SA property had an exceptional year in 2024: where to next in 2025?

Luqman Hamid

Ninety One sees a continued improvement for local property as rental reversions trend up across retail, office, industrial sectors

The SA property sector was one of the best performing asset classes in 2024, benefitting from the post-election optimism and a potential long-awaited turnaround in economic fortunes for the country. Helped by declining local bond yields, listed property returned almost 30% for the year:

Source: Ninety One

The majority of this return was through re-rating, with comparatively smaller contributions from income and income growth. This echoed the case for many SA assets in 2024, where returns were driven by increasing expectations from a low base, rather than fundamental improvement.

Looking ahead into 2025, we see a continued improving trajectory for local property as rental reversions begin to trend upwards across the retail, office and industrial sectors.

Click here to read more...