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Mixed-use Developments of Residential, Retail, Office and Industrial Projects Take Shape Around Sout


Mixed-use Developments of Residential, Retail, Office and Industrial Projects Take Shape Around Sout

Mixed-use Developments of Residential, Retail, Office and Industrial Projects Take Shape Around SA

South Africa’s mixed-use development trend kicked off in the late 1990s and early 2000s, as Century City, in Cape Town, and Melrose Arch, in Johannesburg, came to life. In the broadest sense, the concept aims to closely link people to their work, residence, shopping and leisure activities, offering a high convenience factor as road congestion in the country mounts.

Security is also an appealing part of the design as is the green building technology – often a core element of this philosophy. Mixed-use developments come in various combinations of residential, retail, office, hotel and sometimes even industrial properties, ranging from a single building to sprawling nodes.

Kent Gush distinguishes two main types of mixed-use developments that we are seeing in South Africa – one based on the European apartment-style of living, and the other being the suburban estate lifestyle. “South Africans have surprisingly warmed to mixed-use developments that combine apartment living into retail and commercial properties. We have seen just how successful the Sandton Michelanglo concept, which replicates a European way of life, has been,” says Gush. “At the start of this millennium, we were very much entrenched in a suburban mindset, wanting to live in houses with long commutes to work. This has changed notably, and if one looks at the entire Rosebank, Melrose Arch and Illovo corridor, extending into Sandton, we can see how strongly apartment living has caught on.”


Another imminent mixed-use development is Central Square in Morningside, Sandton. Commissioned by Lushaka Investments, with financing from Mercantile Bank, this hub combines apartments and retail space, and will offer a shuttle service to residents to get around the Sandton area. With the Sandton gridlock now extending to several hours a day, people want to live where they work.

In Johannesburg, the mixed-use development of the decade is undoubtedly Steyn City, north of Fourways. “This is the resort lifestyle mixed-use concept, appealing to families who want a more suburban way of life and more spacious living conditions,” says Gush. “In a development such as the Steyn City Lifestyle Resort, you can cycle or jog on specifically constructed boulevards, something that the apartment option would not typically offer.”

Gush points out that close proximity living could certainly be found in the more built-up component of these vast developments and the Steyn City ‘City Centre’ will feature restaurants, retail and commercial outlets, and apartment blocks. A medical facility and school are also scheduled for this mega project.

The Waterfall development in Midrand is another Gauteng project under construction. Its offering includes residential estates, retirement villages, business parks, hotels, a school and hospital as well as a Gautrain Station.

Construction has now begun in Modderfontein, Johannesburg, on land bought from chemical and explosives company AECI. Owned by Hong Kong-listed Shanghai Zendai Property, this development will include a central business district, churches, library, hospital, medical facilities, sports and international conference centre, schools, and lower-cost housing.

Winning the 2015 South African Property Owners Association (SAPOA) Innovative Excellence in Property Development Awards, in the Mixed-use Development category, is Newtown Junction. This retail and business development project is aimed at regenerating the Newtown node in Johannesburg’s CBD.


In the KwaZulu-Natal area, Tongaat Hulett is leading the way as it converts its agricultural landholdings, north of Durban, into property precincts. Bridge City is a mixed-use commercial and residential town centre and business estate; RiverHorse Valley Business Estate is mainly manufacturing and warehousing, with small elements of commercial, office and residential; and the mega Cornubia development is described as a large-scale mixed-use, mixed-income integrated human settlement and covers industrial facilities, commercial properties, housing and public amenities.

Cape Town

In Cape Town, the forerunner of mixed-use development Century City, is undergoing an expansion; new owners Growthpoint and the Public Investment Corporation are injecting funds into the V&A Waterfront; in the CBD there are many examples of European-style apartment living with a retail experience; and various mixed-use themes are popping up around the city. The decommissioned Athlone Power Station site has been identified as suitable for mixed-use, and a development strategy is now being kicked into action, after alleged tender irregularities stalled this project for a few years.


At Val de Vie Estate between Paarl and Franschoek, the Development Company is also planning to launch Gentleman’s Estates and Boutique Offices soon. The expansion of Val de Vie Estate in the Paarl-Franschoek valley - following the acquisition of 322 hectares of the farm Kliprug, between Pearl Valley Golf & Country Estate and Val de Vie Estate, combined with the adjoining Levendal Development opposite the Berg River of 93 hectares, has set a new benchmark for secure country estate living in the Boland and Western Cape. The acquisition unlocked an extensive range of various residential and some commercial opportunities in Val de Vie – especially when the developer became owner of land on both sides of the Berg River and are now planning to develop a bridge for use by residents of both estates only – cutting travelling time drastically to Cape Town, Stellenbosch and the International Airport.

For additional information regarding the new projects in Val de Vie, please contact Anna Wiese ( / 072 331 1959) of CCH Luxury Property to assist you with this investment opportunity.


Source - Property Mogul / Moneyweb – Judy Gilmour. 



Author Judy Gilmour
Published 24 Jun 2015 / Views -
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