Reside Summit 2025 calls for bold investment in alternative residential sectors
The second day of the Reside Summit 2025 at the Sandton Convention Centre in Johannesburg was marked by a call for established financiers and institutional investors to allocate funding towards real estate developments focusing on multifamily rental housing, retirement living and student accommodation.
Demographic shifts and economic pressures are driving demand for affordable homes, purpose-built student accommodation and dignified retirement living. Speakers at the Reside Summit 2025 emphasised that these sectors offer both social impact and steady returns for investors willing to look beyond traditional real estate classes.
'If we want cities that work for everyone, we need capital that moves with purpose. Alternative residential sectors like student housing and retirement living, aren't fringe - they're foundational to inclusive urban growth. We thank all our partners for showing up with bold ideas and real commitment. Together, by reshaping spaces, we're reshaping futures,' says Debbie Tagg, Chairperson of the Reside Summit.
The Development Bank of Southern Africa (DBSA) is one of the major financiers that believes in investing in alternative real estate markets—particularly when these investments align with its core mandate of addressing South Africa's most pressing social and developmental needs.
Palesa Ryan, the DBSA's Head for Social, Health, and Education, reaffirmed the DBSA's commitment to supporting real estate developments, particularly those that address the country's most urgent housing needs.
'The DBSA stands ready to finance real estate developments across South Africa, but our mandate is clear: our primary focus is on affordable housing. We believe that by channelling capital into this sector, we can drive both social and economic transformation,' said Ryan during her presentation at the Reside Summit on 10 July.
She emphasised that the DBSA is actively seeking partnerships with developers, municipalities and other financiers to unlock new affordable housing projects.
Ryan added: 'Affordable housing is not just a social imperative - it's a resilient asset class that can deliver stable, long-term returns. We are eager to work with stakeholders who share our vision for inclusive, sustainable urban growth.'
Retirement living: integrating health, wealth and dignity
Under the theme 'Transforming Spaces, Enriching Lives', this year's Reside Summit also shone a spotlight on retirement living and how this housing option integrates health, wealth and dignity.
As South Africa's population ages, retirement living has emerged as a sector in need of attention, said Tim Gibson, Director at Herdsmore.
'Retirement living in South Africa is at a crossroads. We must go beyond simply providing accommodation and focus on integrated communities that offer healthcare, social engagement and a sense of dignity for our seniors,' said Gibson.
Herdsmore, under Gibson's leadership, is pioneering the development and management of modern retirement communities that blend independent living with access to healthcare, wellness programs and community activities. Their approach is rooted in international best practices but tailored to South Africa's unique demographic and cultural context.
Gibson stressed the importance of collaboration between the public and private sectors to unlock capital and scale up quality retirement options: 'We see enormous potential for impact and returns in this space. By working together, developers, investors, and government can create environments where older South Africans thrive, not just live.'
Student accommodation: building for the next generation
The acute shortage of quality student accommodation was a major focus at the summit.
Kagisho Mamabolo, CEO of the Private Student Housing Association (PSHA), estimated that South Africa faces a shortfall of 300,000 student beds. PSHA, established in 2019 by leading private providers, now represents 80,000 beds nationwide - many of which meet or exceed government standards.
Mamabolo explained that student accommodation is about much more than just providing a place to sleep: 'Student accommodation is a very important part of our youth's future and the higher education system. It's not just about providing beds, it's about ensuring the dignity of students, supporting their futures and enabling their success.'
While there is strong interest from private sector investors to support new student accommodation developments, Mamabolo noted that current government policy is making it increasingly difficult for these investments to be viable.
In 2023, the National Student Financial Aid Scheme (NSFAS) introduced a cap limiting the maximum amount paid for a student's accommodation to R52,000 per year. The intention was to control costs and standardise spending, but, as Mamabolo pointed out, this cap is too low for providers to cover the real costs of building and running quality, compliant student housing.
Research by PSHA shows that the true cost to sustainably provide accommodation that meets government norms and standards is closer to R66,000 per bed per year. The cap makes it financially unfeasible for private providers to invest in or maintain student housing, threatening the sector's sustainability and limiting students' access to safe, dignified accommodation.
As a result, PSHA has called for the removal of the NSFAS cap and for funding to better reflect the actual costs of delivering quality student housing, so that providers can continue to meet the needs of South Africa's growing student population.
As day two of the Reside Summit 2025 concluded, the message was clear: South Africa's urban future depends on bold, coordinated investment that includes alternative residential sectors. By directing capital into affordable housing, retirement living and student accommodation, stakeholders can achieve sought-after sustainable returns as well as social impact - reshaping cities and enriching lives for generations to come.
ABOUT RESIDE SUMMIT
Launched in 2023, the Residential Investment & Development (Reside) Summit aims to bridge the gap between stakeholders in the public and private sector, construction firms, property developers, investors, financial institutions, and industry bodies.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
an hour ago
- Zawya
Egypt: Minister of Planning, Economic Development, and International Cooperation Discusses Developments in Joint Economic Relations with Norwegian Minister of International Development and Dutch Deputy Minister of Development
H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, met with H.E. Mr. Åsmund Aukrust, Minister of International Development of the Kingdom of Norway. The two sides reviewed ways to strengthen cooperation opportunities between the two countries and discussed a number of joint issues. This meeting took place during her representation of the Arab Republic of Egypt at the Fourth G20 Development Working Group (DWG) Meeting and the G20 Ministerial Meeting on Development. These meetings are being held under South Africa's G20 presidency from July 20 to 25, 2025, under the theme "Solidarity, Sustainability and Equality" in South Africa. During the meeting, H.E. Dr. Rania Al-Mashat lauded the Egyptian-Norwegian relations, and noted that the two countries have strengthened and deepened bilateral ties across various sectors, including renewable energy and regional stability efforts. H.E. Dr. Al-Mashat highlighted that the extended partnership between the governments of Egypt and Norway has been essential in boosting the economy, developing the renewable energy sector, and creating better opportunities for the Egyptian economy. H.E. Dr. Rania Al-Mashat emphasized Egypt's commitment, with its expanding economy and attractive investment climate, to attracting new foreign partnerships and investments that can drive innovation, economic growth, and sustainable development. H.E. Dr. Al-Mashat pointed to the most prominent areas of cooperation with the Norwegian side, which include the oil, energy, gas, maritime transport, shipping, and shipbuilding sectors, in addition to fisheries and aquaculture. She noted that Egypt is keen to expand these areas of cooperation, and highlighted that the Egyptian-Norwegian partnership in promoting investments in the renewable energy sector was a central focus of H.E. President Abdel Fattah El-Sisi's historic visit to the Kingdom of Norway in December 2024. H.E. Minister Al-Mashat added that the shared goals and mutual respect characterizing the bilateral relations between Egypt and Norway represent a model for international cooperation that will be built upon in the coming years. She further stated that Norway's commitment to sustainability and international cooperation aligns with Egypt's Vision 2030 and green transformation goals. H.E. Dr. Al-Mashat pointed out that the cooperation between the two countries in green hydrogen and renewable energy, which includes several prominent projects. These include a green ammonia production project from green hydrogen, a green methanol production project in the Suez Canal Economic Zone, in addition to a number of funded projects in various fields. These contribute to creating decent job opportunities for youth in cooperation with the International Labour Organization and the Norwegian Ministry of Foreign Affairs, and promoting health and combating violence against women in Egypt in cooperation with the United Nations Population Fund. H.E. Minister Al-Mashat affirmed Egypt's keenness to involve the private sector, especially in strategic sectors such as renewable energy, green hydrogen, maritime industries, and technology. She noted that the country provides a stable investment climate, competitive incentives, and access to key regional markets, making it an ideal gateway for Norwegian and other international companies seeking to expand into the Middle East and Africa. She also referred to the cooperation between Egypt and Scatec, and mentioned that Egypt and Norway have historically strong economic ties, which have translated into tangible projects benefiting both economies. H.E. Dr. Al-Mashat outlined that the new partnerships with Scatec enhance active cooperation between the public and private sectors and development partners, aiming to promote green transformation. She noted Scatec's contribution to the implementation of the Benban Solar Park, one of the largest solar parks in the world, and the first green hydrogen plant in the Suez Canal Economic Zone, in cooperation with the European Bank for Reconstruction and Development and other partners. H.E. Dr. Al-Mashat also pointed to the efforts of the Ministry of Planning, Economic Development, and International Cooperation in continuing to support international partnerships and mobilize local and international financing to promote green transformation in Egypt and increase the number of environmentally friendly projects. She pointed out that the cooperation portfolio with Scatec includes a number of projects under the energy sector of the "NWFE" program, including the green hydrogen project in Egypt, the green ammonia production project in Damietta, the 1 GW solar power project with battery energy storage solutions (BESS), and a 1 GW solar power plant for the aluminum complex in Naga Hammadi. Egyptian-Dutch Relations On another note, H.E. Dr. Rania Al-Mashat met with H.E. Ms. Pascalle Grotenhuis, Netherlands' Vice Minister for International Development, to discuss strengthening Egyptian-Dutch relations and developments in the partnership between the two countries. During the meeting, Dr. Rania Al-Mashat affirmed that Egypt and the Netherlands have deep-rooted political, cultural, and economic relations spanning several decades. These relations have witnessed significant momentum and growing cooperation at various levels in recent years. H.E. Dr. Al-Mashat noted that the economic cooperation between the two countries has been an important axis in bilateral relations, with the Netherlands providing over 407 million Euros in development financing to Egypt since 1975. This assistance has contributed to supporting many vital sectors, including agriculture and irrigation, health and social affairs, transport, electricity, housing, tourism, education, and local development. She stated that the Netherlands is one of Egypt's main trading partners within the European continent, with bilateral trade amounting to approximately one billion Euros annually. Both sides aim to expand this cooperation and diversify its areas, especially given the available opportunities for economic integration between the two countries. H.E. Dr. Al-Mashat highlighted the "Orange Corners" program, implemented in cooperation with the Dutch side and the private sector, to support entrepreneurs in the Nile Delta and Upper Egypt governorates. After the success of the first three-year phase, the program is now in a new cycle extending from 2024 to 2028, reflecting the shared interest of both countries in achieving inclusive economic growth and providing job opportunities for youth. The two sides also reviewed developments in cooperation in the fields of water and climate following the Memorandum of Understanding signed between the Egyptian and Dutch governments in October 2024, to enhance cooperation in coastal resource management and adaptation to climate change. Distributed by APO Group on behalf of Ministry of Planning, Economic Development, and International Cooperation - Egypt.
The National
an hour ago
- The National
UAE Property: ‘How can I increase summer occupancy in my RAK rental unit?'
Question: I am buying an apartment in Ras Al Khaimah and want to rent it out for short-term rentals soon. How can I optimise summer occupancy and which local regulations must I adhere to? MP, Dubai Answer: Ras Al Khaimah is fast becoming a destination of choice, not just as a go-to staycation destination for the UAE holiday market, but also for longer-term visitors and tourists. With the arrival of the Wynn Al Marjan Island resort in 2026/2027, the emirate is likely to become more popular as a short-term destination. Here are a few things to remember and adhere to. By law, all tenancy contracts in RAK must be registered through the RAK Municipality e-portal. The fee is Dh25 ($6.8) plus 5 per cent of the annual rent. Unregistered contracts are unenforceable, stripping landlords of eviction rights and security deposit recourse. Standard residential leases are allowed up to four-year terms, but short-term leases of say two to four months must still comply with the Rent Act's eviction notice requirement, which is a minimum 90 days, and the security deposit rule, which is 5 per cent of the annual rent. Offer two- to four-month summer lets bundled with free utilities, complimentary AC servicing and optional maid services. UAE residents that enjoy staycations value turnkey, worry-free stays. List on leading short-let platforms such as Airbnb, local short-term rental agents and collaborate with GCC-focused travel agencies to tap into regional leisure traffic. Ensure your unit is presented in the best possible fashion by furnishing with high-quality appliances, blackout curtains, high-speed Wi-Fi, and a dedicated workspace to attract both families and remote working professionals seeking respite from the summer heat. Employ revenue management software to adjust nightly or weekly rates based on occupancy forecasts or get comparable data from portals and local holiday home agents. Look out for any local events that will potentially capture higher premiums. Conduct professional cleaning and safety inspections between tenancies to maintain high review scores. Offer flexible check-in/out times and transparent cancellation policies to build guest trust. Monitor competitor rates regularly to ensure your pricing remains competitive without eating into your yield. By combining regulatory compliance with targeted marketing and professional service levels, part-time RAK landlords can boost summer occupancy from roughly 45 per cent (unmanaged) to over 75 per cent, capturing premium short-let rates and maximising annual income. Watch: Businesswoman moves from Dubai to RAK to find some quiet Q: I would be interested to understand what are the emerging areas in Abu Dhabi and Sharjah in terms of capital appreciation, rental yields and which developers I should work with? CP, Sharjah A: While Dubai commands the headlines, Abu Dhabi and Sharjah are quietly delivering attractive risk-adjusted returns in well-priced, master-planned communities. I will list below some top picks that I think combine credible developer track records, infrastructure momentum and balanced capital appreciation. Starting with Abu Dhabi, the main master developer is Aldar. Some of its main projects are: Al Reem Island: Boasting a 7.2 per cent year-on-year price rise in the first quarter of 2025 and gross rental yields of 7.6 per cent for apartments, Al Reem Island blends waterfront views with high-street retail. The Central Market and Gate Towers precincts have strong presales, minimising completion risk and ensuring pipeline transparency. Yas Island: Driven by entertainment megaprojects such as Warner Bros, Ferrari World, Sea World, Yas Waterworld and the Yas Mall expansion, luxury apartments command 6.5 per cent to 7 per cent yields, with prices up 6.6 per cent in early 2025. The upcoming first Disney World in the Middle East will further elevate property prices and demand for both long- and short-term rentals. Al Ghadeer: A reclaimed land community by Aldar located on the Dubai-Abu Dhabi border, it offers entry-level pricing (sub-Dh1 million studios) and yields near 9.9 per cent, underpinned by affordable payment plans and infrastructural upgrades connecting to Sheikh Mohammed Bin Zayed Road. Main projects in Sharjah include: Aljada by Arada: This is a fully integrated town centre featuring three schools, 25,000 residential units, a 4.4-kilometre retail boulevard, hotels and public plazas, along with large green spaces and family entertainment areas. Aljada's off-plan apartments yield 5 per cent to 7 per cent, with an expected 7.5 per cent return on investment on handover. Arada's track record of delivering three large-scale projects on time adds to investor and end-user confidence. Tilal City (Sharjah Asset Management): Modelled on Mediterranean lagoons, Tilal City's early studio and one-bedroom launches delivered 6 per cent to 8 per cent yields, with mid-teen capital growth forecast as schools, clinics and malls open next year. Maryam Island: Launched in 2024, this waterfront mixed-use island has seen soft-launch price uplifts of around 8 per cent within six months and yields of around 6 per cent. This is driven by Sharjah's tourism push and the project's proximity to the Corniche.
Zawya
5 hours ago
- Zawya
Saudi Arabia publishes new law allowing foreigners to own property
RIYADH — Saudi Arabia has officially published the full details of its new law regulating real estate ownership by non-Saudis, following Cabinet approval earlier this month. The comprehensive law, released in the official gazette Umm Al-Qura on Friday, will take effect 180 days from publication and marks a major overhaul in the Kingdom's approach to foreign ownership of property. The new system grants non-Saudis — including individuals, companies, and non-profit entities — the right to own property or obtain other real rights over real estate within designated geographic zones to be determined by the Cabinet. These rights include usufruct (beneficial use), leaseholds, and other real estate interests, but will be subject to a range of controls and restrictions based on location, property type, and usage. The law preserves all real estate rights that were legally established for non-Saudis prior to the new regulation taking effect. However, it clearly states that ownership remains prohibited in certain locations and regions, notably in Makkah and Madinah, except under conditions for individual Muslim owners. A key provision in the law requires the Council of Ministers — upon a proposal by the Real Estate General Authority and with the approval of the Council of Economic and Development Affairs — to define the allowable zones for foreign ownership and set upper limits on ownership percentages and durations for usufruct rights. Foreign individuals legally residing in Saudi Arabia may own one residential property outside restricted areas for personal housing purposes. This does not apply to Makkah and Madinah. The regulation also includes provisions for corporate ownership. Non-listed companies with foreign shareholders, as well as investment funds and licensed special-purpose entities, will be permitted to acquire real estate throughout the Kingdom, including in Makkah and Madinah, provided the ownership supports operational needs or employee housing. Listed companies and investment vehicles may also acquire property in line with Saudi financial market regulations. Diplomatic missions and international organizations can also own premises for official use and residence of their representatives, subject to Foreign Ministry approval and reciprocity conditions. To ensure compliance, non-Saudi entities must register with the competent authority before acquiring property. Ownership or real rights become valid only after formal registration in the national real estate registry. The law introduces a real estate transfer fee of up to 5% for transactions involving non-Saudis, and outlines a penalty framework for violations. Sanctions include fines up to SR10 million and, in severe cases such as falsified information, the forced sale of the property with proceeds remitted to the state after deductions. A dedicated committee under the Real Estate General Authority will be formed to investigate violations and impose penalties. Decisions of this committee can be appealed to the administrative courts within 60 days. Additionally, the law repeals a prior rule that prohibited GCC citizens from owning property in Makkah and Madinah, effectively standardizing rules for all non-Saudi entities under a single framework. The executive regulations, which will detail implementation mechanisms and specify geographic boundaries and conditions, are expected to be issued within six months. The new law replaces the previous foreign property ownership legislation issued under Royal Decree No. M/15 in 2000. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
