R2.1m buys a new kind of foothold in Cape Town’s CBD

For R2.1 million, buying into Cape Town’s CBD usually means making a choice between location, convenience and the level of amenities associated with more expensive developments.

The Lennon is taking a different approach. The new development at 60 Corporation Street combines suites and one- and two-bedroom apartments with professional property management, hospitality-inspired amenities and access to the wider Neighbourgood community.

It is a proposition aimed not only at people looking for a place to live, but at buyers considering how a centrally located property can work as a solid investment.

The Lennon offers:

Suites and one- and two-bedroom apartments from R2.1million
R100 000 early investor discount
Rooftop pool and bar
Fully equipped gym
Café and bakery
Reception and concierge services
Potential for short- and long-stay rentals
UDZ and Section 13sex tax incentives for qualifying purchasers.
Access to Neighbourgood Work Clubs, wellness spaces, clubhouses and events across the city

Sales launch online on Wednesday, 7 October at 1pm with buyers able to browse available apartments and shortlist their preferred units ahead of launch. A R100 000* discount awaits those who reserve on the day.

Find out more online: https://thelennon.co.za/

A different kind of property investment

The Lennon’s investment proposition starts with its operator. Neighbourgood, which already has a footprint of more than 1 000 units across Cape Town and the Cape Winelands, will professionally manage the development.

Its model brings together residential property, hospitality, workspaces and community, with the aim of making urban living more flexible and less dependent on owners managing every aspect of their property themselves.

For an investor, that means the property can be viewed as more than a conventional buy-to-let apartment.

Property ownership has traditionally worked in silos. Buy an apartment and you get the key to that unit, and not much else. Neighbourgood wants ownership to work more like a lifestyle membership that is not confined to the four walls of a single building.

At The Lennon, whoever is living or staying in the apartment, including long term tenants or short-stay guests, gets access to Neighbourgood’s amenity spaces across Cape Town. For an owner who lets the unit out, that access becomes part of what they are offering.

The development is designed to support both long- and short-stay rental strategies, subject to applicable regulations, giving owners greater flexibility in how they approach their investment.

The hospitality component is also intended to strengthen the tenant and guest proposition, with amenities and services that go beyond what is typically available in a standard residential building.

The site has history for Neighbourgood. 60 Corporation Street is the former Townhouse Hotel, which became the company’s first significant acquisition in 2021. It is now being redeveloped as Neighbourgood’s first sectional title development.

Bathroom

Kitchen

Bedroom

Lounge

What R2.1m gets you

The Lennon’s relatively accessible entry point is one of its key selling points.

Suites

Priced from R2.1 million

Designed to make efficient use of space, the suites offer a compact city base for first-time buyers, investors or those looking for a lock-up-and-go property.

One-bedroom apartments

Priced from R2 990 000

The one-bedroom apartments offer practical layouts suited to professionals, couples and investors seeking a centrally located residential property.

Two-bedroom apartments

Priced from R5 090 000

With additional space and flexibility, the two-bedroom apartments will appeal to families, sharers or buyers who want room to work from home.

Standard finishes include essential kitchen appliances, while purchasers can opt for a Neighbourgood furniture and fit-out package curated by Cape Town interior design studio Terrā Design. With the package, the apartment is turnkey and ready to live in or let out.

Making the numbers work harder

For investors, the physical apartment is only part of the equation.

The Lennon’s location within Cape Town’s Urban Development Zone provides qualifying purchasers access to the Section 13sex tax incentive when the property is used for income-producing purposes.

Under the incentive, qualifying owners of newly constructed residential property may be able to claim an accelerated income tax allowance over 11 years, subject to the requirements of the legislation.

There is also Section 13sex, which can provide tax deductions to taxpayers who own five or more qualifying new residential rental units. The units do not necessarily have to be located in the same development, but specific conditions apply.

These incentives can materially affect the economics of a property investment for qualifying buyers, although investors should obtain independent professional tax advice before making any assumptions about their own position.

The Lennon is also offering a R100 000 early investor discount at launch.

Location remains the investment fundamental

While amenities and management add to the proposition, location remains one of the fundamentals of residential property investment.

The Lennon sits in Cape Town’s CBD, within walking distance of many of the attractions that draw residents, visitors and workers into the city centre.

Bree Street’s restaurants, cafés and bars are around three minutes away, while Harrington Street’s nightlife is similarly close. Galleries, museums and cultural spaces are approximately five minutes away.

Signal Hill, Table Mountain, the V&A Waterfront and Atlantic Seaboard are minutes away by car and the MyCiTi bus routes, and major transport connections are also nearby.

All of this places the development within reach of several potential sources of rental demand, from professionals and students to tourists and longer-stay visitors.

Clubhouse pool

Clubhouse lounge

Arrival terrace

Reception

Designed like a hotel, connected to the city

The Lennon’s proposition reflects a broader change in the residential market where buyers are increasingly interested in what a building can do for them.

A rooftop pool and bar, gym, café and bakery, reception and concierge services, laundry facilities and optional cleaning and room-service offerings bring elements of the hotel experience into an owned residential property.

The offer extends beyond the building. Residents will also have access to the Neighbourgood community, including the Neighbourgood coworking spaces, clubhouse cafés and 300 curated events each year.

For investors, these features can form part of the appeal to prospective tenants and guests. For owner-occupiers, they offer convenience without having to leave the building and a community to belong to across the city.

Backed by a specialist team

The Lennon brings together Neighbourgood, Silk Road Developments and Terrā Design.

Neighbourgood brings its experience in hospitality-led property management and community-focused urban living. Silk Road Developments has focused on architecture that balances functionality and context, while Terrā Design brings a considered approach to the interiors.

Together, the team is betting that the future of urban property will be less about separating home, hospitality, work and community, and more about bringing them together.

Sales at The Lennon launch online on Wednesday, 7 October at 1pm. Buyers can register ahead of launch, browse floor plans and shortlist their preferred apartments. Units can be reserved online from launch day for a R10 000 reservation fee.

Find out more online: https://thelennon.co.za/

Brought to you by Neighbourgood.

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