Navigating challenges: The resilience of South Africa's real estate

SOUTH Africa's real estate sector continues to defy global and local market volatility and retail property in particular reflects a "remarkable recovery," according to Standard Bank Real Estate Coverage senior vice president Simon Fiford.

- EDWARD WEST

"We've witnessed significant movements across global markets, shifting geopolitical dynamics, and ongoing volatility driven by persistent macroeconomic headwinds," he said in a note on Monday.

Anchor Capital CE Peter Armitage and co-chief investment officer Nolan Wapenaar said recent weeks, notably the first few weeks of April, were dominated by the more aggressive than expected approach by US President Donald Trump on import tariffs and fractures in South Africa's Government of National Unity following Treasury's bungled attempt to raise VAT.

Currently, all global asset classes had slightly lower than expected returns on their outlooks, due to the impact of de-globalisation, reduced confidence, and market uncertainty, they said.

"The outlook remains uncertain, and we do not believe we are at the end of the Trump-induced turmoil," said Armitage and Wapenaar in a statement about asset allocation in 2025.