A South African buyer has snapped up a beach bungalow on Cape Town's exclusive Atlantic Seaboard suburb of Clifton for R17.84 million.
The bungalow boasts two en-suite bedrooms, quality finishes and an open-plan living are that flows onto an entertainment deck. The deck offers a separate service bar and a jacuzzi, both just a few steps from the beach.
Furthermore, plans have been approved by the city council for the bungalow to be extended onto the deck and for the height to be increased. The approved plans also make provision for a swimming pool.
Approached for comment, High Street Auctions director and lead Auctioneer Joff van Reenen confirmed the sale.
"There has been a substantial market correction across every fixed asset class nationally because of massively depressed economic sentiment, and the top end of the residential sector is feeling the effects," says Van Reenen.
"At the moment there is still a fairly large gap between most sellers' price expectations and current market levels."
The average time a property in the luxury band sits on the market is in excess of six months and can be higher than 18.
Real estate analytics group Lightstone recently forecast that the luxury residential market segment will experience even greater price corrections this year.
* Compiled by Carin Smith