The Just Property Group is changing the property market by introducing two new interlinked products designed to assist landlords and tenants like never before.
Imagine, in these tough economical times, having a rental product that guarantees a landlord’s rental against defaulting tenants?
And which simultaneously requires a tenant to pay only a 35% deposit?

It sounds unbelievable, but these are exactly the offerings made by the Just Property Group – intended to deliver the best service to both landlords and tenants.
“I am thrilled that this vision has finally come to fruition,” said John Roberts, CEO of the Just Property Group.

Landlords! Rentsecure!
“A product of Just Finance, Rentsecure is our rental guarantee to landlords, whereby a landlord’s rental is guaranteed against a defaulting tenant. If a tenant defaults, the landlord will still be paid his monthly rental until the tenant is evicted,” explained Roberts.
Thereafter, Just Letting will endeavour to replace the tenant.
According to Roberts, even the legal fees for the eviction process will be paid on behalf of the landlord – up to a total of R200 000. On top of all this, an additional amount of up to 35% of the monthly rental will be paid to the landlord to repair any damages, should there be any.

Rentsecure also provides a high level of scrutiny in the vetting process to guarantee accurate creditworthiness of potential tenants. 
“We are really taking care of the landlord’s needs,” said Roberts.

Tenants! Depositsaver!
In the current economic climate, not many potential tenants can afford to raise a full month’s rent as a deposit, especially if they are still waiting for a previous deposit to be refunded.

With this in mind, Depositsaver requires the tenant to pay only a 35% deposit on a rental property.

On termination of the lease, the tenant will be refunded his 35% as well as the interest he has earned on this amount, provided there are no damages claimed by the landlord.
In addition, The Just Property Group has secured preferential rates on furniture removals as well as short term insurance to assist the tenant even further.
“We are really doing our best to ensure that landlords and tenants are helped as much as possible in leasing and renting properties,” said Roberts.

The 2010 Soccer world Cup is now less than a year away and the excitement from football fans worldwide is mounting on a daily basis.

However, even those who are not avid soccer fans are curling their toes in anticipation – not only for the actual games, but also for the massive economic opportunity that the 2010 event has provided for South African homeowners.

Even more exciting for South African homeowners is the news that the country is facing serious accommodation shortages for the over 400 000 foreign soccer fans expected to descend on our shores.

According to Moneyweb (JSE: MNY), MATCH is responsible for finding graded accommodation to house delegates and fans. However, MATCH seems to be unable to find the 55 000 units needed.

Even FIFA president Sepp Blatter has said his biggest worry concerns the shortage of accommodation and now it seems that MATCH are looking into private housing and universities to meet the target number of units required.

Following these developments, a number of operators have climbed on the bandwagon and unveiled plans to allow ordinary home-owners the opportunity to rent out their homes during the one month extravaganza. 

Just Letting is proud to announce that they too can assist landlords and homeowners in earning extra money during the event.

“We know that some homeowners want to take advantage of the accommodation shortage that exists. Just Letting, however, are taking the process one step further by providing homeowners with accommodation rates that take into account the market value of their properties,” said Dino Joannou, Western Cape Just Letting Director.

“Whether the accommodation offered is in Johannesburg or Cape Town, we will offer landlords and homeowners a reasonable and consistent accommodation rate per bedroom,” he said.

According to Joannou, the market value of a home usually takes into consideration the most relevant features, including number of bedrooms and en-suite or separate bathrooms.

“The most exciting thing is that we have an arrangement with an international marketing company  that will promote your properties to overseas markets. This means your properties will be hugely exposed to foreigners looking to secure their accommodation as soon as possible,” he said.

Because of the arrangement with the marketing company to promote properties to overseas markets, and for the purpose of consistency, Just Letting accommodation rental rates for homeowners has been predefined to the following table:

The above amounts quoted are for two people sharing a bedroom. The visitors will also pay amounts in addition to the basic rental to cover VAT, administration, commission and bank charges. In total, this will be 30% of the cost of accommodation.

“If one compares these daily rates to the monthly rates that are normally applicable when renting property on a long-term basis, they may seem to be excessive. However, if one compares these rates to hotel and guesthouse rates, the comparison is more relevant and can be compared favourably,” said Joannou.

Joannou feels that it is important for homeowners to take note of the following points:

	Ensure the property is adequately insured to cover all eventualities.
	Deal with a reputable company that will market the property effectively to the targeted overseas market.
	Be as entrepreneurial as possible! There are many additional opportunities that enterprising landlords can take advantage of: think of things like offering laundry services to foreign tourists.
	Landlords should try to develop good reputation with guests as they will be acting as ambassadors for South Africa. A combination of our friendliness and the beauty of the country, will result in many tourists wanting to return to our shores in the future: a sure-fire way to increase tourism in South Africa!

Tenants, hit hard by the global recession, cannot move from their current properties – even if they want to, and this is having a negative effect on the rental market.
This is the view of John Roberts, CEO of the Just Property Group, holding company of Just Letting, who feels that the recession and consequent job losses are forcing tenants to remain in their current abode; choosing rather to negotiate with landlords and agencies for lower rentals.


“Everyone seems to think that the recession should be good for the rental market – but people must face reality. The global recession has hit hard over the last months and the rental market is not immune to it,” he said.

According to Roberts, widespread retrenchments are causing the decline in the rental market. Tenants have to prove that they are employed and that they can afford the monthly rental – which has to be less than 30 percent of their monthly income.

Because of this, Roberts said some of the Just Letting branches across the country have experienced a decline in rental enquiries from the company's website. It seems people are still looking but simply cannot afford to move.

The phenomenon has affected a huge portion of properties on Just Letting’s books: 70% of Just Letting’s rental properties are priced from R4 000 to R8 000 a month and this is the price bracket which has been mostly affected, explained Roberts.

As an example, he says that one of the 90 Just Letting branches nation-wide has reported that in the last three months 12 to 15 tenants have been retrenched because of the recession and are no longer able to afford the monthly rentals.

“How can a recently laid-off tenant qualify to rent another property through a reputable rental agency if he cannot prove employment or affordability?” asked Roberts.
 “Tenants in these situations rather opt to stay where they are and negotiate with their existing landlord or agency for cheaper rentals,” he said.

Durbanite, Elvia Schroeder, who owns a flat in Cape Town has experienced this. “I have an excellent tenant renting my flat. She pays her rent on time and has given me no extra hassles. However, at the end of the six-month lease, she told me she could not afford to pay the rental anymore. I didn’t want to lose her, as I have had my fair share of bad tenants in the past, so I lowered her rent by R1000.”

The recession has also caused many companies to downsize, and Roberts believes this is a contributing factor to the rental decline.

“This means that fewer people are relocating or transferring, resulting in less people looking to rent,” explained Roberts.

Tenants might also not be able to afford furniture removal costs and the cost of placing a full month’s rent down as a deposit on another property – especially if they are waiting for a deposit to be refunded to them.

South Africa is officially in a recession and the impact on the rental market has been severe.
Rental agencies have to adjust quickly to the times, or close their doors to business permanently.
Many agencies are finding that although rental stock has increased – due to the poor seller’s market – the number of tenants is decreasing; and as a result the amount of leases signed has dropped substantially in the past year.


“Although we have seen a lot more owners putting their properties up for rental, many of the properties are still on the market, which actually makes the property more difficult to rent. This is because agents need to put in a special condition relating to access for viewings and show houses,” said Brett Young, owner of the Just Letting PE branch.

“So stock has increased - but not dramatically. Also affecting stock is the fact that every estate agent seems to be entering the rental market in an attempt to keep their businesses ticking over until the sales market improves,” he said.

Randburg Just Letting owner Paul Farmer believes stock increased initially, but has levelled out over the last three months. “I think that landlords are under financial pressure and are renting their investment properties themselves instead of using a rental agency,” he said.

Young agrees. “In these tough financial times we have noticed landlords are going at it alone so as to save costs.”

According to Young, this means rental agencies are being approached by fewer tenants as landlords offer lower rentals and do not perform in depth background checks on prospective tenants.

“This means that landlords are likely to rent properties to tenants who will default. Many landlords eventually return to Just Letting as our referencing is solid. Currently, only 2.5% of our tenants default, a fact that makes us very proud!”

However, agents are still battling to make ends meet. “Look, there is an over-supply of property and tenants are looking for those landlords that offer the lowest rentals. We are also finding more and more potential tenants do not qualify as tenants due to their credit ratings. This is soul destroying for an agent as the credit check is done after all the viewings and after the application forms have been completed,” he said.

Farmer believes these are the reasons for some agents earning 50% less commission than last year; a statistic that does not look to improve in the near future.
“I think in the future, agents will begin to negotiate more and more on their commission fees,” he said.

Andrew Collins, the owner of Just Letting in Cape Town’s city bowl, believes agencies with reasonable sized administrative portfolios will weather the financial storm.
“People are losing jobs and are worried about the medium term future. They are sharing properties or moving back home to mom and dad. The reduced number of tenants has definitely resulted in agents doing fewer deals and therefore earning less,” he said.
Collins said he knows of a few agencies that were forced to shut their doors – as a direct result from the recession.

However, Collins believes commissions should remain the same.
“Anybody who undercuts on commission will not be able to run a sustainable business; they simply won’t be able to offer a proper service.”

According to Collins, those companies might initially take up a bit of the market share for a while, but once their clients realise the service levels are not up to scratch – especially once they build up a portfolio – they will lose business to those agencies that provide decent levels of service.

“Two small boys, not yet old enough to be in school, were overheard talking at the zoo one day: ‘My name is Billy. What's yours?’ asked the first boy. ‘Tommy,’ replied the second. ‘My Daddy's an accountant. What does your Daddy do?’ asked Billy. Tommy replied, ‘My Daddy's an estate agent.’ ‘Honest?’ asked Billy. ‘No, just the regular kind,’ replied Tommy.

Although estate agents receive some of the worst press, most of them do a good job. It is important to remember that like any other business sector in South Africa, the real estate industry – and therefore the agents working within it – is regulated by a range of rules designed to make agents more proficient.

Recently, more regulations have hit the real estate industry like a tsunami. The government, through the Department of Trade and Industry, requires all estate agents to attain a specific standard by December 2011 if they want to continue trading as real estate agents.

This standard is know as recognition of prior learning (RPL) and is a process whereby, through assessment, credit is given to learning which has already been acquired in different ways. It is thought that the RPL process will identify gaps in knowledge, which can be bridged through further formal training and assessment.

Those agents who do not complete the RPL will not be issued with a Fidelity Fund Certificate – an estate agent’s licence to trade. Without this certificate, agents can actually go to jail, will not receive commission and could be named and shamed by the Estate Agency Affairs Board (EAAB).

People wishing to join the industry will have to undergo a year’s worth of training before they are able to function as fully qualified agents.

Many professionals in the industry welcome the RPLs. Jill Corfield, former EAAB Board Member and veteran trainer, believes the qualifications “are a differentiator in the industry with so many unqualified agents”.

Corfield reported to the Sunday Tribune that agents who achieve the RPL qualifications “have moved to the next level, are more professional and are able to offer a much more comprehensive, informed service to their buyers and sellers.”

“The knowledge the agents gain from this exercise is brilliant,” she said.

“This ensures the reputation of the industry is elevated and the consumer benefits from a higher level of knowledge,” said Just Letting’s National Operations Manager, Cheryl de Maringy.


Just Letting’s take on the RPLs

Andrew Lucas (Owner of Just Letting Midrand, Pretoria)

“I have sent six people on the RPL from Just Letting. I agree that it is necessary to regulate the industry, and I appreciate that it fits in with a national skills building program,” said Lucas.

“However, does a successful principal or agent with years of experience really need to be re-examined or ‘qualified’ again?” he asked. Lucas feels that some of the NQF4 requirements are impractical. “Most agents will not complete a company marketing plan in their day-to-day duties; however this is a requirement by the NQF4,” he said. He believes the Recognition of Prior Learning should recognise prior experience in a practical manner.


Cheryl de Maringy (National Operations Manager of Just Letting)

“I think it is necessary to accredit principals and agents within the industry for their prior experience gained throughout their careers, however a balance needs to be maintained between uplifting the industry and restricting new participants from entering the market.” she said.

A big concern is that new entrepreneurs will find it difficult to enter the market as entering the property industry has now become rather onerous.“This could result in existing market players monopolising the industry and stunting the growth opportunities within it.” “Fresh blood and new ideas keeps competition healthy; innovative services offered by new entrepreneurs will improve benefits to the consumer,” commented de Maringy.

On a more positive note, De Maringy believes that principal and agents’ understanding of property and the way the industry operates should be uniformly standardized so that the consumer receives a professional service across the board.

“The Recognition of Prior Learning allows the authoritative body to assess these skills and accredit participants accordingly. The exercise also identifies areas of weakness in an individual’s knowledge, which they can then address,” she said.

“This ensures the reputation of the industry is elevated and the consumer benefits from this higher level of knowledge,” she said.

Just Letting branches have begun the process and are encouraging maximum participation.

Contracts – full of legal jargon, terms and conditions – are often difficult for the layman to fully understand.

A recent court case has shown how this lack of understanding can negatively affect the profitability of a business.
 



The Unfolding Of Events:

2003 was an eventful year. Arnold Schwarzenegger was inaugurated as Governor of California, China became the third nation to launch a man into space and the United States along with other coalition countries began military operations in Iraq.
Possibly spurred by the world-changing events happening around him, a South African – let’s call him Mr Mogul – decided to heed the call of his entrepreneurial spirit and open his very own pharmacy (Mogul & Sons) in a shopping centre called Tycoon Centre.
The lease was signed, and Mr Mogul was granted a three year lease which was renewable for five.

However, Mr Mogul was a clever man. Tycoon Centre was owned by and contained a large supermarket called Superfoods and Mr Mogul knew that if Superfoods opened its own pharmaceutical division, his own business would die a slow, painful death.
Superfoods is, after all, a national chain of supermarkets with considerable economic power and muscle, whereas Mogul & Sons is a small business enterprise.
In light of this, an exclusivity clause was included in Mr Mogul’s lease agreement stating:

“There shall, for the duration of the lease, be no other pharmacy
in the shopping centre, nor will any other person, excluding medical
doctors, be entitled to dispense schedule medicine as defined in the
Medicines Control Act 1965. Mogul & Sons shall have the sole
right to operate as a pharmacy.”

Soon, however, the situation became more complicated. Possibly seeing a vision that the property market was about to take a tumble in the world-wide recession, Superfoods decided to sell Tycoon Centre to Big Shot Properties, who allowed Superfoods to continue trading in the centre.

This involved a lease agreement between the two entities, and in the contract, Big Shot Properties granted Superfoods the right to sell medicines exclusively.

However, the clause also stated that “all current tenants and their successors in title at Tycoon Shopping Centre, who are in contravention of Superfoods rights to exclusivity, shall be permitted to continue trading and doing business as they currently are.”

It seems as if Big Shop Properties was aware of the exclusivity clause in Mr Mogul’s lease agreement and knew they could not allow Superfoods to sell medicines exclusively when there was already another pharmacy in the same centre.
However, Superfoods did not open a pharmaceutical division for a long time after.
Three years passed uneventfully and eventually Mr Mogul decided to sell his business as a going concern to Mr Gambit.

Mr Gambit is a man who knows what he wants, and insists on things going his way. Unhappy with simply taking over Mr Mogul’s lease with Big Shot Properties, Mr Gambit decided that he wanted to cancel the old lease and draw up a new one between himself and Big Shot Properties.

In actual fact, the sale of Mogul & Sons was subject to the cancellation of the lease between Mr Mogul and Big Shot Properties and a new lease agreement being drawn up for Mr Gambit.

The participating parties were happy to comply and they drew up a new lease agreement for Mr Gambit - which contained the same exclusivity clause in Mr Mogul’s lease.
A short time passed and Superfoods decided the time was ripe to open their own pharmaceutical division. Mr Gambit was horrified as he realised what damage the stiff competition would cause to his small, family-run business.

Swiftly taking the matter to court, Mr Gambit pointed out that his contract contained an exclusive trade clause – preventing Superfoods from selling medicine. Mr Gambit also said that one of the main reasons for him buying the pharmacy was the original exclusivity clause. He knew that as the only pharmacy in the centre, he would be able to make a viable go of the business.

On examining the documentation, the court found that that all three contracts had exclusive trade clauses! The problem was then to decide which clause could stand up in court.
Unluckily for Mr Gambit, the judgment went in favour of the supermarket. The court was forced to stick to the accepted maxim that “He who is prior in time is stronger in right”.
Superfoods was allowed to open its own pharmacy, although Mr Gambit was still able to trade as well.

Had Mr Gambit not obtained a new lease but simply held onto the first lease (Mr Mogul’s lease which was signed prior to that of Superfoods) the court would have ruled in his favour. His insistence for a new lease proved to be his downfall!

What do the experts say?

Mark Connett, MD of Just Commercial believes that Mr Gambit should have continued with the existing lease agreement and exercised his five year option on the same terms and conditions.

“It is essential to check all the clauses before signing the contract,” stressed Connett.
“Look, in terms of Mr Gambit’s decision, the judge clearly looked at the case in black and white and made his final judgement on this. I think it was a fair decision – if Mr Gambit had stuck to the original lease agreement, the court would have definitely ruled in his favour,” said Connett.

The success of Just Letting is evident: with over 90 franchises scattered across South Africa, the rental franchise is now expanding into the rest of the African continent.

Namibia is a case in point. Already six months old, Just Letting Windhoek seems to be flying along at an incredible pace – despite the global recession.

Sales and Investment

“The property market in Namibia is obviously different to that in South Africa,” said franchisee Schantal Pretorius. “Although SADC countries are likely to suffer from the global economic crisis, our region is much less integrated in the global financial markets than other regions,” she said.

According to Pretorius, one of the main reasons for this is Namibia’s more conservative banking sector which has been relatively unaffected by the recent economic melt-down.
“However, we are not completely immune to it, and the negative impact of the crisis is bound to affect us to some extent,” she explained.

Looking forward, Pretorius believes that with “a little bit of vision” Namibia can build on existing and upcoming investment opportunities; harnessing the “gaping gateway to Africa” to their advantage.

According to Pretorius, however, international investors are looking for countries with stable political governance and economic openness with a positive attitude. “Namibia certainly shows the ability to push itself ahead to attract these investments and despite the property slowdown and global economic turbulence, many foreign investors are still keen to acquire properties in Namibia,” she said.

Pretorius said that while many Namibian and South African economists are cautiously optimistic about the growth in the economy, she is rather confident that we will see a steady recovery in the property market during 2009.

“Although one should not expect big change within the first couple of months, buyers and sellers could enter the market this year with improved confidence and the knowledge that the property market will continue to be a viable investment in Namibia.

Rentals

However, the global recession has had an impact on rentals.
In the last few months, Just Letting Namibia has seen many owners renting out their properties while at the same time moving to smaller, cheaper properties.
“This means that the rental market is filling up with fully furnished properties, with prices varying from N$5000 right up to N$16 000 per month. Our stock has increased significantly,” explained Pretorius.

With a recession comes retrenchments, and Namibian tenants are not immune to losing jobs and defaulting on rental payments. To counteract the problem of defaulting tenants in Windhoek, Just Letting is using, more than ever, TransUnion Services - a company that checks the credit history of all potential tenants.

“Although we do a complete credit and background check before we rent any of our properties out, we still cannot guarantee that the tenant will not default. This is especially true of the younger generation who are still finding their feet,” said Pretorius.
“However, we advise landlords to rather rent their properties through us, as the chances of choosing defaulting tenants are reduced greatly when the process is managed through a professional letting agency,” she said.

Like all companies, Just Letting Namibia has experienced its problems; however, Pretorius is proud to say that every day they are growing bigger and better.
“We receive compliments on a daily basis, and have framed some of the best ones. Our reputation amongst Namibians is excellent…you can see it from the attitude of our clients,” she said.

A large percentage of South Africans are not financially prepared for retirement. This is according to The Association for Savings and Investment SA (Asisa), who conducted a survey among financial advisers active in the areas of personal financial planning, investment and long-term insurance cover. Asisa said the survey showed that only 13 percent of responding advisers indicated that 50 percent or more of their clients were well prepared for retirement.

These findings are mirrored by The All Media Products Survey (AMPS) which found that 94% of South Africans are unable to retire financially independent.“It is a worrying trend. People must realise the importance of planning for retirement and should start saving as soon as possible,” said John Roberts, CEO of the Just Property Group, holding company of Just Insure.

According to Asisa, the main reasons for people not saving for their retirement years include a poor savings culture, not preserving retirement benefits when switching employers and relying solely on employers’ funds for retirement benefits. AMPS research statistics show the state of retirement planning in this country. Of the total working South African population aged eighteen and over, only 11% have retirement annuities.

The situation has changed drastically over the last thirty years. In the 1980’s people retired at 65, purchased an income at 16% interest but also had a lower life expectancy. Now, because people have longer life expectancies and are retiring earlier, they have to purchase an income at a much lower interest rate, usually about eight percent.
This places enormous pressure on capital needed at retirement.

So if a person wants to retire today, they will need 50% more capital than a person retiring in the 1980’s. And a pension fund will probably not be enough to rely on when the date of retiring finally arrives. Most people do not preserve their pension when they move between jobs and even if they do, it will still not be enough due to people retiring earlier, living longer and current interest rate environment.

According to statistics, people with 40 years service in a typical defined contribution pension fund will see a reduction of 20 % in pre-retirement income. A retirement annuity is a good alternative as it means saving income tax on contributions, paying no capital gains tax or income tax on interest earned and saving on tax after you retire. Retirement annuities are also protected against insolvency and funds remain intact and untouched until you retire.

However, even if you decide to invest your money in other ways it is important to start as soon as you can,” said Roberts. The sooner one starts contributing to their retirement provision or savings, the better the chance of retiring financially independent. Called the 8th wonder of the world, the compounding of returns (growth on growth) over time means that you can save far less if you start earlier.

An example of Compound of Interest – the 8th wonder of the world

Twin brothers Bob and John, just started working and earning salaries

Bob
In making provision for his future, Bob decides to invest R1 000 for the next
10 years. After 10 years of sacrificing to save R1 000 per month, Bob decides to stop
contributing for the next 10 years and let the 8th wonder of the world, Compound
Interest, increase his savings.

John
His brother John decides to enjoy life to the full (you know - people to meet,
places to see…). He will start saving at a later stage. John got to know of his brother’s fortune and after 10 years of paying everyone but himself, he decides to start saving for the next 10 years by contributing 50% more than Bob (R1 500 per month).

However, Bob knows that the sooner and longer you save, the more handsome the returns.
Although John is contributing 50% more than his brother, he will never catch up.
See the returns both Bob and John received after 20 years:

“From this you can see how important it is for people to plan for the future. However you do it – I cannot stress how important it is to be financially secure when you eventually decide to stop working,” he said.

Justin Emslie is the owner of Just Letting in East London.
We asked him about the rental trends in his area:

Q. Justin, what sorts of rental trends are you noticing in East London?

A. We have seen an increase in the demand for lower rentals, however landlords who are trying to cover bond repayments are simply asking for too much! Most landlords want to cover bonds and then still squeeze in rates and other monthly expenses. Over and above, this, agents still need to add on management fees. It is IMPOSSIBLE to do this and still keep rentals down to reasonable levels. However, as many people cannot afford to buy a house – especially with the large deposit asked for by banks – they choose to rent instead. It seems, however, that the right stock is not available.

Andrew Collins, owner of Just Letting, City Bowl, Cape Town
We asked him about the rental trends in the lovely Cape.

“The major trend that we are seeing in Cape Town and Western Cape is a shortage of tenants. We have properties standing empty for the first time since I started the business six years ago,” said Collins.

“Landlords all seem to think the rental business should be booming and are very surprised when we advise them to lower their asking rentals. Yet, when we do lower, we generally find a tenant quite quickly.

“Many landlords don't seem to understand that when they hold out for an above-market rent, they are unlikely to find a tenant; resulting in a loss of income they will never make up. Once landlords experience this, they don’t often make the mistake again.”

Collins refers to Armin Schwartztrauber – owner of Just Letting, Atlantic Seaboard – who has 120 properties on his stock list: a number far exceeding what he has had before.
“For the first time in my history with Just Letting, my branch's stock list is quite extensive too,” said Collins.

Collins believes there are a number of reasons for the lack of tenants and oversupply of properties:

	Tenants do not have money and they are therefore moving back in with parents, or sharing with friends and family.
	There is more competition in the market as selling agents are turning to rentals in an attempt to cover their overheads. However, I do not believe we are losing a significant percentage of business to competitors. If we were, we would not have much stock, as it would be rented out by other agencies. We are also known for being the letting specialists and landlords prefer to use us.
	Landlords are allowing tenants to stay on with no rental increase. In some cases, landlords are even reducing rent. This is beneficial to tenants as they do not increase their expenses by paying for new deposits, lease fees and the associated moving costs. It is also beneficial to landlords, as they are assured of a reliable tenant for another lease term.
	Tenants are nervous about their job security and do not want to take on new commitments.

“The branches which have more affordable rents are doing OK. The branches in the more desirable or expensive areas are the ones battling the most. One could also surmise that tenants are leaving expensive properties and moving to cheaper areas which provide better value for money,” concluded Collins.

Bill Brunjes is the owner of the Johannesburg CBD Just Commercial. Bill explains how the current recession has affected the commercial rental and sales market in his area.
“We have definitely noticed that things have gone quiet in the past year…in the commercial property market, we have seen that there are fewer sales although rental levels are still holding firm.


It seems that proprietors are unwilling to lower rentals by much at the moment. In isolated pockets of well-placed property, there have even been instances of rental increases…but this is not a general phenomenon,” he said.
According to Brunjes, realistic rental prices are completely subjective. “Tenants always think rentals are too high and landlords always think rentals are too low. However, in most cases, deals are not lost because of these differing rental expectations.”
Brunjes feels that he has yet to see the full impact of the recession on the commercial property market.

“It turns out that quitting is not nearly as tough as not uitting.”

 Lung cancer patient Phil Walters, age 57.

I feel your pain. I have tried to quit smoking at least three times but I still haven’t been able to permanently ditch the expensive habit. But according to the National Council Against Smoking (NCAS), giving up cigarettes is indeed possible – and even easy – to do once you make the decision to quit.


“Over 40 million Americans, 11 million Britons and millions of South Africans have stopped smoking for good. They've proved that you can stop – if you really want to,” said NCAS Director, Peter Ucko.

Difficult
You know why smoking is bad for you. Every pack of cigarettes you buy tells you in no uncertain terms what smoking does to your unborn baby, the people around you, and of course your own body.

So why do people find it so difficult to quit? Why do people – armed with knowledge – choose to start a habit that is potentially lethal?

And lethal it is. According to the World Health Organisation, smoking will be the number one cause of death in the world by 2020. Even now, in the United States, the United Kingdom and Canada, smoking kills more people than heroin, cocaine, alcohol, AIDS, fires, murders, suicide, and road accidents combined!

Here in our own country, tobacco related diseases kill about 44 000 people per year. That is equal to one fully loaded Jumbo crashing a killing all on board every four days!

Denial
Yet, even though we are armed with this information, we continue to smoke.
“It has a lot to do with denial. People think tobacco related diseases will never happen to them.  Peer pressure plays a part, as does the media. You see your favourite film star smoking and you emulate them. That’s why cigarette companies pay million of dollars for actors to smoke in movies. It’s all about influence,” said Ucko.

However, Ucko said that many people are able to quit and never smoke again.
According to Ucko, about 20% find it very easy to quit, while 10% struggle and some fail. Seventy percent find it moderately difficult, but are able to quit. It is important to realise that some smokers quit two or three times before they permanently quit and never smoke again.

Relapse
“Relapse is not a bad thing! Don’t beat yourself up about it – you will learn where you went wrong and what to do the next time,” he said. Ucko reminds us that quitting smoking is not a sacrifice; it is all win!“Smoking is not a pleasure, no matter what you think,” he said.

When you smoke you remove the discomfort of withdrawal symptoms, giving the illusion of a pleasurable experience. But this guarantees another craving. When you quit, you will find that cravings get weaker and gaps between them longer until they die. The only way to kill the craving and addiction is to starve it to death.

“Feed the addiction with just one puff and you will keep it alive,” said Ucko. That is why NCAS believes strongly in the NOPE (Not One Puff Ever) slogan.“People might want to prove to themselves that they have actually quit…however, one cigarette can cast you head-first into the addiction again,” he said. We warn “A puff away from a packet a day”

Avoid
Ucko said that there are certain situations to avoid when you have recently quit smoking.
“Your social environment can cause you to start smoking again. Many people smoke when they drink alcohol, so it might be best to avoid that type of situation during your quitting period,” he advised.
Avoid the triggers like morning coffee which you have with your first cigarette. Drink freshly squeezed orange juice instead. Start your day differently as a non-smoker.”

Stress
People also tend to blame stress as a cause of smoking. However, smoking actually increases stress. According to Ucko, smoking is a false solution to a stressful situation. When you smoke, your blood pressure increases, your pulse rate goes up, your organs are starved of oxygen and overloaded with carbon monoxide.

“I knew a woman who had quit for three years, but started again because her daughter was involved in a car accident and broke her leg. The mother smoked to ‘cope’ with the situation and to feel better. However, the daughter was still in hospital and her leg still broken. Smoking changed nothing externally. It just increased her stress and got her right back to an addiction of 20 cigarettes a day,” said Ucko. Ucko says it all starts with a decision to quit.
“I quit! I am a non-smoker,” he said proudly.
“Never say ‘I am trying to quit.’ That is simply giving yourself permission to fail. Just do it. Just quit,” said Ucko. For more help, please call the free Quit Line on 011 720 3145.

Tips (provided by The National Council Against Smoking)

The night before quit day:

• Throw away all your cigarettes, every last one. Make sure that you have no cigarettes left, not even butts.
• Get rid of lighters and ashtrays too. "Out of sight, out of mind."
• Replace cigarettes with sugar-free gum, straws, toothpicks, or worry beads to keep your hands and mouth busy.
• Be positive. Stopping smoking is a challenge. You can do it!
• If you are using aids like nicotine gum, patches, spray or inhaler, be sure you know how to use them. Read the package insert carefully.
• Smoke your last cigarette and say goodbye to an old enemy.

The Big Day:

• Today is a special day - it's QUIT DAY. It's a day for being good to yourself.
• Take it easy and don't push yourself too hard. Maybe stay in bed extra late - or get up especially early.
• Have fruit juice for breakfast. The acidity will help get rid of the nicotine.
• Plan a treat for the end of the day as a reward for not smoking.

The Days that Follow: Take One Day at a Time

• Stopping smoking forever seems like a big step. Don't think of never smoking again. Instead, think of quitting in terms of one day at a time. Say to yourself: "I won't smoke today," and then don't.
• Feel proud and congratulate yourself at the end of each day for your success.
• Your goal is to get through each day without a cigarette. Deal with one urge at a time and beat it.

Avoid Temptation

• Develop a clean, fresh, non-smoking environment around yourself.
• Avoid smokers. Spend more time with non-smokers.
• Avoid places where you used to smoke and don't sit in smoking sections.
• For the first week or two, try to avoid alcohol, coffee, and other beverages that
  you associate with smoking.

Cope with the Urge to Smoke

• Remind yourself of your reasons for stopping smoking.
• Reassure yourself: "This may be tough, but I can do it!"
• Tell yourself: "I choose not to smoke." Give yourself commands like "Don't do it!" and "Stop!"
• Use your imagination to help you cope with the urge to smoke. When you start to think about how "nice" it would be to have a cigarette, imagine instead a pair of black, tar stained lungs. You can also imagine how disappointed people will be if you start smoking again.
• Use the nicotine gum, patches, spray, or inhaler if you decided to use one of these.
• Practice the "5 D's to do" listed below.

The "5 D's to Do:"
1. Drink Water

• Drink between 8 - 10 glasses of water or fruit juice a day to help wash the nicotine out of your body. (Note: if you are using nicotine patches, gum, spray, or inhaler, too much water will flush the desired dose of nicotine out of your body).

2. Deep breathing

• Keep calm and cool by deep breathing: take a deep breath in through your nose, hold your breath for a count of 4, and breathe out slowly through your mouth. Repeat these steps until you feel more relaxed.

3. Do something else

• Keep busy to help keep your mind off cigarettes. For example, don't linger at the table after meals. Instead, do some activity like washing up, cleaning your teeth, or going for a walk.

• Make a list of quick and simple tasks to do when you get the urge to smoke. You could try a crossword puzzle, read a magazine, listen to music, nibble on a carrot, or take a relaxing bath.

4. Discuss with friends

• Discussing your feelings with friends, especially if they are ex-smokers, can help you feel better and stay smoke-free.

• It may also help to seek professional guidance. Call the 'Tobacco or Health Information Line' at (011) 720-3145 to talk to an expert about staying smoke-free.

5. Delay

• The urge to smoke disappears after about one minute. When the urge to smoke is not very strong, you can wait it out. Count to 100, or recite a short poem. The craving can be beaten!  

Getting Over Smoking:

• You'll probably find the first week after stopping the hardest. After that, the problems become more manageable.

• While some people do not experience any side effects after quitting, most people notice some withdrawal symptoms. These withdrawal symptoms normally disappear after two weeks, but some, like cigarette cravings and hunger, may last longer.

• It usually takes about three months before you become completely comfortable with your new life as a nonsmoker

• No two people are alike - you are unique. Many of the tips on coping with stopping smoking will work for you, while others won’t. It's up to you to select the ones that will work for you.

A detective was arrested for robbing a bank without a mask using his police issue pistol - and making his getaway in an unmarked patrol car. CCTV of the raid led police straight to Juergen Richter, 55, who allegedly stole £8,000 from the bank in Baden-Wurttemberg, Germany.

Police spokesman Norbert Schaetzle said: "He said he had severe financial problems and wanted to solve them quickly.


"But there are other ways of dealing with financial problems and he, of all people, should have known that crime really does not pay."

Another colleague said: "He may as well have just walked into the bank, told them his name and where the police could find him afterwards.

"It is hard to imagine a more inept robbery. When you think how many failed criminal plans he has dealt with over the years you would think he might have known better."
Richter faces charges of armed robbery.

Sherlock Holmes and Dr Watson go on a camping trip.  After a good dinner and a bottle of wine, they retire for the night, and go to sleep.
Some hours later, Holmes wakes up and nudges his faithful friend. “Watson, look up at the sky and tell me what you see.” “I see millions and millions of stars, Holmes” replies Watson.“And what do you deduce from that?” Watson ponders for a minute.  “Well, 

• Astronomically, it tells me that there are millions of galaxies and potentially billions of planets.
• Astrologically, I observe that Saturn is in Leo.
• Horologically, I deduce that time is approximately a quarter past three.
• Meteorologically, I suspect that we will have a beautiful day tomorrow.
• Theologically, I can see that God is all powerful, and that we are a small and insignificant part of the universe.

But what does it tell you Holmes?”
Holmes is silent for a minute.