Elan Investor Club
Issue 36: November 2008 www.investorclub.co.za

 
 
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  Foreword with Mark Taylor

I have just returned from a whirlwind trip to the UK and Dubai and we are busy paving the way for a clearly defined marketing drive within the UK to utilise the  hype leading up to the British Lions rugby tour next June, the Confederation Cup in 2009 and Soccer World Cup in 2010. 

The strategy will incorporate an exciting campaign that will see the recruitment of 3 new International Brand Ambassadors to complement our famous team of local Brand Ambassadors. This will include two Formula-1 drivers and an England soccer star. We plan to unveil these names in early 2009 at a function to be held in London, which will ensure that eLan takes it’s exposure within the UK to a new level.

The weakening of the rand has certainly made South African property very attractive for international buyers. Despite a perceived economic slowdown we are starting to see a large amount of investor interest through our London and Dubai offices.

I have also held talks with a number of large international investors who are very interested in purchasing equity in future eLan developments, so watch this space.

Dubai property investment market has ground to a standstill to the extent that Nakheel, one of Dubai’s biggest developers, laid off 500 staff. There is still a great amount of money in the UAE, and they seem to be switching this allocation to the emerging markets which makes South Africa a very attractive investment opportunity.

Our office in London (South Wimbledon) has been very well managed by our British colleague Jeff Watts and we are finding that it is vital for us, as a South African company, to have a full-time presence in the UK.

Julek Szczawinski who is looking after our UAE operation is also doing a great job of flying the South African flag for us.  We met with the South African Ambassador in Abu Dhabi and are working on a property exhibition (including another developers) in Abu Dhabi, as well as a large involvement in the Dubai SA Freedom Day celebration in April.

We have completed our due diligence process on the Somkhanda Game Reserve, south of Pongola and the potential launch of  50 exclusive and upmarket bush lodges within a Big 5 area, at the beginning of 2010, is a very exciting prospect.

We are also busy concluding a deal at Ruitersvlei Lifestyle Estate in the Western Cape which is a very exciting investment proposition.

We are busy structuring  some very exciting new investment opportunities that will be launched during the course of next year so keep reading your monthly eLan Investor Club newsletters, in future, for more information.

On behalf of the entire eLan team I hope that you will have a wonderful Christmas and a very prosperous 2009. Chat again in the New Year.

Warmest regards,

Chairman The eLan Group


  Simbithi Home Packages - Build from a distance at Simbithi and save.

eLan is very excited to have unveiled it’s range of Home Package options at Simbithi Eco Estate. The upmarket Home Packages are designed to make the building process hassle free by providing a streamlined service which will be project managed from beginning to end.

Home package buyers will see considerable savings through pre-negotiated professional and contractor fees. They will also be gaining the services of top professionals in the property business with proven track records.

There are eight home packages available. These are designed by three well known Ballito architects, Andrew Clarkson, Tracey Birch and Mark Leslie Smith. The home packages are all designed to suit Simbithi’s landscape.

The building process is managed by eLan appointed project manager Mark Stewart who has worked at Simbithi since the estate was launched five years ago and completed several magnificent homes already on the estate.

By cutting building and design costs and managing the building process, Simbithi Home Packages turns the potential nightmare of building a home into a dream come true.

Home packages are a create way to build an ideal home but also a wonderful make a wonderful return on investment as an “armchair developer” Developing a Home Package unit for speculative investment purposes or for rental income can be done on your own, or with 4 or 5 other investors on a syndicated basis!

Simbithi Eco Estate Home Packages - Acacia Design Option
   
Individual Home Package Purchase Example:  
  Land  R 795,000
  Site:  580  
  Size: 1294m²  
   
  House Option R 2,175,855
  Design: Acacia   
  Size:    299m²  
   
  Purchase Price (Land and Building) R 2,970,855
  Professional and Submission Fees R 189,150
  Total Purchase Price  R 3,160,005
   
  Sales Price on Completion at 20% per annum capital growth R 3,792,006
  Sales Price on Completion at 30% per annum capital growth R 4,108,007
  Sales Price on Completion at 40% per annum capital growth R 4,424,007
   
  Gross Profit on Home Package Completion at 20% growth R 632,001
  Gross Profit on Home Package Completion at 30% growth R 948,002
  Gross Profit on Home Package Completion at 40% growth R 1,264,002
Potential reasons for between 20% and 40% appreciation on land and building:
  Retail, residential and commerical boom on the North Coast
  New King Shaka Airport
  World Cup 2010
  Affordability and maturity of Simbithi Eco - Estate
  Sea views
  Top level security

For further information on Simbithi Homes Packages contact, The Simbithi On Site Sales Team on 086 100 2001, or visit our exhibition at Gateway Theatre of Shopping,
alternatively contact the below
Agents:
  Alan Coetzer  082 508 7921 alan@elan.co.za
  Greg Taylor    082 577 1022  greg@elan.co.za
  John Kruger   082 891 2436 john@elan.co.za
  Geoff Chennels    072 623 1343 geoff@elan.co.za


  Investment Opportunity - Ruitersvlei Lifestyle Estate

The eLan Group will be launching purchasing opportunities within Ruitersvlei Lifestyle Estate in the Western Cape in early 2009.

Surrounded by the graceful history of the Western Cape winelands, you can own a wine farm without the hassle of managing your own vineyards. Each of the available ten farms represents a fully viable farm of approximately 40 hectares in the prime Paarl “Gold Wine Belt”. In return for living on this magnificent estate, you will receive an annual quota for your very own branded wine. With a recorded history dating back as far as 1688, this stunning farm with uninterrupted views of Table Mountain, Simonsberg and the Franschoek Valley, is Paarl’s best kept secret.

In anticipation of this exciting launch the eLan Group is offering you, our Investor Club members, the exclusive opportunity to purchase your selection of Ruitersvlei wines, direct from the cellar. This is an offer than is not open to the general public.

In anticipation of this exciting launch the eLan Group is offering you, our Investor Club members, the exclusive opportunity to purchase your selection of Ruitersvlei wines, direct from the cellar. This is an offer than is not easily available to the general public.

Click here for further information on purchasing Ruitersvlei wine or for further information on this exciting new development.


  Market Forecast for 2009

A major topic within social circles at present is what the property market will do early in 2009. There are a number of school's of thought at present but we at eLan are very optimistic about what the future holds and looking forward to a very exciting (and busy!) year ahead.

The global meltdown is a serious threat but we are living in a country, where despite it's shortfalls, we are experiencing significant growth in major cities across the country and there are massive infrastructural projects on the go ahead of 2010 Fifa World Cup.

One only has to venture to the Moses Mabhida stadium and the King Shaka International Airport in KZN to realise what a massive impact such developments will have on the immediate areas.

If inflation falls dramatically during 2009, as many economists predict, and interest rates follow suite then we can anticipate a very prosperous time for the property industry within South Africa, sooner than most think.

The old adage of "location, location, location" still stands true and could not be a better time to make an investment within certain "hot spots" that are benefiting from large commercial, retail and residential growth! Ballito for instance is one of the fastest growing town in South Africa, hence the sustained growth and investor confidence, especially in Developmetns such as Simbithi.

There are good deals on the table at the moment and we can start bracing ourselves for an upcoming growth period which will see those who take advantage of the current "buyers market" laughing all the way to the bank!


  Blythedale Sales Office Upgrade

The Blythedale temporary sales office has been revamped in time for December with help of a number of future developer suppliers who contributed towards a new semi-permanent sales office structure, on site.

Do yourself a favour and go visit our sales team On Site this December. You will be very impressed by what the development has to offer.



  Gateway Shuttle

The eLan Group will be facilitating a FREE shuttle service, over the entire holiday period, from our December exhibition stands at both Gateway and Ballito Lifestyle Centre.

For any further information on the Shuttle Service contact:
Andrew Thompson – eLan National Sales Manager
Cell: 082 858 1196

Alternatively visit our stands at Gateway Theatre of Shopping or Ballito Lifestyle Centre between the 16th December and 5th January.


  eLan Online Property Educational Module

The eLan Group is busy finalising  a Property Educational Module that will share cumulative property knowledge about the industry.

The module will be FREE and downloadable off the eLan website and will cover a number of pertinent property investment topics such as Buy to Let, Financing, Leveraging, Cash Flow Management and Building a Home. The module will also incorporate simple calculators and models that will make it topical, user friendly and a must for any budding property investor!

The module will be launched to eLan Investor Club members early in 2009 and it is bound to open your eyes to the value, rewards and simplicity of property investment.


  Introduce and Cash in!

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Introduce and cash in!

Being an Investor Club Member means you are already an Introducer. So, if you find our newsletters informative and our properties interesting, then why not refer friends to the club, have them referenced under you and sit back and earn R20 000 whenever any of them purchases an eLan product!

It’s simple, here’s how:

Refer people to the eLan Investor club
Have them referenced under you through a specialized membership number
Sit back and earn R20 000 when they purchase a property

Pretty simple for five seconds of your time? Think of all the people you know, including friends, family and work colleagues. Imagine the potential if only 1% of these people bought property and you earned R20 000 every time they did!

"Maximise your passive income earning potential!"


  ESA Unveils the eLan Explorer

eLan is proud to sponsor the new ESA Tomcat, the eLan Explorer. One of our latest Brand Ambassadors, Tendai “The Beast” Mtawarira will join us on the maiden voyage and thereafter eLan will be inviting clients to embark on fishing trips with the ESA team during the course of December, January and February, so in future watch out for the eLan Explorer on ESA on Supersport.


  Brand Ambassadors at eLan's Gateway Stand

Keegan Daniels, the leading try scorer in this year’s Currie Cup, was the first of our Brand Ambassador’s to sign autographs at the eLan stand at Gateway between 11am and 1pm on Saturday 22nd November.

The event was a great success and a number of people had the wonderful opportunity of chatting to their rugby hero on a 1-on-1 basis, whilst children revelled in the opportunity to secure Keegan’s signature.

In future watch our for Currie Cup Champions Keegan, Ruan Pienaar and “The Beast” at the Gateway Stand between 11am and 1pm on Saturdays.


  Golf Tips with Andre Cruse

We have recently launched the third blog on our website, namely: “Golf Tips with Andrè Cruse”. Andrè, who is a Brand Ambassador of eLan, is a stalwart of the local Sunshine Tour and boasts professional victories around the world. He will also be familiar to many of you as host of the very popular Kyknet Show “Voorgee”

Through the blog Andre will impart some of the knowledge and expertise that has enabled him to rack up and incredible 24 hole-in-one’s during his career!

Also don’t forget to chat to our very own World Champion, John Smit, about his comments from the recent victorious Bok tour to the UK.


  Shakashead Golf Day

The eLan team once again hosted a very successful Shakashead Ministries Golf Day at Simbithi Country Club on the 28th November.

Shakashead is a township situated a stone’s throw from Simbithi Eco-Estate on the KZN North Coast. It is also the focus of eLan’s corporate social responsibility programme. For the past five years we have been assisting a feeding scheme in the township and are now hoping to take this initiative to greater heights.

Plans in the pipeline include rebuilding the kitchen, helping to plant a vegetable garden and building a playground for the children. Our aim is to create a safe haven for the children who come to the kitchen as well as make it more sustainable

An impressive R 70 000 was raised for the Shakashead Ministries feeding centre which will be used to help with the necessary upgrades.

Thanks to all the sponsors and participants in the day. Your generosity and contribution to the kids is greatly appreciated and will contribute greatly towards the children experiencing a far happier Christmas.

It only costs us R 1,250 per day to feed 200 children between one and ten years old. eLan does not charge management fees and all the staff are involved for the passion of it!

Andrew Smith, Keegan Daniel, Ryan Kankowski, Peter Taylor, Greg Taylor, Peter Cameron   Keegan Daniel, Stefano Franscesconi, Kurt Stander, Darren Sweeney, Romano Valenti, Ryan Kankowski

Gloria Moodley (Shakashead), Ryan Kankowski, Peter Cameron, Gogo (Shakashead), Keegan Daniel  

  Spirit of eLan Charters

The majestic 45 ft Royal Cape Catamaran, Spirit of eLan, is available for charters over December and January and this is the perfect way to wind-down at the end of a long year. *Limited to 20 passengers


Price per hour R1 625 *

Platinum Members 30% discounts *


Cell: 031 576 9600    Email: jenna@elan.co.za    Web: www.spiritofelan.co.za



  eLan / ESA Avenol Fly-fishing clinic


The first eLan/ESA Fly-fishing clinic was held at Avenol Fly Fishing Lodge on 6th and 7th December and was a great success. The group consisted of four groups totalling nine people.

We were very fortunate to have two well known ESA anglers, Mark de la Hey and Raymond de Bruin lecture and assist the anglers in the art of fly-fishing. We had first time and more experienced fishermen as well as a couple of youngsters who thoroughly enjoyed being taught by their ESA heroes.  The clinic covered fly fishing equipment, tying knots, fly choice, casting, retrieving, fighting, and landing fish and fish care when releasing a fish.

After the theory, there was plenty of time to do practical casting on the sprawling lodge lawns before heading to the dams to put theory into practice. The enthusiasm of the team was amazing and all who were present really enjoyed themselves.

Should you wish to join Peter Coulon of eLan and Raymond and Mark of ESA on the next available clinic, email Peter on petercoulon@elan.co.za or 082 551 5704. Bookings are already being taken for the March and April clinics.

The cost of the clinic is R1350 per person and if you are an eLan platinum member the cost is R1108 per person.



  Opinion Poll Icon

What would attract you most to an Inner City development in Durban?

UDZ Benefit (30% back over 5 years) 21.21 %
Low entry-level pricing 28.79 %
Cashflow positive 34.85 %
Low Deposits 4.55 %
100% bonds 10.61 %
 

What property investment opportunity would appeal to you the most?

Commercial Investment
Residential Development Plots
Home Syndication
Development Equity
Big 5 Lodge in Zululand
Affordable Housing
Warmest regards,

Investor Club Manager


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