Construction and property

Social housing projects are accelerating in Cape Town.

February 2022 marked a milestone for the R3-billion Conradie Park mixed-income housing project when the first 66 residents received their keys.

Conradie Park (pictured) is a joint venture between the City of Cape Town, the Provincial Government of the Western Cape and the non-profit company associated with Concor Developments, Own Haven Housing Association. Located on the site of the old hospital, the project is well-served by transport lines and lies at the intersection of Pinelands and Thornton. There are 3 600 flats available for various income categories.

Across the city, more than 6 500 social-housing units are planned or in development on 50 sites identified by the municipality. These include parts of the CBD, along the Voortrekker Road corridor and at Salt River, where a 1 800-unit project will deliver 600 social-housing units. In Woodstock, social housing company Sohco has put the 243-flat project out to tender and occupation should take place in early 2024.

The Provincial Government of the Western Cape is in partnership with the University of the Western Cape to deliver more than 2 500 beds for student accommodation. Public comment has been made on a proposed new Inclusionary Housing Framework, which according to the State of the Province Address, “leverages our development planning powers” and aims to increase the number of mixed-use developments in the future.

FNB, which publishes a regular property barometer, has done an in-depth analysis of previous crises to understand the post-Covid property market. According to John Loos, a property strategist at FNB Commercial Property Finance, the most vulnerable sector is likely to be Retail Property. Smaller neighbourhood shopping centres, with more essential items and greater convenience, will be less vulnerable.

The lockdown accelerated the trend for people to work from home, and so the Office Property sector will come under pressure. Many companies will be reducing office space, but this is in fact a speeding up of an existing trend.

At the Victoria & Alfred Waterfront, recovery from the Covid pandemic seems to be progressing well. Having given rental relief to various tenants of more than R350-million, the owners of

Online Resources

Construction Industry Development Board: www.cidb.org.za

SA Institute of Architects: www.saia.org.za

Western Cape Property Developers Forum: www.wcpdf.org.za

Sector Insight

the Waterfront, Growthpoint Properties and the Public Investment Corporation, continued to spend on new developments, including a home for South African cuisine at the newly-created Makers Landing, which is located next to the cruise terminal. The project had support from the Jobs Fund.

Plans are being rolled out to add 80 000m² to the available space within the Waterfront’s precincts. Asset manager Ninety One has a new headquarters in the Waterfront and Deloitte has built a 9 000m² office block. ■