington is located within the City of Cape Town CID district which is actively patrolled.

Is there Parking?
The Carrington apartments are sold without parking. Our research has shown us that a high percentage of tenants these days living in our developments do not require parking and as such we have excluded parking from the building AND THE PRICE – you are therefore not paying for parking that many of occupants will not use anyway. The building is centrally situated so many occupants will use Uber and similar services to be able to get to wherever they need to go at affordable rates.

UBER X (Est. Cost)
R25 CTICC
R27 Mediclinic Cape Town
R31 Cape Town Stadium
R32 Oranjezicht Market
R33 V&A Waterfront
R41 Lions Head Hiking Trail
R48 Table Mountain
R65 Clifton 4th Beach
R178 Cape Town International Airport

All that said, there is a wide variety of parking nearby, so there will be secure parking available, to rent or buy, should it be needed.

Click here to view nearby parking options: https://www.parket.co.za/building/111breestreet/

What kind of returns can investors expect?
Historically, capital growth in an area like the CBD has seen an average of around 7% per annum, plus a rental return of about 7,5% gives you an annual return of 14,5% per year which is an almost unbeatable investment.

In short, you can own an apartment for just R773 per month – see calculations below which are based on a R1 540 000 apartment:

  • You get R100 000 discount if purchased on launch day meaning the purchase price is now R1 440 000
  • A 90% bond will cost you R 10 639 per month at the prime lending rate.
  • Rates and levies are R1 922 pm
  • = Total monthly cost – R 12 561 pm
  • Estimated monthly rental – R10 000pm

Your monthly contribution  – R2 561 pm

Benefits of buying on launch include: 

  • R 100 000 off the asking price on launch day
  • Guaranteed rental for 1 year on selected apartments
  • No transfer duty

How do I apply for a bond?
Rawson Finance can assist you at no charge and will apply to all the major banks on your behalf to find you the best interest rate. Should you need their assistance please let us know and we can put you in touch with them.

If you would like to make the process as easy as possible we suggest you get a pre-approval done before launch day, which will make the process much quicker once you have secured your unit.

Please let us know if we can assist you with a pre-approval.

TAX INCENTIVES

Urban Development Zone
The UDZ expiry date has recently been extended by *2 years, and any brand new property that transfers before expiry is eligible for up to 55% Tax deduction from SARS. (Deductible over 11 years)

How it works

  • Purchase a property for R1,5 million
  • Discount = R 100 000 (if purchased on launch)
  • Final purchase price = R1,4 million
  • 55% of this can be claimed as a tax deduction (R770 000) over 11 years

20% of the R770 000 (R 154 000) can be claimed as a tax deduction in year 1

8% of the R 770 000 (R 61 600) can be claimed as a tax deduction for the following 10 years

Total tax deduction after 11 years = R 770 000

Section 13Sex
Investors still have access to powerful tax incentives, including the popular Section 13sex of the Income Tax Act No 58 of 1962. This scheme enables any taxpayer who owns five or more new, residential rental units, to claim up to 55% of the purchase price as a tax deduction. (Deductible over 20 years)

How it works

  • Purchase five units at R1,3 million each = R6,5 million
  • Discount = R500 000 (R100 000 per unit, if purchased on launch)
  • Final purchase price = R6 million
  • Deemed purchase price = 55% of final purchase price (R3,3 mil)

5% of the deemed price may be used as a tax deduction (residential building allowance).

This works out to a tax deduction (tax write-off) of R165 000 per year for 20 years.

Total tax write off = R3 300 000 (over 20 years)

Taxpayer Criteria for Section 13Sex :

  • The taxpayer must own at least 5 residential units. A residential unit refers to a building or self-contained apartment, mainly used for residential accommodation with the exclusion of structures used for business purposes, for example, hotels.
  • All units must be situated in South Africa.
  • Residential units must be new and unused. (For example, buyers of flats that had previously been occupied would not qualify for this incentive.)
  • The units must be used solely for the purpose of trade (i.e. residential letting). This prevents housing claims for personal use.

*DISCLAIMER
In order to claim the tax allowance and/or incentive and/or deduction, certain requirements have to be met. The listed examples may not apply in certain instances. The Developer, its representative and/or its agents, do not provide tax advice. All material in respect of the Development has been prepared for information purposes only and it is not intended to provide, and should not be relied on for, tax advice. Before concluding any transaction with the intention of making use of either of these tax incentives, the Developer specifically advises that a purchaser should consult his/her/its own tax adviser. The Developer cannot be held liable for any loss, howsoever arising. Furthermore, the availability of these tax structures to any purchaser is not a warranty, express, tacit, implied, or otherwise, from the Developer in relation to the transaction.

Furthermore, kindly note that the UDZ tax allowance and/or incentive and/or deduction for The Carrington is subject to and could be impacted by SARS amending the UDZ provisions after March 2023.

Fibre & DStv
Every apartment comes with fibre & DStv connection.

Lift Access
Full lift access via 2 lifts is provided from the ground level to every floor.

Electricity & Water Prepaid
Electricity and water are prepaid and meters installed in each apartment.

Furniture & Appliance packs
These will become available towards the completion date of the development. Please enquire with our sales team should you wish to find out more.

AGENTS

Gadija Dilgee
gadija.dilgee@rawson-developers.co.za
+27 79 691 9661

Genevieve Moller
gen@rawson-developers.co.za
+27 66 188 1073

Eugene Batts
eugene.batts@rawson-developers.co.za
+27 82 567 3151

Sally Duncan
sally.duncan@rawson-developers.co.za
+27 82 803 3743

Davide Del Fante
davide@rawson-developers.co.za
+27 82 758 0458