Unlocking Value in the Cape Winelands and Boland Region: A Real Estate Market Outlook
- Warren Brusse
- Jul 4
- 4 min read
Updated: Jul 4
By Warren Brusse, Chief Executive Officer, Zebinvest Real Estate Development
A Region Poised for Sustainable Growth
The Cape Winelands and surrounding Boland towns – including Stellenbosch, Paarl, Franschhoek, Wellington, Somerset West, and Robertson – continue to cement their position as one of South Africa’s most desirable real estate investment destinations.
Renowned for their scenic beauty, quality lifestyle, and strong infrastructure, these regions are increasingly attracting high-income earners, retirees, remote professionals, and international buyers.
At Zebinvest Real Estate Development, we view the Cape Winelands as a strategic growth corridor, particularly well-suited for leasehold development structures that preserve landowner value while accelerating development through best-of-breed sub-developers.
Market Fundamentals and Investor Sentiment
Stability, Demand and Lifestyle Appeal
"Stellenbosch and Paarl remain two of the most resilient residential markets in the country," says Dr. Andrew Golding, Chief Executive of Pam Golding Properties. "We’ve seen sustained demand from semigrants, professionals and investors seeking secure, well-located estates with a strong lifestyle offering."
Samuel Seeff, Chairman of Seeff Property Group, reinforces this sentiment: “The Boland has proven to be a COVID-era winner. Semigration and remote work have created permanent shifts in demand. Estate homes, agricultural lifestyle properties, and small-town living are no longer fringe markets – they are now central to the real estate economy.”
Projected 10-Year Capital Growth & Yields
Industry analysts and major agencies provide aligned forecasts on the region’s performance:
Projected Capital Growth (2025–2035):
Stellenbosch & Paarl residential: 7.5–9% CAGR
Franschhoek and Somerset West: 6–8% CAGR
Lifestyle and retirement estates: 9–10% CAGR
Projected Gross Rental Yields (2025–2035):
Residential: 5.5–7%
Student housing and multi-let: 8–9%
Retirement villages: 6–7%
Hospitality and mixed-use precincts: 8–10%
These figures underscore a robust investment case, particularly for leasehold developments that align with changing demographic and lifestyle preferences.
Sector Insights: Where the Opportunity Lies
1. Residential
There’s rising demand for secure estates with family-focused amenities, smart home infrastructure, and energy independence. “Modern buyers are not just purchasing homes – they’re buying lifestyle resilience,” says Bruce Swain, CEO of Leapfrog Property Group.
2. Retirement
The Western Cape is South Africa’s top retirement destination. “We are seeing strong interest in retirement lifestyle estates with assisted living, healthcare facilities, and vibrant social design,” says Errol Garden, Franchise Owner, Jawitz Properties Winelands.
3. Retail
Retail remains strong in lifestyle-oriented precincts. Boutique and artisanal retail is outperforming legacy malls. Mixed-use developments with integrated retail nodes are the new gold standard.
4. Office
Traditional office demand is declining, but co-working and hybrid spaces in mixed-use estates are growing. Paarl and Stellenbosch are leading this shift with projects that embed flexible office options within lifestyle estates.
5. Hospitality
Driven by international tourism recovery and wine tourism, boutique hotels, wine farm accommodations, and experiential hospitality are flourishing. Airbnb-style short-term rentals are in strong demand across Franschhoek and Stellenbosch.
6. Mixed-Use Precincts
"Projects that integrate living, working, and leisure in walkable, secure, and sustainable precincts are outperforming all other categories,” states Paul Upton, Head of Developments at Dogon Group Properties. This trend aligns with global patterns in urban planning.
Demand Demographics: A Shifting Landscape
Semigrants & Digital Nomads:
Young professionals, families, and entrepreneurs relocating from Gauteng, KwaZulu-Natal, and abroad are flocking to the Winelands for lifestyle, security, and infrastructure.
International Buyers:
Franschhoek and Stellenbosch continue to attract European investors, particularly from Germany, the Netherlands, and the UK, drawn by wine culture and second-home opportunities.
Retirees & Downsizers:
Baby Boomers and early retirees are driving the surge in demand for retirement estates with medical infrastructure and lifestyle offerings.
Young Families:
There is a significant demand for 3-bedroom units with gardens, proximity to good schools, and secure communal spaces.
In-Demand Property Sizes and Features
Residential: 180–250 sqm freestanding homes with energy efficiency, solar, battery backup, and fibre internet
Retirement: 2–3 bedroom units (120–180 sqm) with single-level access and community facilities
Hospitality: Boutique 6–12 room guesthouses and experiential lodges
Mixed-use: High-density apartments (45–90 sqm) with co-working and wellness amenities
Garry Dyer, Regional Director of RE/MAX Winelands, notes: “The trend is shifting away from oversized homes. Buyers prefer manageable, efficient spaces with lifestyle value over sheer square meterage.”
The Zebinvest Leasehold Development Solution
At Zebinvest, we uniquely employ a Leasehold Development Model to unlock land value while delivering capital income to landowners and long-term value to investors. Our model mirrors the success of developments like Waterfall City in Gauteng.
We:
Structure leasehold developments for sustainable capital release without transferring land ownership
Match landowners with best-of-breed sub-developers and anchor tenants
Deliver turnkey precincts across residential, retirement, mixed-use, and hospitality sectors
Enable institutional-grade, scalable investment through innovative land use structuring
Our strength lies in curating and enabling ecosystems where landowners retain long-term value, while developers and investors realise short-term capital growth and yield performance.
Call to Action: Landowners, Let’s Create Legacy Together
The Cape Winelands and Boland towns are entering a golden decade of real estate growth. If you are a landowner with strategic land holdings in this region, Zebinvest invites you to partner with us.
Let us unlock your land’s potential through our Leasehold Development Model – enabling a legacy of sustained value, community development, and capital opportunity.
Warren Brusse, Chief Executive Officer, Zebinvest Real Estate Development
Zebinvest – Where Land Meets Legacy
Comments