Looking for the best property investment in Johannesburg? The data points to an unexpected but proven answer: retirement property. Rental collection platform PayProp, which tracks real rental transactions across South Africa, has long found that older tenants tend to be a lower-risk group, with stronger financial stability and fewer missed payments than younger renters.
Combined with high demand and limited supply, this makes retirement property one of the lowest-risk, highest-potential categories for anyone investing in property for retirement income, whether you're 25 or 65.
Few new retirement developments allow full ownership and let investors of any age buy in and rent to tenants 50+. Where that combination exists, it creates a genuinely distinctive investment opportunity.
"There is an insatiable demand for secure, well-managed retirement solutions offering full ownership and on-site frail-care facilities guaranteed to be operational from phase 1," says Gerrit Brandow, Director of Central Developments, whose retirement portfolio spans 11 developments and more than 4,600 units.
Central Developments' retirement estates typically include:
This combination is a key reason demand, and resale speed, for these properties consistently outpaces the broader residential market.
According to the latest PayProp Rental Index, national rental growth reached 5.6% year-on-year in Q1 2025 (the strongest quarterly increase since 2017) pushing the average national rent to around R9,132 per month. Gauteng itself has recorded steady, if more modest, rental growth of around 3% year-on-year through the second half of 2025, while tenant arrears nationally sat at 17.2% in Q3 2025, still well below the highs seen in recent years.
A development such as Celebration Retirement Estate, opposite Northgate Mall in Johannesburg, is priced from R810,000, positioning it within a rental band that has historically supported strong yields for investors, with some units approaching 20% per annum in their first year. That said, individual returns vary and historical performance is not a guarantee of future results.
Retirement-sector tenants also tend to bring a distinct risk profile. Data from PayProp's tenant-eligibility research has shown that individuals over 50 typically carry stronger financial standing than younger tenants, a pattern echoed by Johette Smuts, Head of Data and Analytics at PayProp:
"They pay on time, are less reliant on short-term loans, and have fewer delinquencies and judgements against their name."
This tenant profile is a large part of why buying retirement property is increasingly viewed as a defensive, income-generating strategy rather than a speculative one.
“Investors of any age can invest in Celebration Retirement Estate,” says Gerrit Brandow. “Many of our return investors already understand the benefits, having reaped rewards from previous investments in our developments.”
Serious investors, whether diversifying an existing portfolio or buying their first central developments retirement village unit, will find Celebration Retirement Estate a well-managed, well-planned option built for long-term performance.
No. Investors of any age, including those as young as 18, can purchase a unit at Celebration Retirement Estate and let it out, only the tenants need to meet the 50+ age requirement.
Returns vary by unit and market conditions, but historically, well-located retirement developments like Celebration have delivered strong yields, with some units approaching 20% per annum in their first year alongside steady capital growth.
Data from PayProp shows this age group tends to have stronger credit profiles, lower debt-to-income ratios, and fewer missed payments than younger tenants, making rental income more predictable.
Amenities typically include a lifestyle centre, dining room, recreation hall, salon, on-site doctors' consulting rooms, a library, fibre connectivity, and modern security, plus on-site frail-care facilities from phase 1.
Yes. Many investors buy now, rent the unit out, and move in themselves once they're ready to retire.
Yes. Its combination of high tenant demand, limited supply, and historically consistent yields makes it a lower-volatility addition for investors looking to diversify beyond standard residential rentals.
