Urbanova — Products & Services
The rental product and the unit economics underpinning Urbanova.
Section 8 · Business Plan
Products & Services
The rental product and the unit economics underpinning Urbanova.
| Product line | Description | Revenue character |
|---|---|---|
| Urbanova Residential | Affordable multifamily rental apartments (studios to 2-bed), R3,500–R8,000/month | Recurring monthly rental |
| Urbanova Precincts | Mixed-use precincts: retail, education, childcare, recreation, co-working | Commercial rental + turnover rent |
| Urbanova Student Living | Purpose-built student accommodation near tertiary institutions; NSFAS-accredited | Academic-year leases; bulk institutional leases |
| Urbanova Green Living | EDGE-certified buildings: rooftop solar, water efficiency, LED, efficient appliances | Utility margin + green funding margin benefit |
| Urbanova Asset Management | Internalised property, facilities and asset management | Internal cost saving; third-party fee optionality |
| Sales programme (analyst interpretation) | Sectional-title / build-to-sell units within precincts | Lumpy development sales margin |
The sixth line is an analyst construction, not a sponsor-stated
product: it is the only interpretation under which the sponsor’s revenue
trajectory is internally consistent (Finding 1). The Company should
either confirm a build-to-sell programme of approximately 5,500–6,500
units over the plan period, or restate revenue guidance toward the
rental-only normalised case.
5.1 Unit Economics — Rental Product
| Metric (stabilised, FY2029 terms) | Per unit |
|---|---|
| All-in development cost (incl. land, infra, solar) | R425,000 |
| Blended monthly rental (incl. parking, utility recovery) | R7,170 |
| Gross annual rental at 94% occupancy | R80,900 |
| Property-level operating costs (rates, maintenance, security, mgmt.) | (R32,400) |
| Net operating income | R48,500 |
| Yield on cost | 11.4% |
| Implied value at 9.5% exit yield | R510,000 |
| Development margin created per unit | R85,000 (≈20%) |
An 11.4% yield on cost against a 9.5% market capitalisation rate
generates roughly 20% of value per unit at stabilisation, the engine of
the platform’s NAV growth and consistent with (though more conservative
than) the sponsor’s portfolio value trajectory.
Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of Urbanova Living Developments (Pty) Ltd.