Cape eyes commercial activities for stadium

141122. Cape Town. Empty Cape Town Stadium with a few supporters at the Ajax vs Maritzburg United game. Picture David Ritchie

141122. Cape Town. Empty Cape Town Stadium with a few supporters at the Ajax vs Maritzburg United game. Picture David Ritchie

Published Nov 27, 2014

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Cape Town - There’s been mixed reaction to the City of Cape Town’s plans to allow for commercial activities – such as nightclubs, coffee shops and office space – at the Cape Town Stadium.

According to the final scoping report, released this week for public comment, concerns were raised about traffic congestion, urban creep and the use of unsightly branding to advertise businesses that could move into the stadium.

But changes to the types of activities allowed would go a long way to making the facility – which is running at an annual loss of R39 million – more sustainable.

It’s also possible that the Urban Park may be managed as a separate entity from the stadium, which has about 20 000m2 of potential office and retail space.

“At present, the Cape Town Stadium is facing sustained financial losses and will remain as such if the financial deficit is not addressed. In the long run, the financial shortfall will increase, which will require more municipal funds to be released to maintain and operate the facility,” noted the Environmental Partnership in its final scoping report.

But before the city can move forward with any proposals to put income-generating offices or restaurants in the stadium, it needs environmental authorisation for commercial activity on non-event days.

A second environmental application is being prepared for the proposed development of the Granger Bay Boulevard site.

The stadium may host sport events and mass gatherings, screen sporting-related films and hold conferences and associated exhibitions. Food and beverage kiosks, in-stadium and outdoor hospitality and product launches are allowed. The stadium can also be used as a fitness and wellness gym, as a high-performance sports centre with medical and spa facilities or a sports museum.

But to make the stadium commercially viable and sustainable, the city is looking at extending the facility’s use to include small retail outlets such as coffee and book shops on the edges of the stadium at street level.

If rezoned for general business, the stadium could accommodate commercial offices as well as stand-alone restaurants, coffee shops and late-night venues. Commercial parking would also generate a regular income, noted The Environmental Partnership, the consultants responsible for environmental assessment.

The business plan which preceded this application recommended that the city bring an anchor tenant on board to manage the stadium and the city was engaged in talks with Western Province Rugby.

Garreth Bloor, mayoral committee member for tourism, events and economic development said: “The securing of an anchor tenant(s) remains a priority for the stadium and remains part of the process related to the future management of the stadium. A dynamic events calendar for the stadium bowl will be key to starting ancillary commercial opportunities.”

The city has this year pumped R6m into rugby and soccer matches, in exchange for assurances from the respective sporting bodies that they would consider using the stadium for future events.

The Simon van der Stel Foundation said the preliminary reports on the commercialisation of the stadium did not consider the possibility of demolition, or freehold sale of the facility.

The foundation said the expanded use of the stadium, coupled with the expansion of the Granger Bay Boulevard, would “have the effect of moving the edge of the CBD to Green Point”.

The Green Point Ratepayers’ and Residents’ Association said it was “unequivocally opposed in principle to the commercialisation of the public open space”. As the commercialisation was inevitable, the association called for the noise impact of activities such as a nightclub, be controlled.

The deadline for comments on the Final Scoping Report is January 23, and the finalised report will be submitted to the Department of Environmental Affairs and Development Planning for a decision on the next phase, which deals with the assessment of potential impacts.

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