Negotiating on Johannesburg mixed-use buildings after 28 days

[QuietPlan]

We are comparing mixed-use buildings in two Johannesburg neighbourhoods, mostly between ZAR 9,246,000 and ZAR 13,870,000. Listings seem to reach about 28 days on market, but the market feels split rather than plainly fast or slow. Buildings with clearly explained service charges appear to move differently.

Would 28 days now justify an opening below asking, or is that still too early? Recent completed-sale examples would be most useful, particularly where the final price differed from the public asking history. Citywide averages are not helping us distinguish between the two areas.

 

[BrightStone]

At 28 days I would negotiate, but not base the discount on time alone. Ask how many offers were received, whether any fell through, and when the seller last adjusted the price. A well-priced building with clean information may simply have a longer mixed-use due-diligence process; an unchanged listing with vague charges gives you a stronger reason to be cautious.

 

[alba_questions]

What do the advertised service charges actually include? There is a big difference between a clear recurring amount and a figure that excludes items the buyer will still carry. I would also want the residential and commercial portions broken out, plus current occupancy and condition. Those details may explain the difference in listing behaviour better than the neighbourhood average.

 

[shareTheCedar]

I disagree that 28 days itself creates much leverage. Days on market can be distorted by withdrawn and relisted stock, so the public listing may not show the full marketing period. Look for the original listing date, any gaps, and price cuts. Seller motivation matters more: an owner with no deadline can reject a lower offer regardless of how stale the advert looks.

 

[BrightStone]

That is fair, but waiting for obvious seller distress can also mean losing the better building. I would submit a supported offer now rather than guess: note condition costs, unclear recurring charges and comparable completed sales, then give the seller room to counter. The offer can also be structured around satisfactory inspection, records and financing rather than making the entire negotiation about price.

 

[daan.pike]

Be strict about neighbourhood boundaries when collecting comparables. Two nearby mixed-use buildings may serve different commercial footfall and tenant markets, so citywide figures—and sometimes even broad suburb labels—can mislead. Put completed sales in one column, genuine new listings in another, and withdrawals or relistings in a third. That should reveal whether supply is actually increasing.

 

[jazzAndGate]

Financing could be part of the split you are seeing. Before treating a lower final price as evidence of broad bargaining power, find out whether that sale involved a cash buyer, vacant space, deferred maintenance or a deal that took longer to secure funding. The headline discount is useful only when the building and transaction conditions are reasonably comparable.

 

[DirectRoom]

I see two reasonable approaches here: start negotiating because 28 days suggests limited interest, or wait for stronger evidence from completed deals. The missing fact is whether those listings have been continuously available under the same terms.

For each shortlisted building, ask for the original listing date, price history, withdrawals, offers, occupancy, condition and an itemised account of running charges. Keep the comparison within the two neighbourhoods and note how each buyer funded the purchase where that is known. If a seller still cannot explain basic costs, price that uncertainty into the offer or leave the property aside.