A wine centre and tourism hub outside Stellenbosch is going up for sale in a sealed bidding process starting from 31 July.
This is according to John Jack, chief executive officer (CEO) of Galetti Corporate Real Estate, which is facilitating the sale of Root44 Market on behalf of Daxcon Development Trust.
The Root44 Market outside Stellenbosch has been operating since 2012, and encompasses a wine emporium boasting over 300 local wines, and a “vibrant” weekend market “that attracts thousands of visitors each week”, according to a brochure sent to SMF News by Galetti Corporate Real Estate. PHOTO: Annemieke Thomaidis
The 5.1-hectare property has been the site of a “long and arduous” disagreement between the owners and Stellenbosch Municipality, prompting the owners to sell, said Jack.
“They have seen great success with the property, but have been engaged in seeking clarity with the municipality for some time with regards to the consent use,” said Jack. “Ultimately, [the owners] have decided that the property is probably best served by a new owner with a renewed vision that more closely aligns with the municipality’s views.”
‘Labour of love’
The Root44 site has been an issue of contention for a number of years over land-use regulations and zoning definitions.
A court case over liquor licenses is still ongoing, turning this development into a “labour of love”, contributing to the owners’ motivation to sell, said Jack.
Currently, the property is zoned as an “agricultural and rural zone, with limited consent-use rights for a tourist facility and a park run, both subject to strict conditions”, said Stuart Grobbelaar, communications manager for Stellenbosch Municipality, in correspondence with SMF News.
Should the new owners want to expand or alter land-use rights, a formal application to the municipality is required, said Grobbelaar.
The Root44 Market outside Stellenbosch has been a site of contention over land-use regulations and zoning definitions. According to both Stuart Grobbelaar, communications manager at Stellenbosch Municipality, and John Jack, chief executive officer (CEO) of Galetti Corporate Real Estate, traffic congestion and subsequent complaints have been a significant issue surrounding the property. PHOTO: Annemieke Thomaidis
Vendor uncertainty
The new owners will be buying the property with income in place; however, it is their prerogative to keep the current market and wine business as is, said Jack.
For Hans Labuschagne, owner of the smoothie stall Blended at Root44, this uncertainty and possible loss of income threatens his livelihood.
“If they basically close down, then my business is also basically closing down,” he said.
Another vendor, who prefers to remain anonymous, said they felt “gutted” when they learned of the sale.
The Root44 Market outside Stellenbosch has two floors. The upper floor houses a wine shop, and the lower a tourism market accommodating over 50 traders. This is according to the Root44 website. PHOTO: Annemieke Thomaidis
However, Attie Esterhuyse, owner of Corlie’s Italian Pizzeria, which has traded at Root44 for three years, is not worried if the market closes down, as he has other locations in Lourensford, the Elgin Railway Market, and a restaurant in Somerset West, he said.
Investor interest
Interested parties have until 31 July to register, and until 29 August for final offers to be made, after which the property will be sold as a going concern, according to Jack.
The site has already received some interest, some of which includes German investors, according to Jack, who said that he is confident it will receive offers by the due date.
The Root44 Market is a 5.1-hectare property, large enough to fit five international-sized rugby fields. The wine and tourism market, located in the Cape Winelands, is going on sale in a bidding process starting from 31 July. This is according to John Jack, chief executive officer (CEO) of Galetti Corporate Real Estate, which is facilitating the sale. MAP: Google street view; Graphics/Annemieke Thomaidis