PROPERTY INFORMATION
KYA SANDS
Double Volume Warehouse on Auction
5 & 6 Volt Close, Kya Sands Extension 11
TUESDAY 9 JUNE 2015 @ 12H00
The Wanderers Club
AUCTIONEER: Ismail Hendricks
AGENT: Anthony Khoury 083 601 5071 / [email protected]
TABLE OF CONTENTS
1. Property Summary
a. Locality (see Annexure A)
b. Legal Information (see Annexures B and C)
c. Town Panning (see Annexure D)
2. Locational Analysis
3. The Development
4. Notes
3
4
4
4
5
6
33
ANNEXURES
Annexure A:
Annexure B:
Annexure C:
Annexure D:
Annexure E:
Annexure F:
Annexure G:
Annexure H:
Locality
Title Deed and Deeds Information
SG Diagrams
Zoning Certificate
Building Plans
The Development
Municipal Account
Projected Income
7
8
16
19
27
30
31
32
TERMS & CONDITIONS: Bidders must register and bring ID, proof of residence (FICA) and letter of authority to sign on
behalf of a juristic entity. Rules of auction are available at www.broll.com and at our offices. The auction is conducted in
terms of the regulations relating to auctions contained in The Consumer Protection Act 68 of 2008 and notice is given that
all sales are subject to a minimum reserve unless otherwise stated.
2
DISCLAIMER: “Whilst all reasonable care has been taken to obtain the correct information, neither Broll Auctions and Sales
(Pty) Ltd, nor any of its subsidiaries and related companies, nor the Sellers, guarantee the correctness of the information,
and none of the aforementioned will be held liable for any direct or indirect damages or loss, of whatsoever nature,
suffered by any person as a result of errors or omissions in the information supplied, whether due to the negligence or
otherwise of Broll Auctions and Sales and its subsidiaries and related companied, the Seller, or any other person”.
OPPORTUNITY SUMMARY
Description
Erf 140 and 141 Kya Sands Ext 11: Double volume industrial building with
direct street exposure onto busy cul-de-sac Volt Close, Kya Sands.
Erf Size
Erf 140: 1545m²
Erf 141: 1363m²
Zoning
Industrial 1
Gross Lettable Area
Building 1: 1281m²
Building 2: 212m²
Building 3: 62m²
GLA Tenanted
Vacant Occupation
 Building 1: 1031m² industrial warehouse and 250m² of mezzanine office
Tenancy
and ablutions, occupied by Mulombwe Woodworks
 Building 2: 212m² storage but currently used as a garage with sliding steel
doors used by Mulombwe Woodworks
 Building 3: 62m² storage double volume. Vacant
3
Gross Income
(including Recoveries)
 Vacant Occupation
Rates & Taxes
 R4,543.63
Issues
 Building requires ongoing maintenance
PROPERTY SUMMARY
1.1 Locality (see Annexure A)
Property Address:
5 & 6 Volt Close
Suburb and City:
Kya Sands
Local Authority:
City of Johannesburg
Province:
Gauteng
1.2 Legal Information (see Annexures B and C)
Erf number(s):
Erf 140 and 141 Kya Sands Ext 11 (Notarially tied)
Notarial tie No:
K1704/1996S
Township:
Kya Sands
Erf Extent:
Erf 140: 1545m²
Erf 141: 1363m²
Title Deed Number:
T100567/1995
Registered Owner:
Mulombwe Prop Inv Cc
1.3 Town Panning (see Annexure D)
The property is zoned Business 1 in terms of the Randburg Town Planning Scheme, subject to the following
conditions:
Zoning:
Industrial 1
Height:
3 Storeys
Coverage:
60%
F.A.R:
1.8
Parking:
As per scheme
Building line:
4.5m along street frontage
4
2. Locational Analysis
Mulombwe Woodworks (hereinafter referred to as the property) is located on Volt Close, which is a cul-de-sac in
Kya Sands, North Riding. Volt Close experiences low traffic volumes. The immediate area offers a mixture of similar
industrial properties as well as workshops and warehouses.
Kya Sands is conveniently situated close to Sandton, which is considered the central business district of Gauteng.
The property is easily accessible by means of major and secondary routes including Malibongwe Drive and
Witkoppen Road. All modern amenities are in close proximity including North-Gate, Randburg and Sandton CBD.
The property enjoys all municipal services such as tarred roads, water, sewerage and electricity. All municipal
services are available and appear to be functional.
GPS co-ordinates for the property are: -26.0258, 27.9542
5
3. The Development
The property offers three double volume industrial buildings. These building are used as workshops and storage for
manufacturing of timber products by a company known as Molumbwe Woodworks.
Building One: Comprises of a double volume workshop supported by steel trusses with a mezzanine office and
ablutions. The building is constructed from facebrick and IBR roof sheets. The building has double volume roller
shutter doors in front and on the side of the building. Building one also has concrete flooring. The offices and
ablutions on the mezzanine floor are tiled. There is a flatlet on the mezzanine floor for the security guard with a
shower and a toilet.
Building Two: Comprises of a double volume storage with sliding steel doors which is currently being used as a
garage. The building is concructed from face-brick under a flat corringated iron roof.
Building Three: Comprises of a double volume garage/storeroom with steel doors
We have not undertaken a structural survey of the above-described improvements or finishes, nor have we
arranged for tests or inspections to be carried out on any of the service installations.
The stand is East facing onto Volt Close and has a slight slope from north to east. The erf has direct exposure onto
Volt Close , which links up with Kya Sands Road.
The subject property has a registered electrical transformer servitude of 28 m² in the north eastern corner of the
erf (please refer to “Annexure C”).
6
LOCALITY
7
ANNEXURE A
ANNEXURE A
ANNEXURE B
TITLE DEED
8
9
10
11
12
13
14
15
ANNEXURE C
SG DIAGRAM(S)
16
17
18
ANNEXURE D
ZONING CERTIFICATE
19
20
21
22
23
24
25
26
ANNEXURE E
BUILDING PLANS
27
28
29
ANNEXURE F
THE DEVELOPMENT
WORKSHOP
MEZZANINE OFFICE
SIDE VIEW
BUILDING TWO
BUILDING THREE (STORAGE)
WORKSHOP
30
ANNEXURE G
MUNICIPAL ACCOUNT
31
ANNEXURE H
PROJECTED INCOME
5 & 6 Volt Close, Kya Sands
No.
TENANT
TOTAL
Sqm
Rate/m²
Annual
1
WH VACANT - PROJECTED
1031
30,00
R 30 930,00
R 371 160,00
2
OFFICE VACANT - PROJECTED
250
30,00
R 7 500,00
R 90 000,00
3
STORAGE VACANT - PROJECTED
274
15,00
R 4 110,00
R 49 320,00
4
VACANT - PROJECTED
R 0,00
R 0,00
R 42 540,00
R 510 480,00
Rates and taxes
R 4 345
R 52 140,00
Maintenance Provision
R 5 000
R 60 000,00
R 10 000
R 120 000,00
R 19 345,00
R 232 140,00
PROJECTED GROSS INCOME
1555
R27,36
Insurance Provision
PROJECTED GROSS EXPENSES
PROJECTED NET ANNUAL INCOME
32
Monthly
1555
R 12,44
23 195,00
R1 485 240,00
Rules of Auction and Conditions of Sale
1.5.
IMMOVABLE PROPERTY
Section 45 subsection (2) of the Act provides that: “When goods are put up for sale by auction
in lots, each lot is, unless there is evidence to the contrary, regarded to be the subject of a
separate transaction.”
DATE OF AUCTION
:
Tuesday 9 June 2015
PLACE OF AUCTION :
The Wanderers Club, 21 North Street, Illovo, Johannesburg
TIME OF AUCTION
:
12pm
AUCTION HOUSE
:
Broll Auctions and Sales (Pty) Ltd
AUCTIONEER
:
1.6.
The auction will commence at the published time and will not be delayed to allow any specific
person or more persons in general to take part in the auction.
(Registration Number 2014/250826/07)
1.7.
Registration to bid at the auction:
Ismail Hendricks
Suite 4, 1st Floor, Atholl Square, Cnr Katherine Drive and
1.7.1 Anyone that intends to bid at the auction must register his or her identity on the bidder’s
Wierda Road East, Sandown
record prior to the commencement of the auction. Such registration must meet the
Contact number: 087 700 8290
requirements of FICA (Financial Intelligence Centre Act, 2001) in respect of the
Email: [email protected]
establishment and verification of identity of the person, and the person must sign the
registration entry.
Will offer for sale by public auction the following immovable property:
1.7.2 A person who attends the auction to bid on behalf of another person (i.e. on behalf
ERVEN
:
140 & 141 Kya Sands Ext. 11
KNOWN AS
:
5 & 6 Volt Close, Kya Sands ext. 11
of a company) must produce a letter of authority that expressly authorises him or her
IN EXTENT
:
Erf 140: 1545m²
to bid on behalf of that person and the person bidding on his or her behalf must meet
Erf 141: 1363m²
the requirements set out in clause 1.7.1 above. Where a person is bidding on behalf of
T100567/1995
a company the letter of authority must appear on the letterhead of the company and
TITLE DEED NUMBER
:
must be accompanied by a certified copy of the resolution authorising him or her to bid
on behalf of the company.
RULES OF AUCTION
1.8
1.1.
The bidder’s record and the vendor roll will be made available for inspection at the offices of
Each prospective bidder must read these Rules of Auction together with the attached
Broll Auctions and Sales (Pty) Ltd during normal business hours without the charge of a fee.
Conditions of Sale Agreement and must not bid unless he or she has done so.
The bidders’ record will also be available for inspection at the auction.
1.2.
The sale by auction is subject to a reserve price.
1.3.
The auctioneer or his agent shall be entitled to bid up to the reserve price on behalf of the
1.9 Broll Auctions and Sales (Pty) Ltd has a trust account. All money due to the seller in terms of
the Rules of Auction will be paid into this trust account for the benefit of the seller, minus any
commission payable to Broll Auctions and Sales (Pty) Ltd.
owner, but shall not be entitled to make a bid equal to or exceeding the reserve price.
1.4.
The rules of auction comply with section 45 of the Consumer Protection Act, Act 68 of 2008
(“the Act”) and with the Consumer Protection Act Regulations (“the Regulations”) that have
1.10 The auctioneer will during the auction announce the reason for the auction unless that reason
is the normal and voluntary disposal of property by the seller.
been published in terms thereof.
Page 2 of 27
1.11 The total cost of advertising and conducting the auction of the property is R35,000.00 which
I the AUCTIONEER do hereby certify that, to the best of my knowledge, these Rules of Auction meet
costs are broken down as follows:
the requirements of regulation 21 of the Consumer Protection Act Regulations as published in
1.11.1 Advertising costs;
Government Gazette No. 34180 of 1 April 2011.
1.11.2 Brochure and marketing material;
1.11.3 Auction venue costs;
1.11.4 Photography.
__________________________________
AUCTIONEER (duly authorised)
1.12 The conduct of the auction is subject to the control of the auctioneer who has the sole right to
regulate the bidding procedure.
1.13 The sale shall be by the rise and the property shall be sold to the highest bidder subject to the
Rules of Auction.
1.14 Every bid shall constitute an offer to purchase the property for the amount bid upon the terms
and conditions contained in the Conditions of Sale, which the seller or the auctioneer may
accept or reject in their absolute discretion. The seller shall be entitled, in its absolute
discretion, to withdraw the property from sale prior to acceptance by the seller.
1.15 If no bid equals or exceeds the reserve price, the property may be withdrawn from the auction.
The seller shall be entitled to instruct the auctioneer to accept any lower bid.
1.16 In the event of any dispute between the bidders, the decision of the auctioneer shall be final
and binding.
1.17 Any error by the auctioneer shall be entitled to be corrected by him.
1.18 No bid may be withdrawn after the fall of the hammer until the expiry of the confirmation period
that is provided for in the Conditions of Sale, during which time the offer shall be open for
acceptance by the seller or his agent and if the offer is accepted, the sale shall be deemed to
be a sale by auction for purposes of the Act.
1.19 The highest bidder ("the purchaser") shall sign the Conditions of Sale immediately on the fall
of the hammer.
Page 3 of 27
Page 4 of 27
__________________________
DATE
Duly instructed by
1.4.
MULOMBWE PROPERTY INVESTMENTS CC
In the event of the sale requiring the consent of any statutory authority or any court of law,
then this sale is subject to the granting of such consent.
(the “SELLER”)
and
2.
PURCHASE PRICE
BROLL AUCTIONS AND SALES (PTY) LIMITED
Registration Number 2014/250826/07
Duly represented by: Ismail Hendricks
The Purchase Price of the PROPERTY, plus Value Added Tax ("VAT") if applicable, shall be
paid as follows:
(the “AUCTIONEER”)
Hereby offers for sale by public auction the following immovable property:
2.1
A deposit of 5% (five per cent) of the Purchase Price payable to the AUCTIONEER by
the PURCHASER immediately on the fall of the hammer, which amount the PURCHASER
ERVEN
:
140 & 141 Kya Sands Ext. 11
KNOWN AS
:
5 & 6 Volt Close, Kya Sands ext. 11
IN EXTENT
:
Erf 140: 1545m²
TITLE DEED NUMBER
:
hereby authorises the AUCTIONEER to pay over to the SELLER'S Attorneys;
2.2
The deposit paid in terms of this clause will be invested by the SELLER'S Attorneys on call
Erf 141: 1363m²
at a commercial bank on behalf of and the interest for the benefit of the PURCHASER.
T100567/1995
The PURCHASER'S signature hereto shall constitute the PURCHASER'S written consent
in terms of Section 78(2A) of the Attorneys Act, authorising the SELLER'S Attorneys to
invest all amounts paid on account of the Purchase Price in an interest bearing account
Together with all improvements thereon (the “PROPERTY”) on the following terms and conditions:
with a bank of the SELLER’S Attorneys choice. No monies shall be invested without
1.
compliance of clause 8.6 of this Agreement.
ACCEPTANCE AND CONFIRMATION
1.1.
The PURCHASER’S offer shall remain open for acceptance by the SELLER or by the
2.1
The balance of the Purchase Price shall be paid in cash and secured, to the satisfaction
AUCTIONEER on behalf of the SELLER, until 18H00 on the 11 day of June, 2015
of the SELLER'S Attorneys, by a written guarantee from a registered financial institution,
(“confirmation period”). The PURCHASER and the AUCTIONEER acknowledge and
payable free of exchange, against registration of transfer of the PROPERTY into the
agree that this provision constitutes a stipulation for the benefit of the SELLER.
PURCHASER'S name. The PURCHASER may elect to secure the balance of the
The PURCHASER'S offer shall be deemed to have been accepted only when the
trust, pending registration of transfer into the name of the PURCHASER. The aforesaid
Purchase Price by payment in cash to the SELLER'S Attorneys, who shall hold same in
1.2.
SELLER or the AUCTIONEER, whichever may be applicable, has signed these
guarantee shall be presented and/or cash shall be payable by the PURCHASER to the
Conditions of Sale on behalf of the SELLER in the space provided at the end of this
SELLER'S Attorneys within 45 (forty five) days from date of signed acceptance by the
Agreement and the Seller shall not be required to notify the PURCHASER of the
Seller.
acceptance of its offer prior to expiry of the confirmation period.
1.3.
Should the SELLER reject the PURCHASER'S offer, the AUCTIONEER will repay to the
2.2
PURCHASER any deposit and commission paid to it in terms of this agreement.
Each payment made by the PURCHASER in terms of this Agreement shall be allocated
first to the payment of AUCTIONEER'S Commission, then interest and thereafter to the
payment of any other monies due in terms hereof.
Page 5 of 27
Page 6 of 27
demand.
3.
VALUE ADDED TAX AND TRANSFER DUTY
3.1
4
AUCTIONEER'S COMMISSION
4.1
The Purchase Price is inclusive of VAT at the rate of zero percent.
The PURCHASER shall be liable for and pay, in addition to the amounts payable in
terms of clauses 2.1 and 2.3, AUCTIONEER’S commission of 10% (ten per cent) of
3.2
It is recorded that it is the intention of the parties that this transaction be a zero rated
the Purchase Price, plus VAT thereon, which commission shall be deemed to have
transaction in terms of Section 11 (1) (e) of the Value Added Tax Act (the “Act”) and it
been earned and is payable immediately upon the fall of the hammer or upon the
is agreed that the purchase price is inclusive of VAT at a rate of zero percent.
3.3
signing of this Agreement by the Purchaser, whichever happens first.
It is recorded that:
3.3.1
4.2
The PROPERTY constitutes an enterprise as defined in the Act and is sold
above for any reason whatsoever, the SELLER hereby instructs his attorneys to pay
as a going concern that will on the date of transfer be an income earning
the commission or balance thereof, whichever may be applicable, to the AUCTIONEER
activity capable of separate operation, and the supply of the PROPERTY shall
as a first draw from the proceeds of this sale, against registration of transfer of the
be ‘zero rated’ in terms of Section 11 (1) (e) of the Act;
3.3.2
If commission is not paid by the PURCHASER to the AUCTIONEER in terms of 4.1
PROPERTY into the name of the PURCHASER.
The assets and all other aspects of the business that are necessary for
4.3
carrying on the enterprise, including all existing lease agreements pertaining
If this Agreement is cancelled as a consequence of the default by the SELLER, then
the SELLER acknowledges and agrees that it shall be jointly and severally liable with
to the property, are being disposed of to the PURCHASER in terms of this
the PURCHASER for payment of AUCTIONEER’S commission as contemplated
Agreement.
herein.
3.4
The SELLER and PURCHASER respectively warrant to the other that they will, with
effect from the date of conclusion of this Agreement, be registered as vendors in terms
5
OCCUPATIONAL INTEREST
of the Act. The PURCHASER undertakes to provide the SELLER’S attorneys with a
copy of its VAT Registration Certificate (form VAT 103) at least 21 (twenty one) days
Should the PURCHASER take possession of the PROPERTY prior to registration of transfer,
before the anticipated Transfer Date and the PURCHASER warrants that it has applied
he shall pay occupational interest, calculated at the rate of 10% (Ten per cent) per annum on
for VAT registration before the date of conclusion of this Agreement.
the balance of the Purchase Price outstanding and capitalised monthly from date of
possession to date of registration of transfer, without deduction or set-off, on registration of
3.5
If for any reason VAT is payable on this sale at a rate other than at the zero rate, then
transfer, (both days inclusive).
the PURCHASER agrees and undertakes that it will be liable for payment of any such
VAT or additional VAT and such VAT will be added to the Purchase Price and payable
6
RATES AND TAXES AND LEVIES
on registration of transfer and shall be secured as provided for in clause 2.3 above.
6.1
3.6
In the event of VAT being payable on the Purchase Price as a result of the sale, such VAT
The SELLER shall be liable for all rates and taxes and levies and other Municipal charges
levied on the PROPERTY for the period prior to date of possession and the PURCHASER
shall be payable by the PURCHASER, in addition to the Purchase Price, to the SELLER'S
shall be liable for all rates and taxes and other Municipal charges levied thereafter.
Attorneys immediately on demand.
6.2
3.7
In the event that the sale is VAT exempt, the PURCHASER shall pay applicable transfer
duty, in addition to the Purchase Price, to the SELLER's Attorneys immediately on
Page 7 of 27
The PURCHASER shall refund to the SELLER a pro rata share of all rates and taxes and
levies and services paid in advance by the SELLER for the period after the date of
possession, which refund shall be paid upon registration of transfer.
Page 8 of 27
6.3
The Seller hereby indemnifies the Purchaser against any claims that may be made by
7
SELLER RESIDENCY AND WITHHOLDING TAX
the relevant authorities / managing agents in respect of arrear rates / levies as at date
It is recorded that the SELLER, AUCTIONEER and PURCHASER are aware of an obligation
of registration of transfer into the Purchaser’s name.
on the part of the PURCHASER to withhold part of the Purchase Price from the SELLER, if
6.4
the SELLER is a non-South African resident, and pay such withheld portion to the South
The Seller understands and accepts that it is the practice of the City of Johannesburg
African Revenue Services (in terms of Section 35A of the Income Tax Act.
and certain other municipalities to require the Seller to pay the full amount required in
order to obtain a rates clearance certificate in respect of properties falling within its area,
and to then refund the Seller after registration of transfer, and the Seller will accordingly
liable to pay the full amount required for a rates clearance certificate in such cases.
6.5
Any indication of the rates and/or levies payable in respect of the Property that is given
8
TRANSFER AND COSTS OF TRANSFER
8.1
6.6
Transfer shall not be passed to the PURCHASER, notwithstanding anything to the
contrary herein contained, until such time as the total Purchase Price and all other
by the Seller or the Auctioneer is only an approximation based on recent figures
obtained in respect of the Property, and accordingly neither the Seller nor the
amounts, for which the PURCHASER may be liable in terms hereof, have been paid
Auctioneer warrant the actual amounts of the rates / levies applicable to the property.
and/or payment thereof has been secured as herein provided.
The parties agree, so as to allow for the orderly transfer of the rates, water and
8.2
Transfer of the PROPERTY shall be passed, by the SELLER'S Attorneys, as soon as
possible after date of acceptance, providing the PURCHASER has complied with the
electricity accounts in respect of the Property, as follows:
provisions of the aforementioned sub-clause.
6.6.1
if the Property is not held by sectional title, the Seller will notify the relevant
municipality, or any other relevant authority, prior to vacating the Property and
8.3
The PURCHASER hereby specifically authorises and agrees to the SELLER'S Attorneys
preparing and submitting a transfer duty form as required by SARS for the clearance of
request them to take final readings and terminate the electricity and water
the PROPERTY.
service in the Seller’s name upon registration of transfer into the name of the
Purchaser;
8.4
6.6.2
Transfer of the PROPERTY shall be effected by the SELLER'S Attorneys and all
the Conveyancer’s will, upon registration of transfer, inform the relevant
expenses of and incidental to the preparation and registration of transfer, the conveyancing
municipality that the Property has been transferred into the Purchaser’s name
fees, disbursements and VAT (if applicable), in respect of such transfer, shall be borne by
and the date of such transfer; and
the PURCHASER including all expenses and legal costs incidental to the preparation and
registration of any mortgage bond to finance the Purchase Price herein, including any
6.6.3
disbursement levied by the financial institution approving the finance.
the Purchaser shall, immediately upon registration of transfer of the Property
into its name, attend at the offices of the relevant municipality or any other
relevant authority, and will pay the required deposit/s and open rates, water
8.5
In the event of the PURCHASER failing to comply within 7 (seven) days of being requested
by the SELLER'S Attorneys, to furnish them with signed documents or documentation of
and electricity consumption accounts in its name.
whatever nature necessary for effecting transfer, or where applicable to ensure that the
mortgage bond documentation or ancillary documentation is satisfactorily completed or in
the event of the registration of transfer being delayed as a consequence of a default on
Page 9 of 27
Page 10 of 27
part of the PURCHASER (and the widest possible interpretation shall be used in respect
or damage by any cause with an insurer acceptable to the SELLER. The SELLER'S
of the terms hereof), then ipso facto on the 8th (eighth) day after such request, the
interest in the PROPERTY shall be endorsed against such policy for such period.
PURCHASER shall pay to the SELLER penalty interest, at the rate of 2% (two per centum)
above prime calculated from the said 8th (eighth) day until the date of transfer, (both days
8.6
9.3
Upon the PURCHASER taking occupation of the PROPERTY and pending transfer, the
inclusive).
following conditions shall apply –
The PURCHASER acknowledges and accordingly undertakes to comply with all the FICA
9.3.1
the PURCHASER shall not sell, let or in any other manner dispose of or part
with (whether temporarily or otherwise) the PROPERTY or his rights of
requirements as set out in Annexure "1" annexed hereto within 7 (seven) days from date
of acceptance of this Agreement by the SELLER and to supply the SELLER'S Attorneys
occupation thereof, except with the written consent of the SELLER, which
all information and documentation required by the SELLER'S Attorneys to enable the
consent shall not be unreasonably withheld;
SELLER'S Attorneys to fulfil their obligations in terms of the Acts mentioned herein under:
9.3.2
-
the PURCHASER shall be responsible for and pay all costs of electricity and
water consumed in the PROPERTY.
8.6.1
The SELLER'S Attorneys are designed as an "accountable institution" in terms
of the Financial Intelligence Centres Act No. 38 of 2001 ("FICA");
8.6.2
10
EXISTING TENANCIES
10.1 The PROPERTY is sold subject to all existing tenancies.
Certain obligations are placed on the SELLER'S Attorneys in terms of FICA and
the Prevention of Organised Crime Act 21 of 1998 ("POCA");
10.2 The PURCHASER shall be bound by the terms and conditions of all existing leases, of
which he acknowledges he is fully apprised.
8.6.3
The SELLER'S Attorneys shall not invest and administer any deposits or any
other monies paid by the PURCHASER in terms of this Agreement, unless the
10.3 If the highest bid obtained at the auction for the sale of the PROPERTY subject to the
PURCHASER has provided the SELLER'S Attorneys with the documentation
lease, is insufficient to meet the amount owing under any Mortgage Bond registered
that they require in terms of FICA, nor shall the SELLER'S Attorneys be held
over the PROPERTY, then the PROPERTY may be sold free of any lease which was
liable for any loss of interest as a result of the PURCHASER'S failure to comply
entered into after registration of any mortgage bond over the PROPERTY or any lease
herein.
entered into prior to the registration of any mortgage bond of which lease the older of
the mortgage bond had no knowledge
9
POSSESSION AND RISK
11
9.1
REPAIRS AND IMPROVEMENTS
Possession of the PROPERTY, subject to any leases in place over the Property as at the
date of auction, shall only be given by the SELLER and taken by the PURCHASER on
11.1 Prior to registration of transfer, the PURCHASER shall not be entitled to effect any
registration of transfer, provided that clauses 2.1 and 2.3 above have been complied with,
alterations to the PROPERTY without the prior written consent of the SELLER.
from which date all risks and benefits of ownership in respect of the PROPERTY shall
pass to the PURCHASER.
11.2 The SELLER shall not be obliged to compensate the PURCHASER for any authorised
alteration effected in the event of the sale being cancelled.
9.2
The PURCHASER, at its own expense, shall insure the PROPERTY and improvements
thereon for the full replacement value thereof from date of possession, against risk of loss
Page 11 of 27
Page 12 of 27
11.3 The PURCHASER shall be liable for any damages suffered by the SELLER as a result of
any alterations effected by the PURCHASER, not authorised by the SELLER.
13.1.1
12
to cancel this Agreement and upon cancellation the PURCHASER shall forfeit
all monies paid to the SELLER, the AUCTIONEER and/or the SELLER'S
REPRESENTATIONS
Attorneys and the SELLER shall retain the right to recover any costs incurred
by the SELLER to present the PROPERTY at the auction, any further costs to
12.1 If the sale of the PROPERTY is not subject to the Consumer Protection Act then the
PROPERTY is sold “voetstoots”. The sale of the PROPERTY is subject to the terms and
be incurred by the SELLER to re-auction or to re-sell the PROPERTY as well
conditions and servitudes mentioned or referred to in the current and/or prior Title Deeds
as any difference between the purchase price and the price achieved at any
subsequent sale of the PROPERTY by the SELLER. A certificate issued by the
and to the conditions of establishment of the Township in which it is situated and to the
SELLER or his representative, whose authority needs not be proven, shall be
zoning applied to it under any Town Planning Scheme. The SELLER shall not profit by
prima facie evidence of any such costs and/or difference in purchase price as
any excess nor shall it be answerable for any deficiency in the extent thereof. Neither the
SELLER nor the AUCTIONEER shall be responsible for pointing out to the PURCHASER
contemplated herein. The PURCHASER and the SELLER specifically agree
any surveyor’s pegs or beacons in respect of the PROPERTY.
that the AUCTIONEER shall be entitled, but not obliged, to immediately resubmit
the PROPERTY for auction and all costs pertaining thereto shall be borne and
paid for by the PURCHASER in addition to any other claims that he may be
12.2 The PURCHASER acknowledges that he has not been induced into entering into this
liable for in terms of the Agreement;
Agreement by any express or implied information, statement, advertisement or
representation made or given any warranties in respect of the PROPERTY or anything
13.1.2
relating thereto, by the AUCTIONEER or any other person, or by or on behalf of the
or to claim immediate performance and/or payment of all the Defaulting Party's
obligations in terms hereof.
SELLER and that is not contained in this Agreement. The PURCHASER hereby waives
any rights whatsoever which he may otherwise have obtained against the SELLER or the
13.2 Upon cancellation of this Agreement for whatever reason, the PURCHASER hereby
AUCTIONEER as a result of such information, statement, advertisement, representation
undertakes to forthwith vacate the PROPERTY and to procure that the PROPERTY shall
or warranty, made by or on behalf of the SELLER or the AUCTIONEER.
be vacated by any persons who occupy the PROPERTY through the PURCHASER'S title
or by his permission. Occupation shall be re-delivered in the same good condition as at
12.3 The PURCHASER acknowledges that he has fully acquainted himself with the
the date of possession.
PROPERTY that he has purchased.
13.3 Occupancy of the PROPERTY by the PURCHASER or persons on the authority of the
13
PURCHASER shall not create a tenancy either in terms of any statutory provision or at
BREACH
common law.
13.1 If one of the Parties commits a breach of this Agreement or fails to comply with any of the
provisions hereof, then the Aggrieved Party shall be entitled to give the Defaulting Party
13.4 Notwithstanding what is contained herein, should the PURCHASER pay any portion of the
7 (seven) days’ notice in writing to remedy such breach or failure (unless such breach or
deposit, but not pay a portion of or the full commission as required under these Conditions
failure occurs after the transfer documents have been lodged in the Deeds Office for
of Sale, the PARTIES record and agree that the AUCTIONEER shall be entitled to deduct
registration, in which case the 7 (seven) day period may, at the election of the Aggrieved
from any portion of the deposit paid under these Conditions of Sale, the value of its
Party be reduced to 48 (forty eight) hours). If the Defaulting Party is the PURCHASER
commission and any direct costs incurred and recover any shortfall thereon from the
and fails to comply with such notice then the SELLER shall forthwith be entitled, but not
PURCHASER.
obliged, without prejudice to any other rights or remedies which the SELLER may have in
law, including the right to claim damages:
Page 13 of 27
Page 14 of 27
13.5 It is recorded further that the deduction by the AUCTIONEER of commission due to it
17
SECTIONS 112 and 115 OF THE COMPANIES ACT (SPECIAL RESOLUTION)
under the sale does not absolve the PURCHASER from any and all other obligations
arising from these conditions of sale.
14
17.1 The SELLER and the PURCHASER are aware of the provisions of Sections 112 and
115 of the Companies Act 71 of 2008 (as amended) (“Section 112 and 115”), namely
that if the SELLER is a company and if the PROPERTY constitutes either all or the
greater part of the assets or the undertaking of the SELLER, then the directors of
the SELLER shall not have the power, save by a special resolution of the shareholders
of
the
SELLER,
to
sell
the
PROPERTY.
LEGAL COSTS
The Defaulting Party shall be liable for all legal costs incurred by the Aggrieved Party, the
AUCTIONEER and his Agent / Attorneys in enforcing the terms of this agreement, on an Attorney
17.2 Accordingly, the SELLER warrants that the provisions of Sections 112 and 115 are /
are not (delete as appropriate) applicable to the sale of the PROPERTY.
and own client scale, including collection commission.
15
DOMICILIUM
17.3 If Sections 112 and 115 are applicable to the sale of the PROPERTY and if the directors
of the SELLER have not already been granted the necessary authority in terms of
Sections 112 and 115 to dispose of the PROPERTY, then within 45 (forty five) business
days of the acceptance date the SELLER shall procure that its shareholders pass a
special resolution ratifying the sale of the PROPERTY.
15.1 The PURCHASER and the SELLER hereby choose their respective domicilium citandi et
executandi for all purposes in respect of this agreement, including notices and Court
process, the address recorded below their signatures hereunder. Any notice sent by prepaid registered post shall be deemed to have been received on the fifth day after posting;
18
NOMINEE
any notice delivered by hand shall be deemed to have been received on the day of
delivery; any notice sent by telefax or electronically transmitted by email, shall be deemed
to have been received on the first business day after date of despatch thereof.
15.2 Notwithstanding anything to the contrary herein contained, any written notice or
communication actually received by a Party to this Agreement shall be deemed to be
The PURCHASER shall be entitled, by notice in writing to the SELLER, to nominate a nominee
in his place as PURCHASER, upon the following terms and conditions:
18.1 the aforesaid notice shall be handed to the SELLER by not later than 24h00 on the same
day as the acceptance date by the SELLER;
adequate written notice or communication to him notwithstanding that it was not sent or
delivered at the chosen address / domicilium citandi et executandi or transmitted to such
Party's telefax number and/or email address as stipulated herein.
18.2 the notice shall set out the name and address of the nominee so nominated as
PURCHASER;
18.3 the notice shall be accompanied by the nominee’s written acknowledgement:
15.3 The terms of "writing" shall include communications by email or facsimile.
16
JOINT AND SEVERAL LIABILITY
If this agreement is concluded with more than one PURCHASER, the liability of all such
that it is fully aware of all the terms and conditions of this agreement as if fully
set out in such written acknowledgement; and
18.3.2
that it is bound by the provisions of this agreement as the PURCHASER;
18.4 should the PURCHASER nominate a nominee in terms of this clause, then:
PURCHASERS to the SELLER and to the AUCTIONEER shall be joint and several in solidum.
Page 15 of 27
18.3.1
Page 16 of 27
18.4.1
all reference to the PURCHASER in this agreement shall be deemed to be a
reference to its nominee; and
18.4.2
the PURCHASER by his signature hereto, hereby interposes and binds himself
as surety and co-principal debtor in solidum, for and on behalf of all the
obligations of the aforesaid nominee as PURCHASER, to and in favour of the
21.2 Upon the SELLER furnishing the SELLER'S Attorneys with such certificate, the
SELLER, for all the PURCHASER'S obligations under this agreement, including
damages, and renounces the benefits of division and excussion.
PURCHASER shall have no claim whatsoever against the SELLER in respect of
electrical installations and no further liability in this regard shall rest upon the SELLER.
19
COMPANY TO BE FORMED
21.3 The PURCHASER agrees and undertakes to take steps sufficient to ensure, as far as
19.1 In the event of the PURCHASER signing this agreement in his capacity as agent for a
is reasonably practicable, that the PROPERTY will comply with all prescribed
company to be formed and the PURCHASER fails within 20 (twenty) days from date of
requirements, including the issue of a Certificate of Compliance in respect thereof as
acceptance and confirmation of this agreement to register such company having as one
required in terms of clause 7 of the Electrical Installation Regulations of 2009 and that
of its objects the ratification and adoption of this agreement, or such company fails to adopt
the PROPERTY will be safe and without risks to health.
or ratify this agreement within 15 (fifteen) days after date of its incorporation, then in such
an event the PURCHASER shall be deemed as from the date thereof to have entered into
21.4 The PURCHASER hereby relieves the SELLER from the duty imposed upon him by
this agreement in his personal capacity and to have acquired all the rights and obligations
the provisions of section 10 of Act 85 of 1993. All costs incurred in obtaining such a
of the PURCHASER under this agreement.
Certificate of Compliance, including costs of any repairs or replacements required in
order for the certificate to be issued, shall be borne by the PURCHASER.
19.2 In the event of such company being registered and duly adopting or ratifying this
agreement, or the nomination effected, then the PURCHASER by his signature hereunder,
21.5 The SELLER warrants that, as at date of occupation or transfer, whichever is the
shall be deemed to bind himself to the SELLER as SURETY and co-principal debtor in
earlier; there will have been no addition or alteration to the electrical installations
solidium with such company for the due performance by it as PURCHASER of the terms,
existing on the PROPERTY subsequent to the issue of such certificate. In the event
conditions and obligations arising out of this agreement.
that there has been any addition and/or alteration, the SELLER shall be obliged to
obtain a Certificate of Compliance for at least the addition or alteration.
20
COMPANIES, CLOSE CORPORATIONS, ASSOCIATIONS OR TRUSTS
Should the PURCHASER be a company, close corporation, association or trust, the person
An Electrical Certificate of Compliance issued not more 2 (two) years prior to the date of this
signing this agreement on behalf of such PURCHASER, by his signature hereto interposes and
Agreement of Sale shall be valid and effective for the purposes of this clause.
binds himself as SURETY for and co-principal debtor with the PURCHASER for the due and
proper discharge of all its obligations arising from this agreement.
21
22
ELECTRICAL INSTALLATION CERTIFICATE OF COMPLIANCE
MAGISTRATES' COURT JURISDICTION
The Parties hereto consent to the jurisdiction of the Magistrates' Court in terms of Section 45 read
with Section 28 of the Magistrates’ Court Act of 1944 as amended.
Notwithstanding the
21.1 The SELLER hereby undertakes to furnish the SELLER'S Attorneys, prior to
aforementioned, this shall not preclude either Party from approaching the High Court of South
occupation or transfer by the PURCHASER, whichever is the earlier, with a Certificate
Africa for any relief sought. This Agreement shall further be governed in terms of the law of the
of Compliance in respect of the PROPERTY, in terms of the Electrical Installation
Republic of South Africa.
Regulations of 2009 under the Occupational Health and Safety Act (Act No. 85 of 1993,
as amended), issued by an electrical contractor who is registered in terms of the
23
GENERAL CLAUSES
Regulations. All costs incurred in obtaining such a certificate, including costs of any
repairs or replacements required in order for the certificate to be issued, shall be borne
23.1 This Conditions of Sale Agreement constitutes the whole agreement between the Parties
by the SELLER.
as to the subject matter hereof and no agreement, representation or warranty between the
Parties other than those set out herein are binding on the Parties;
Page 17 of 27
Page 18 of 27
SIGNED BY THE PURCHASER ON THE ________ DAY OF
23.2 No extension of time, waiver, indulgence or suspension of any of the provisions of this
agreement, which any Party hereto may have given, shall be binding unless recorded in a
AS WITNESS:
1.
________________________
_____ ______ _______
PURCHASER (and where applicable, the
written document signed by all Parties.
signatory binding himself as SURETY and
co-principal debtor in solidium)
23.3 No variation or alteration or cancellation of these Conditions of Sale or any of the terms
hereof, shall be of any force or effect, unless in writing and signed by the Parties hereto.
AS WITNESS:
THE PROPERTY WAS PUT UP FOR SALE BY PUBLIC AUCTION ON THE____________DAY OF
1.
OF THE YEAR 20______
BROLL AUCTIONS AND SALES (PTY)
LTD duly authorised (Broll Auctions and
And sold by the rise for the amount of R
Sales (Pty) Ltd hereby accepts all the
rights conferred upon it in terms of this
(words)
Agreement)
(PLUS VALUE ADDED TAX IF APPLICABLE)
TO:
COMPANY/ CLOSE CORPORATION/ TRUST/ OTHER
___________________________________ (hereinafter referred to as the ”PURCHASER”)
ENTITY REGISTRATION / ID NO.:
ADDRESS:
TELEPHONE DETAILS: (home)
(Work)
(Fax)
(Email)
(Cell)
MARITAL STATUS
(In /Out of Community of PROPERTY)
SPOUSE’S NAME
SPOUSE’S ID NO
Page 19 of 27
Page 20 of 27
ACCEPTANCE AND CONFIRMATION
DEED OF SURETYSHIP
I / We the undersigned,
Accepted by me this
day of
20____
ID NUMBER: _______________________________________________
AS WITNESSES:
1.
do hereby interpose and bind myself / ourselves as surety and co-principal debtor/s in solidum for
SELLER (and where applicable the
and on behalf of the PURCHASER to and in favour of the SELLER and the AUCTIONEER for all
SELLER is duly authorised)
the obligations of the PURCHASER under the Conditions of Sale aforegoing and in particular for all
amounts of money that may be due, including damages, from whatsoever cause arising under
2.
SELLER'S ADDRESS:
renunciation of the benefits of division and excussion. I/We do further acknowledge that I/we are
___________________________
fully aware of all the terms and Conditions of the Conditions of Sale as if fully set out herein.
___________________________
I/We do accept domicilium et executandi at the address hereinafter set out.
___________________________
THUS DONE AND SIGNED at
this
day of
AS WITNESSES:
1.
__________________________
_______
SURETY
2.
__________________________
_______
SELLER
_______________________________
BROLL AUCTIONS AND SALES (PTY)
LTD duly authorised
SURETY ADDRESS (PHYSICAL):
Tel No:
Page 21 of 27
Page 22 of 27
EXTRACT FROM THE MINUTES OF A MEETING OF THE MEMBERS OF
EXTRACT FROM THE MINUTES OF A MEETING OF THE DIRECTORS OF
_______________________________________________________________________
_______________________________________________________________________
HELD
AT
________________________
ON
_________________________________
HELD
AT
________________________
ON
___________________________________
____________________________________________________________________
____________________________________________________________________
RESOLVED THAT:
RESOLVED THAT:
1.
2.
The CLOSE CORPORATION BUYS the following PROPERTY
The Company BUYS the following PROPERTY
______________________________________________________________
______________________________________________________________
from _________________________________
from _________________________________
for R _________________________________
for R _________________________________
That ______________________________ in his capacity as Member be and is hereby
2.
That _________________________________ in his capacity as Director be and is
authorised to execute and sign all documents necessary to give effect to the above
hereby authorised to execute and sign all documents necessary to give effect to the
resolution.
above resolution.
Certified a true copy,
_______________________________
MEMBER
Page 23 of 27
2.
Certified a true copy,
_______________________________
______________________________
MEMBER
DIRECTOR
Page 24 of 27
_______________________________
DIRECTOR
EXTRACT FROM THE MINUTES OF A MEETING OF THE TRUSTEES OF
(ANNEXURE 1)
_______________________________________________________________________
HELD
AT
___________________________
ON
________________________________
FICA REQUIREMENTS: Natural Persons
____________________________________________________________________
[1]
RESOLVED THAT:
[2]
South African identity document (foreigners: passport);
Utility bill addressed to your residential address less than 3 months (accounts for mobile
phones are not acceptable);
3.
The Trust BUYS the following PROPERTY
[3]
South African Income Tax reference number.
[4]
(Confirmation marital status, i.e. unmarried or married.)
______________________________________________________________
from _________________________________
for R _________________________________
2.
1.1 If Married
That ________________________________________ in his capacity as Trustee be
[5]
Marriage certificate.
and is hereby authorised to execute and sign all documents necessary to give effect to
- If IN community of property (no antenuptial contract)
the above resolution.
[6]
- If OUT of community of property (by Antenuptial Contract ("ANC")
Certified a true copy,
_______________________________
TRUSTEE
S.A. identity document (foreigner: passport) of your SPOUSE.
_______________________________
[7]
TRUSTEE
Page 1 (and page 2 if necessary) reflecting the registered number and names of both parties.
If your Marriage is governed by the Laws of another country/state
[8]
[9]
S.A. identity document (foreigner: passport) of your SPOUSE;
Name of the country/state governing your marriage, i.e. the country where the husband was
living at the time of the marriage with the intention of staying there permanently.
FICA REQUIREMENTS: Entities
—
Person acting on behalf of the Entity must comply with paragraphs 1 to 4 above.
—
All directors / members / trustees must also comply with paragraphs 1 to 4 above
PLUS THE FOLLOWING:
Page 25 of 27
Page 26 of 27
1.2
1.3
1.4
Companies:
[1]
CM1.
[2]
CM22.
Close Corporations:
[1]
CK1;
[2]
and, if applicable, CK2.
Trusts:
[1]
Letters of Authority / Master's Certificate;
[2]
Trust Deed and all amendments thereto.
[3]
Resolution to approve the purchase (and loan application, if applicable) taken
before the Agreement of Sale was signed. (The only exception is where it is a cash
transaction and all the Trustees have signed the Agreement of Sale.)
—
Detailed FICA requirements for Entities will be supplied to such Purchasers, in due
course.
1.5
— FICA requirements for Other Entities, if applicable, will be supplied to such
Purchasers.
Page 27 of 27
NOTES
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
_____________________________________________________________________________________________
Broll Auctions and Sales
Suite 4, 1st Floor
Atholl Square
Cnr Katherine Drive
& Wierda Road East
Sandown Ext 3
Johannesburg
2196
Tel +27 87 700 8289
Fax +27 86 247 8768
PO Box 92510
Norwood
2117
South Africa
www.broll.com
[email protected]
YOUR PARTNER OF
CHOICE FOR COMMERCIAL
PROPERTY AUCTIONS
34