COMPANY PROFILE
2013
baywest mall
The Baywest experience
CompANY PROFILE
The Baywest experience Editorial: Lauren Grey Production: Chris Bolderstone
Construction on the Eastern Cape’s Baywest Mall is well underway, with work on its earthly foundations complete; the mall is central to the development of the greater Baywest City project and is set to add to the city’s rich diversity of attractions. IndustrySA speaks to Gavin Blows of Abacus Asset Management, one of the co-developers behind the build.
Construction at one of the Eastern Cape’s most exciting developments to date commenced earlier this year, much to the delight of the local community. At its site in Port Elizabeth, the new super-regional shopping centre, Baywest Mall is set to be a catalyst for the entire Baywest development, enhancing the lives of both residents and visitors to the area. Estimated at R1.7 billion, the mall is the first phase of the Baywest City project, a development set to take place over the next 15 years which will see a mix of retail malls, office parks and residential nodes developed on its 320 hectare site in Port Elizabeth. The Baywest City Project has been dubbed a “city within a city” and will offer residents a new way of living in a more pedestrian friendly environment; upon completion the development is set to be worth more than R6 billion.
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Also included in the Baywest development are hotels, private schools and associated sports facilities, a hospital complex, a motor city and a light industrial precinct, as well as a lifestyle centre. Gavin Blows, Managing Director at Abacus Asset Management, a co-developer on the Baywest project says that it will have an “extremely positive long-term effect” on the construction industry. “Baywest is set to have an extremely positive long-term effect not only on the construction industry in the province, but also on other sectors such as tourism and retail. Over the next 15 to 20 years, Baywest City will grow into a R6-billion development,” Blows says.
FACILITIES Covering a whopping 80,000m², Baywest Mall is set to house 250 tenants on two floors, including national chain stores,
BAYWEST MALL
international brands and an entertainment centre with 12 cinema screens. Blows says that out of the 250 tenants, “85% are major national retailers”, and that many of the tenants for its retail outlets have already been secured, including Game, Ster Kinekor, Truworths, Edcon Group, Woolworths, Pick n Pay and Checkers. However Blows says that negotiations with other major national and multinational retailers are still ongoing. The mall’s design team, DHK Architects have created a technologically advanced, modern layout; making every effort to impact as minimally as possible on the environment, by making the most economical use of space, geography and the other immediate natural surroundings. The mall aims to change the face of shopping and lifestyle in the Eastern Cape with its design, blending a retail component with a strong sense of community.
Co-developers of the mall, Abacus Asset Management and Billion Group were awarded one of the largest ever property development sums by Nedbank Corporate Property Finance in order to begin construction of the mall. Construction giant Murray and Roberts were appointed main contractor for the project due to its reputation for good workmanship and its capacity to deliver large developments on time. Much of the team that built Cape Town’s Canal Walk shopping centre are part of the Bay West Mall construction, which is said to be a similar size. “We are extremely excited about this project,” says Blows. “Port Elizabeth is one of the last regional retail opportunities available and this asset class has proven over many years to be the best performing in the property sector. “Construction commenced in May this year and is on track to be completed in March 2015, according to the construction programme. Structural decks are being
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CompANY PROFILE
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BAYWEST MALL cast and structural steel work for the mall’s roof is being manufactured. Earthworks are substantially complete.” Although the development is forging ahead, Blows says that it experienced some challenges in its early stages, “Floods in Port Elizabeth in 2012 caused a delay in contractors getting onto site, and earlier this year we had to battle wildfires,” he says. “Despite these issues, we have managed to conduct a thorough environment reconciliation of the site, harvesting and/or relocating any sensitive and rare flora and fauna through the services of independent environmental experts.”
ABACUS ASSET MANAGEMENT Baywest Mall’s co-developer, Abacus Asset Management was established in 2006 after brothers-in-law, Jaco Odendaal and Neels Howard got together with Chris Beech from CJ Beech and Associates (Pty) Ltd. The three businessmen formed the company, which now boasts 100 years combined experience in the property development, building and financial management industries. Abacus encompasses the vital skills to encourage the
right design, producing high quality properties and delivering on time within the budget constraints. Blows says that Abacus and co-developer Billion Group decided to embark on the joint-venture because of how similar they are, “Both companies offer a similar product, which is why they decided to joint-venture on this exciting project,” he says. Together, the two have over 25 years’ experience specialising in retail, commercial and mixed-use developments located in major South African cities. With regional shopping centres, landmark office towers and golf course developments, the developers have successfully completed malls such as Hemingways in East London, Eikestad Mall in Stellenbosch, Cape Gate in the Western Cape and Mooi Rivier Mall in Potchefstroom. Subsequent to the continuing success of the Baywest project, Blows says that the co-developers are always looking for future projects in which they can join forces, “Both Abacus and Billion are continuing to investigate development opportunities within all aspects of the South African construction industry while focusing on the growth of the Baywest City precinct.”
Curvent International is a technology driven company that has been proudly servicing our industry since 1984. We are ventilation and fire ventilation specialists able to design, manufacture and install a wide range of ventilation systems to demanding specifications that will satisfy performance, aesthetics, economics and environmental specifications. Our head office is situated in Boksburg, Gauteng, South Africa and comprises of a 2500m2 workshop and office complex. Our coastal regions are serviced by our branch office situated in Blaauwberg, Cape Town and comprises of a 600m2 workshop and office complex. Our operations incorporate a state-of-the-art production automation system linked to ISO quality control. Research and development technology is planned on Solid Works 3D modelling and the product is manufactured using Computerised Numeric Control machines, completely eliminating manufacturing flaws. All our raw materials is sourced locally to limit supply delays.
Head Office:
Cape Region:
Tel: +27 (0)11 826 5959 Fax: +27 (0)11 826 3275 75 North Rand Road, Hughes, Boksburg, 1459 P.O. Box 26662 East Rand 1462 South Africa
Tel: +27 (0)21 556 0430 Fax: +27 (0)11 556 2218 5B McClaren Rd, Racing Park, Killarney, Cape Town OCT 13 PAGE 5
CompANY PROFILE
EMPLOYMENT BOOST Earlier this year, figures from the Quarterly Labour Force Survey (QLFS) were published by StatsSA, which suggested that the Eastern Cape’s construction industry had outperformed all other provinces in the first nine months of this year. Eastern Cape economic development and environmental affairs MEC, Mcebisi Jonas said that this was largely thanks to the development of Baywest Mall, and the key performance measure was job creation in the region. It is estimated that during the mall’s construction phase 1500 local jobs will be created, out of a total 3000 direct jobs. A further 7000 indirect and induced jobs will also be created, and upon completion, 1500 permanent jobs will be created to staff 250 retail outlets. “It will be to the Eastern Cape what Canal Walk is to Cape Town or what Sandton is to Johannesburg. It will be a massive attraction for Eastern Cape residents, as well as a major draw card for national and international visitors, in the meantime injecting much-needed jobs and income into the local economy,” Blows says. “With construction on track, we are confident that when the mall opens in early 2015 shoppers will want to come from all over the region for the ‘Baywest
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experience’. It’s going to be something totally unique and engaging.”
HELPING SMALL BUSINESSES Further to creating employment, the Baywest project will also have a positive effect on local small-to-medium sized during the construction phase, as Abacus and Billion Group intend to target them specifically for their services. The co-developers are keen to get SMMEs involved in the construction phase, and recently held a workshop for those struggling with the paperwork required by law for registration. Out of 400 SMMEs registered on the mall’s database, 100 attended the compliance workshop held at the Newton Park Methodist Hall. Headed by the project’s principle contractor, Murray and Roberts, the workshop taught SMMEs how to become compliant in terms of legislated building industry requirements, such as how to apply for letters of good standing, tax clearance certificates, and other important documents required by construction industry developers when considering which companies to sub-contract to. SARS, the Department of Labour and Murray and Roberts were all directly involved at the workshop and gave individual speeches to the attending SMMEs. Addressing the workshop, Murray and Roberts quantity
BAYWEST MALL surveyor Loyiso Bomvana, said that local labour at the Baywest site stood at 86%, with previously disadvantaged individuals comprising 81%. With completion of Baywest Mall set for early 2015, the Eastern Cape region is readying itself for some significant changes that will positively contribute towards the environment, local community and economic development.
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“We are extremely excited about this project… Construction commenced in May this year and is on track to be completed in early 2015”
Suppliers of ready-mix concrete, plaster, topping and mortar since 1998. We also specialise in mobile on-site batching. Our Branches – Port Elizabeth, Coega, Jeffrey’s Bay, Port Alfred, Richard’s Bay, Transkie and Lesotho.
www.scribanteconcrete.co.za
office: tenders@scribcon.co.za manager: silvios@scribcon.co.za national sales manage: ericf@scribcon.co.za
EASTERN CAPE Telephone: 041 406 9500 Telefax: 041 406 7901 Orders: 041 401 1900 Tenders: 041 450 2696 Address: 56 Uitenhage Road Sydenham
KWA-ZULU NATAL Telephone: 035 797 4713/2 Telefax: 035 797 4711 Orders: 035 797 4712/3 Tenders: 041 450 2696 Address: 31 Bauxite Bay Alton North, 3900
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www.baywestmall.co.za
(0)1603 618 000 info@industrysa.com East Coast Promotions Ltd, Ferndale Business Centre, 1 Exeter Street. Norwich, Norfolk NR2 4QB