Auction sells Gupta home for R2.6 million
SAXONWOLD – Several Gupta-linked properties are in business rescue and steps to remedy the financial distress have started through the property auctions.
The Gupta-owned Saxonwold home, famed as the previous residence for homing Ace Magashule’s son Tshepiso Magashule, was sold on Monday for R2.6million. This was according to a statement released by Park Village Auctions.
This is the first of several properties belonging to Gupta-owned Confident Concepts (Pty) Ltd, which is in business rescue, to be sold by Park Village Auctions (PVA) and GoIndustry DoveBid, jointly appointed by the Business Rescue Practitioners (BRP).
“We see the sale as an indication of what to expect with the remaining Gupta properties. Justice will out for the creditors awaiting payment albeit slow as a result of the delicate nature of the matter. Transparency and following the law to-the-letter are paramount, and we believe this property signals a turning point in the saga. The wheel has started to turn, and we await instructions from the BRP for the remaining properties,” said Clive Lazarus, PVA’s head auctioneer.
He added that the auction was well attended by a large audience of serious and qualified buyers. Lazarus remarked on how most bidders appeared to be from the area and clearly understood the value of a 1 119m² in the affluent suburb of Saxonwold.
The bidding process started at R1 million. Bids were at first slow, as bidders got their ‘eye-in’ so to speak. However, it only took two to three bids to reach the
R2-million mark. Shortly after the price rose to R2.5 million where bidders battled it out edging the price slightly higher until the buyer stepped in at R2.6 million and won.
Lazarus added that the buyer, a young professional, had done his homework and came prepared, “He knew the value of the property and his limit stayed resolute – the best bidder definitely won on the day.”
The sale is subject to confirmation by the BRPs who will accept or reject the offer. Lazarus speculated that the offer will be accepted, as the price of R2.6million excluding Vat is satisfactory, “All things considered, we believe that it is a fair price for both the buyer and seller.”
In the matter of Confident Concepts (Pty) Ltd, there are three further properties to be sold in Saxonwold followed by a house in Constantia, Cape Town, and another in Umhlanga Rocks, Durban. In-between, Optimum coal mine will be brought to the market as well.
“The proceeds raised on behalf of the business rescue practitioners will be used to settle debts with creditors, as per their (the BRPs’) mandate,” Lazarus concluded.
Details: Park Village Auctions www.parkvillageauctions.co.za
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