Cape Town - The Western Cape is set to benefit from new and current construction projects worth billions of rand this year, which will create much-needed jobs in the province.
Alan Winde, the MEC for economic opportunities, said there were a number of exciting developments for the province’s tourism sector in the next few months. He said the Silo hotel would open at the V&A Waterfront in March.
“The hotel is already featuring on international must-visit lists, including CNN’s Business Traveller’s ‘15 hot new hotels to check out in 2017’. New establishments like these speak to the business confidence hospitality industry investors have in the Western Cape.”
New hotel
Winde said last year Marriot International, in partnership with Amdec, announced a R2 billion investment to develop three new properties in the city and Tsogo Sun would add 500 rooms in central Cape Town when it opened a R680 million hotel.
“The Carlson Rezidor Hotel Group has also invested significantly in our province. The group has launched the Radisson Red at the V&A Waterfront’s Silo District, and the Radisson Blu Hotel and Residence at the old Triangle House Building.”
Rob Kane, the chairman of the Cape Town Central City Improvement District (CCID) said: “We currently have R4.303 billion under construction, R1.7 billion in planning and a further R2.6 billion proposed between now and 2020 in the footprint of the area in which the CCID operates, in other words the traditional Cape Town CBD. This comes to a total of R8.603 billion, as we currently stand, but we have no doubt that there will be new developments announced within the first quarter of 2017.”
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There was also new development in the Culemborg area, such as Amdec’s Harbour Arch development, believed to be in the region of R8 billion.
Rabie Property Group director John Chapman said the group had 11 projects totalling more than R3.2bn under way or planned to start this year. He said these projects, a mix of commercial and residential developments, were taking place in three different nodes, Century City, Burgundy Estate (near Bothasig/Milnerton) and Clara Anna Fontein in Durbanville.
He said Rabie and its joint venture partner sold 328 of the 344 single residential erven at Clara Anna Fontein for a total of R635 million in the past year, while construction of the first phase of 57 townhouses in The Village was under way at a total cost of about R285 million, with the second phase of 69 homes set to be launched in May at a total cost of about R345 million.
Chapman added that at Burgundy Estate the group had four developments under way: the R200 million Vermont comprising 190 apartments, the 180 unit Zarina apartment complex costing R200m, Springfield comprising 68 standalone townhouses at a cost of R145 million and the first phase of Avenida which would eventually comprise a total of 183 apartments at a cost of about R235m.
He said the projects under way or set to start shortly at Rabie’s flagship development, Century City, included a 16 400m² office development at a cost of R460m, and a landmark development of 79 luxury apartments, the Axis, at a total cost of R400 million.
Great year
The R200 million Terraces development of 140 apartments, the R385 million Water’s Edge comprising 144 apartment overlooking the Intaka Island wetlands reserve, two high-rise residential blocks in the Oasis Luxury Retirement Resort for a total of R510 million and a mixed-use development, Manhattan Corner at R60 million.
“These projects total more than R2 billion. 2017 is going to be another great year of delivery and also planning of another R3 billion new project, the first phase of which we hope to get under way in mid-2018.”
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According to the recently released Oxford Business Group economic update, unemployment grew in the latter part of last year, reaching 27.1 percent of the workforce in September. The report said that the drop in employment levels saw 5.9 million South Africans out of wok, an increase of 300 000 in three months, bringing the unemployment rate to its highest level in 13 years.