The prestigious Zimbali Coastal Resort on the KwaZulu-Natal north coast has set a new level for provincial property prices with a residential home, namely Amankila, recently having sold for a record US$ 4.1 million.

A second beachfront property also carries a stratospheric price tag of around US$ 4.9 million with another home on the market for US$ 2.5 million and several more homes asking US$ 2.2 million for their premier positioning. The properties all belong to South African owners.

Zimbali is a beach, coastal forest and golf estate development that includes more than 3.5 kilometres of pristine coastline, forested dunes and beautiful undulating hills for as far as the eye can see. The signature architecture on the estate encapsulates the Indonesian island of Bali and comprises ceiling-to-floor windows, large patios, broad overhangs, rim-flow swimming pools and elevated wooden sundecks. Some of South Africa's finest residential homes are to be found in Zimbali.

Incorporating one of only three remaining coastal forests in KwaZulu-Natal, investors can enjoy sightings of blue duiker, bushbuck, wild pig, mongoose, bush babies and more than 260 bird species.

Zimbali Sales & Marketing Director Andreas Wassenaar said the transaction reflected the substantial confidence South African and international property investors have in Zimbali and boded well for future developments within the resort. This includes the multi-million-dollar Fairmont Zimbali initiative that will redefine the way in which resort real estate ownership is perceived in South Africa.

That development will introduce freehold and sectional title ownership within a property portfolio that is anchored, managed and operated by the Fairmont Zimbali Hotel. This effectively puts the KwaZulu-Natal north coast on par with the international-standard tourism products in the Western Cape and supports a compelling argument for direct flights between Durban and Europe.

Andreas said that more than US$ 62 million worth of real estate transactions last year made 2006 the most frenetic in Zimbali's history and positioned the development among South Africa's leading real estate investments.

More than US$ 140.4 million worth of real estate has been sold and transferred in Zimbali over the past three years. Most of the remaining land within the resort was released for sale during 2006 with Wassenaar indicating that over 90% of these sites are now sold. "Existing clients are anticipating the release of the last single residential and development sites in 2007," he said.

The transfers, consolidated via US$ 33.7 million in re-sales and the balance in new land sales on the estate, came as the country's property market experienced a declining price growth trend. Year-on-year growth figures released in November showed the residential property market only grew 13.5%, the lowest in about four years.

Andreas believes the strong local property market over the past three years has been a driving force in the escalating prices within the resort. Active and intelligent marketing of the Zimbali brand as well as an awareness of scarcity have played a role in generating the high levels of demand.

In November 2006, Zimbali Coastal Resort clinched four five-star awards at the International Property Awards held in London. The resort was nominated and awarded by the world's premier international property rating institution, the coveted Best Development, South Africa; Best Golf Development, South Africa; and Best Property Marketing,  South Africa before being carried forward to and winning the Best International Property Marketing Award against more than 40 other countries. It was the second time within the year that Zimbali was recognised within the property industry. In August 2006, the resort won a silver award for the Best Estate Agency Marketing at the annual Homes Overseas Awards in London.

"In the past four years a significant amount of work from a large group of highly-skilled and dedicated individuals has been invested in the development and marketing of Zimbali Coastal Resort. To achieve the highest level of success across the categories entered and also win the overall International Award for property marketing is the ultimate recognition," Wassenaar said.