Thread by @talkcentss

Let’s talk Property and Business

• Residential Zoning
• Business Zoning
• Industrial Zoning

(Thread) 👇🏽

• Introduction

Understanding the business you want to start before buying your property is crucial.

You will need to adhere to regulations and zoning categories.

Let’s take a look at what I mean 👇🏽

1/
Residential Zoning

It consists of 4 categories,

and restrictions on buildings or buildings to be constructed are determined by 3 things.

• Coverage (40% coverage)

• F.A.R ( floor, area, ratio)

• Density

1.1/
Residential 1

Properties can have a density of only one dwelling per stand or erf. i.e. house

Coverage of 40% is permitted.

This means that if you buy land of 1000m2, you would only be allowed to build a maximum of 400m2 - including garages and outhouses.

Examples 👇🏽

1.2/
Residential 2

A density of between 10-20 dwellings per hectare (10 000m2) is allowed.

Ideal for cluster housing or townhouses.

It’s also why many complexes will be two stories, to maximize coverage.

1.3/
Residential 3

A density of between 21-40 dwellings per hectare is allowed.

on a 26 000m2 property(2.6hectares) 40% coverage amounts to 10 400 square metres

( 25units per hectare)

2.6x25= 65units = Density.

They are allowed to fit 65units onto 10400m2 ( 160m2 unit)

1.4/
Residential 4

Allows for a density of between 41-120 dwellings per hectare.

This zoning is designed to cater for the construction of a block of flats.

#construction

2/
Business zoning

Consists of 4 categories,

when we decide to operate a business we need to be in the correct zone

Therefore, before buying property for your business make sure the zones are correct.

2.1/
Business 1

This type of zoning is predominately unrestricted, meaning almost any type of business can be permitted to operate under this zoning type.

It caters for general businesses in the form of shopping centers or malls.

2.2/
Business 2

Is also designed for shopping/C, but has restrictions on certain businesses

Examples of such restrictions could be a bottle store/pet store close to a major highway

Here is an example of an R2 and B2 zoning.

2.3/
Business 3

This is a stricter zoning, it does not allow for a variety of businesses to open and operate in the centre.

Be careful to buy land in this zone, don’t want to buy land to start a businesses that is restricted.

2.4/
Business 4

Final zoning category, but doesn’t involve shopping centers/malls.

It’s for office use (with or without residential). You could live and have your office there, maybe a consultancy firm, accountant ect.

An example:

3/
Industrial Zoning

There are 3 categories,

it allows for up to 70% coverage, sometimes more, depending on business function ect.

These are for bigger businesses, let’s take a look at some 👇🏽

3.1/
Industrial 1

Designed for normal warehouses, factories, or storage depots.

Ideal for a construction company keeping materials or plant.

3.2/
Industrial 2

Designed for businesses with unpleasant odors or emissions.

Examples include

• abattoirs
• Foundries
• Glue Works

* can you imagine an abattoir in a residential area - it’s a NO NO NO!

3.3/
Industrial 3

Caters for specialist workshops or mini factories

For industrial zoning 70% coverage is normally allowed.

#fuel

• Before jumping into any property, you need to know what your plans are

You may think you buying 1000m2 house to build your dream home of 750m2, but that won’t be allowed

Same applies to ur business, make sure U know the reason you’re buying so it aligns with your operations

A group of us founded @fundup21 3 years ago.

We’ve facilitated a few property deals and have been raising capital to move into R2 and B2 Zoning.

This is an example of deals we are after 👇🏽

property24.com/for-sale/gonub…

We started out as a Stokvel and then transitioned into being a company.

We contribute monthly to the business account and raise capital.

We analyze these types of deals regularly and look for income opportunities for ourselves and for some of our partners.

#SouthAfrican

My point being,

Start saving collectively, and start accumulating capital.

You need to buy assets that will generate more income for you.

•Businesses
•Property
•Equity
•Land

Going at it alone isn’t impossible, but you can mitigate risk by doing it collectively.

That’s it, that’s the tweet. Follow @talkcentss for more Property threads.

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