Property

Cape Town the most expensive city in Africa

Cape Town is the most expensive city in Africa, followed by Grand Baie in Mauritius, Plettenberg Bay, Hermanus, and Morocco’s Marrakech. 

This was revealed in the ninth Africa Wealth Report 2024 from Henley & Partners, which outlines the wealth trends across the continent. 

The report dedicated a specific section to the continent’s most expensive cities as measured by the cost of a square meter of space in US dollars. 

Cape Town continues to lead the way in this regard, with prime residential spaces valued at $5,600/m², and South African cities continue to dominate, with over half of the top 10 located in the country. 

Barry Everitt, CEO of Chas Everitt, described Africa, and South Africa in particular, as a rising star in the global luxury real estate sector. 

“In contrast to other major economic blocs, the continent has a mostly young and rapidly growing population and a very fast rate of urbanisation,” he said. 

“This is already generating significant demand for services and products and pulling in an increasing number of wealthy individuals who are finding lucrative opportunities in the local economy.” 

In turn, this boosts the price of local property, Everitt said. 

Cape Town’s property prices have been boosted by increased semigration within South Africa from the country’s northern areas down to the coast and by increased foreign purchases of property in the city. 

These trends have also stimulated the property markets of smaller towns in the Western Cape, such as Plettenberg Bay and Hermanus. 

Pam Golding CEO, Dr Andrew Golding, said that foreigners and locals are particularly attracted to the well-managed Cape Town Metro and the diverse lifestyle offerings from the Atlantic Seaboard. 

Cape Town has already seen an influx of international buyers active in the market – not only in the top end but across all price ranges, demonstrating confidence in the City’s property market.

Golding said another factor is that South Africa offers exceptional value for money.

In Cape Town, for example, $1 million will enable you to acquire a residential property of approximately 200 sqm. For comparison, the same price tag will only secure 33 sqm in New York, 34 sqm in London, 43 sqm in Paris, 44 sqm in Sydney and 17 sqm in Monaco.

Furthermore, this does not compromise the lifestyle offered in South Africa, which is among the best in the world, said Golding. 

Importantly, this segment of the market also remains relatively unaffected by interest rate hikes as more affluent buyers are relatively unaffected by them. 

Most expensive cities in Africa

City USD/m²
Cape Town5,600
Grand Baie 5,000
Plettenberg Bay2,400
Hermanus2,300
Marrakech 2,200
Umhlanga2,000
Sandton1,800
Tangier1,600
Cairo1,500
Casablanca1,400

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