Frequently Asked Questions

20 Burg St, Cape Town City Centre, Cape Town, 8000

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Start: January 2025
Completion: Q4 2025

35 Boutique studios, one-bedroom and two-bedroom units

• Professional concierge service
• Ground floor lobby and restaurant
• High-speed fibre
• Bespoke furniture packs available
• Parking available for purchase
• Storerooms available for purchase

Each unit will have a prepaid independent electricity and water metre.

The building will have strict access controls with biometric access control and CCTV surveillance, including short-term rental access control.

No

Flooring upgrade, brassware & ironmongery upgrade, bathroom upgrade, cabinetry upgrade, electrical optional extras.

Yes, there are 11 storerooms in the basement available for sale at an additional cost.

Furniture available for purchase from Shani Schabort – Interior Architect. Highly advisable when going the short-term rental route.

No

Heat Pump Water Heating System

High-speed fibre ready

There is lift access to all floors in The Charlotte.

The Charlotte is pet friendly upon body corporate approval.

Key Nearby Locations

• Green Market Square – 71m
• Long Street – 91m
• Woolworths – 270m
• Company Gardens – 1km
• V&A Waterfront – 1.2km
• Netcare Christiaan Barnard Memorial Hospital – 1.3km
• Labia Theatre – 1.3km
• Oranjezicht City Farm – 1.3km
• Cape Town Stadium – 2.8km
• Table Mountain Cableway – 5.3km

Nearby Restaurants and Cafes

• Tigers Milk – 91m
• Burger & Lobster – 350m
• Langham House Coffee – 350m
• VIXI Social House – 400m
• Ideas Cartel – 400m
• Villa 47 – 450m
• Iron Steak and Bar Restaurant – 450m
• Tjing Tjing – 700m
• Clarke’s – 800m

Nitely (https://www.nitely.co.za/)

Purchasers need to have a fully furnished “AirBnB” ready apartment.
Purchasers will need to sign a short-term letting management agreement.

This is subject to approval of the developer and the Body Corporate.

If Nitley is your chosen short-term letting manager, yes you may use your apartment for personal use. This is subject to their Terms and Conditions in the management agreement.

Yes

• Sales launch online at 1pm on Wednesday, 23 October 2024 via the interactive price list: https://sales.thecharlotte.co.za/.
• Ahead of the sales launch you will be able to view and browse all the available units by visiting the user-friendly interactive price list.
• Here you can easily browse the available units and use the filters and sort function to narrow down your search.
• On each unit, the layout, all costs and expected rentals are shown.
• Once sales go live you can reserve your preferred unit/s.

Your shortlist acts as a wish list of units that you have quick access to ahead of and on the launch day. Simply click the ADD TO LIST button on your favourite units. You can also reserve your preferred unit directly from the Shortlist when sales go live.

To unlock your discount, simply click the green discount button below the price on any unit and follow the prompts to complete your Buyer Profile & unlock the discount on all units. Once completed, the discounted price will show on the price list.

Terms & Conditions apply.

All reservations will happen online via the interactive price list.

The below list outlines the steps you’ll need to be familiar with in order to have the best chance of securing the unit you want to purchase.

1. Register and log in to https://sales.thecharlotte.co.za/.
2. Once the countdown reaches zero and sales go live at 1pm, you will be able to Click the GREEN RESERVE button on your selected unit to start the process.
3. Make sure to be quick as others may also be interested in the same unit.
4. Complete the form and accept the terms: Click CONTINUE
5. Your reservation will now move to the pending state where you will have 10 minutes to finalise the reservation.
6. You may now select an additional parking to your purchase if necessary.
7. You will then pay your R10,000 reservation fee via the following methods:
   • Visa or Mastercard
   • Instant EFT via OZOW
   • Masterpass
   • Snapscan
8. Once the R10,000 fee is concluded, your unit will be reserved!*
9. You will then receive an email from our team confirming your reservation.

Next steps:

• The Agreement of Sale will be sent to you via email, this will need to be signed and returned to us within 48 hours from receiving it.
• The full deposit required is 10% of the purchase price within 7 days from receiving a signed agreement of sale. The deposit is paid into the transferring attorney’s interest-bearing account and your money will earn interest for you.
• The balance (90%) will need to be secured within 21 days by either a bond approval, bank guarantee, or cash.
• Alternatively, we will also accept a 30% non-refundable deposit with the balance payable 60 days prior to the transfer.

• R100 000 launch day discount.
• Best selection of units.
• Capital appreciation for 18 months is estimated at 10,5% (7% pa) while the development is under construction.
• Rare opportunity to own in an exclusive Cape Town neighbourhood, with a prime location and proximity to key amenities and tourist attractions.

Financed deals

1. Minimum 10% deposit with the balance in the form of a bond approval
   • Deposit to be paid within 3 days from receiving a signed agreement of sale.
   • The deposit is paid into the transferring attorney’s interest-bearing account and your money will earn interest for you.
   • The balance (90%) will need to be secured within 21 days with bond approval.

Cash deals

1. 30% non-refundable deposit with the balance payable to the transferring attorneys 60 days before lodgement.
2. Minimum 10% deposit with a bank guarantee for the balance of the purchase price supplied within 21 days of purchase.

Yes, the deal is subject to your bond being approved and should it not be approved the deposit is paid back to you with interest. If you are unsure if you can afford the bond it is a good idea to get pre-qualified prior to the launch as the R10,000 reservation fee is not refundable.

Bond repayments will only commence after the development has been completed and once the transfer of the apartment you have purchased, has taken place.

Bond costs are payable at the time that the bond registers, once the development is complete.

There is no transfer duty payable but there are transfer fees (attorney costs).

The seller is registered for VAT so there will be no transfer duty but only transfer costs payable.

On a purchase price of R1,695 million, the transfer costs will be R37,675*

To calculate the transfer costs you can click on the below link: https://www.betterbond.co.za/calculators/bond-and-transfer/

NB: Please select yes when it asks if the seller is registered for VAT.

*Please note these are subject to change

Levies are determined in terms of sectional title and exclusive use area of the apartments, parking and storeroom levies are calculated at a standard rate to be determined.

They cover the costs of security, cleaning & upkeep of the common areas, maintenance of the building, building insurance and all running costs and management costs and insurance of the building.

Monthly rates are based on the value of the property and are calculated based on the value of the property and then multiplied by 0.00631 to get your yearly rates. Divide this by 12 to get your monthly rates.

Example:

(R2,299 million property)
R2,299,000 x 0.00631 = R14,507 per annum
This equates to R1,209 per month

No hidden costs. VAT inclusive, no transfer duty. Rates, taxes and CID will apply.

The contract price is the price the client will pay for the property. You must be aware that there is occupational interest due from the date you take occupation until you take ownership (transfer takes place).

The other costs applicable are detailed above and include monthly rates and levies. Bond costs will be payable prior to registration of your bond once you take transfer of your unit. Transfer costs at this point will also be applicable but these costs are largely offset by the interest that you earn on your deposit during the construction period.

After the completion of the development, the transfer process will commence. Occupation will be given as soon as an occupation certificate is granted. You will be able to occupy or rent out your apartment from the date of occupation.

1. Cape Town sees an average annual capital growth of 7%, so your property value is growing at roughly 7% pa but you are only required to put down 10% of the development value.
2. This means you are getting growth on the full purchase price of the property and only have to put down a fraction of the price.
3. Your tenant is largely paying off your investment property & bond for you.
4. Your rental income increases every year but bond repayments generally stay the same and in relation to yearly salary and incomes inflating, the bond repayments become relatively cheaper every year.
5. There is high demand for secure luxury property in Cape Town’s City Centre and Atlantic Seaboard, resulting in a secure long-term investment.
6. The longer it takes to enter the property market the harder it becomes.
7. Property investment is likely to create long-term sustainable wealth and an ever-increasing annuity income.

Investors 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 (do not all have to be from the same development), to claim up to 55% of the purchase price as a tax deduction.

Example:

• Purchase five units at a total purchase price of R19 868 075
• Minus the launch discount = R1 000 000 (R200 000 per unit, if purchased on launch)
• Final purchase price = R18 868 075
• Deemed purchase price = R10 377 441 (55% of final purchase price)
• 5% of the deemed price may be used as a tax deduction per year

This works out to a tax deduction (tax write-off) of R518 872 per year for 20 years.

Total tax write-off = R10 377 441 (over 20 years).

• The taxpayer must own at least 5 residential units. The deal kicks in once the buyer takes ownership of their 5th new unit. 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 have been purchased 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.
• Please consult your tax advisor for further clarification and information.