Cape Town scores R16bn of investments for central city
Approximately R16.232bn of investment has,conservatively, been committed to the Cape Town Central City since 2012 and up to 2019.
This is according to the latest edition of The State of Cape Town Central City Report for 2016 released this week.
Published for the fifth year by the Cape Town Central City Improvement District (CCID), the report details that between 2012 and the end of 2016, just under R4.486bn in property investments were completed.
There is also currently R4.32bn under construction, and another R7.426bn is either in planning or in proposal development phase.According to Rob Kane, chairperson of the CCID, the term “conservatively”is used as the base of calculations only on developments for which investment values could be confirmed.
“Sometimes the costs of developments announced have not yet been revealed by developers, and thus the numbers we publish in the report are only those that have appeared somewhere in the public domain,”said Kane.
With the City of Cape Town’s official property valuation in the CCID footprint having reflected a nominal value of just under R23.725bn in 2014/15,the most recent valuations (2016/17) revealed that these now stood at just over R30.628bn.
This,notes Kane, could take values well beyond R42bn by 2019, taking all current construction and proposed projects into account – a 77% increase in property values in the CCID footprint within just a four-year period.
“Of course,there are numerous other developments that are happening just on the boundaries of the Central City – in areas neighbouring directly onto the CBD – from the Culemborg area in the southeast to the V&A Waterfront in the northwest that also reflect the overall confidence in the development of the downtown region,”Kane added.
There was also enormous anticipation around the City of Cape Town’s proposed Foreshore Freeway Precinct Project,in which it is hoped successful public-private partnerships will be formed to bring much needed affordable housing to the Central City.