Wednesday, 12 December 2007 02:00

East London gets own Melrose Arch

Published by 
Rate this item
(0 votes)
EAST London’s planned Triple Point mixed-use precinct is modelled on Melrose Arch and will be close in scale to the renowned Johannesburg site, but are there enough people and is the economy strong enough to make the development viable?

EAST London’s planned Triple Point mixed-use precinct is modelled on Melrose Arch and will be close in scale to the renowned Johannesburg site, but are there enough people and is the economy strong enough to make the development viable?

Novate Property Investments, the developers of Triple Point, certainly think East London can support a mixed-use development of its size over the medium to longer term as the city grows.

“We are seeing a lot of corporations wanting to set up their regional head offices in East London. They generally go to Cape Town or Durban, but now they consider cities like East London. They want to attract good staff and they have to have facilities that are comparable to the likes of Melrose Arch,” says Grant Wheatley, strategic development manager for Novate.

The “aspirational” aspects of the development will also boost the site’s prospects, say the developers.

Last week Novate announced the Triple Point development would effectively double in size after the acquisition of 13ha of adjoining land for an undisclosed amount. The size of the Beacon Bay project, the first of its kind in East London, will now increase to 25ha with the value of the project increasing from R750m to R2bn. The additional land was acquired after a “lot of interest from retailers and office developers” in the Triple Point project.

Wheatley says the development will be rolled out in phases with the initial 12ha of Triple Point being completed towards 2010. The remainder of the site should be completed by 2015.

As for support for Triple Point from the East London consumer, Wheatley says the “big thing with consumers in East London” is that they want to share in what the “people in Johannesburg are experiencing”.

“They want to be seen in a high fashion environment where they can be seen to be succeeding in life. We are trying to create a stage for them.”

He says research has shown that people in East London leave the city at the weekend to travel to Johannesburg for shopping and entertainment.

Property economist Erwin Rode, of Rode & Associates, believes a mixed-use precinct such as Triple Point “could work in East London”, but it all depends on the specifics and if it is rolled out in “digestible phases”.

Though the East London economy’s prospects are not as good as Port Elizabeth’s, this need not affect the project.

Rode says Port Elizabeth is “going quite well” in economic growth but there is a slowdown coinciding with the slowdown in the motor industry.

“But on the upside Coega will come to the rescue in sustaining economic growth .”

East London is a different kettle of fish. “The only thing the two cities have in common is that East London also houses a major car manufacturer. But the prospects of East London’s industrial development zone taking off seem poor compared with Coega.”

Publisher: Nick Wilson
Source: Business Day


Belinda Clur

International Council of Shopping Centers launches African Research Group

March 26, 2014 Africa eProp Commercial Property News
The International Council of Shopping Centers (ICSC), the global trade association for the shopping centre industry, has launched an African research group to help its membership tap into the economic growth potential across the continent.


Neil Gopal SAPOA

SAPOA seeks solutions to valuations irregularities in Polokwane

April 14, 2014 Limpopo eProp Commercial Property News
The South African Property Owners' Association (SAPOA) is taking a proactive and long-term view on tackling key property-related challenges in the City of Polokwane.


Tony Bales

Industrial property market slowdown takes effect and yields rise

April 14, 2014 Industrial Property eProp Commercial Property News
The slowdown of the industrial property market has started to take effect and yields on industrial property investments have started to rise.


Adrian Gore

Discovery CEO Adrian Gore splash R103m on luxury pad in New York

April 14, 2014 Sector Environment eProp Commercial Property News
After splashing out R25m for an apartment in Cape Town's ultra-exclusive Clifton, Adrian Gore founder and CE of Discovery, picked up a three-bedroom luxury pad in New York for R103m in January.


Tongaat Mall

Haste led to Tongaat Mall collapse

April 04, 2014 Construction eProp Commercial Property News
A worker on the construction of the Tongaat Mall, which collapsed on November 19 killing two people and injuring 29, said that haste led to the tragedy at the site near Durban.


Brian Wilkinson

Green Building Council celebrates 50 Green Star SA certifications

April 14, 2014 Green Building & Environment eProp Commercial Property News
South Africa's green building movement has gained significant momentum with the achievement of 50 Green Star SA certifications in only six years.


Office and Retail

Property auction formula a resounding Success

April 14, 2014 Commercial Property Auctions eProp Commercial Property News
"Real Estate auctioneering is very difficult and companies need to be highly proactive to do the job justice.


Norbert Sasse

Growthpoint acquires strategic stakes in Acucap and Sycom

April 14, 2014 Listed Property eProp Commercial Property News
Growthpoint Properties today announced it has acquired a 34.9% stake in Acucap Properties and a 31.5% stake in Sycom Property Fund, in a substantial R4,66 billion transaction.

Most Popular

Lebowakgomo Mall in Limpopo could be put to a halt by angry residents

Apr 09, 2014 1825
Lebowakgomo Mall
The much-anticipated opening of the new Lebowakgomo Mall in Limpopo in two weeks' time…

Cape Town CBD emerging as South Africa strongest residential growth node

Apr 04, 2014 1788
 Rob Kane
Cape Town’s inner city is emerging as one of SA’s strongest residential growth nodes‚…

Memeza Women Empowerment Project develops safety alarm

Apr 02, 2014 1360
Faith Mazibuko MEC
A new and innovative small key ring, is the latest personal safety alarm, that can save a…

Growthpoint Properties reaping rewards of its enterprise development programme

Mar 19, 2014 1194
Norbert Sasse
Growthpoint Properties is reaping the rewards of its enterprise development programme…

Monetary Policy Committee keep repo rate unchanged at 5.5%

Mar 27, 2014 1186
Gill Marcus
The Reserve Bank's Monetary Policy Committee (MPC) has left the repo rate unchanged at…


FacebookTwitterGoogle BookmarksLinkedin

Featured Profile


The Renprop team of specialist commercial property brokers provide the widest spectrum of broking services designed to maximise the value of any real estate asset. They focus on lease, sale, acquisition, disposal and development markets, on behalf of the…