The past few years of economic depression have hit South Africa’s economy hard, and have been especially tough on the property development and investment market. However, things are certainly looking up, and in this climate of tentative hope KwaZulu Natal’s North Coast is currently experiencing a surge of development that will have far reaching positive effects on the economy of the region.
Ballito’s prime location precisely halfway between Richard’s Bay and Durban (2 of Africa’s major trade ports) has facilitated enormous growth; and the development and construction of King Shaka International Airport and the Dube Tradeport have paved the way for a number of exciting projects that will see the North Coast becoming the trade and transport hub of KwaZulu Natal. Ballito and the surrounding areas form part of the iLlembe District Municipality, which has recorded the highest economic growth of any region in KwaZulu Natal last year.
In addition to KSIA and the Dube Tradeport, and perhaps as a result of the greatly improved infrastructure that these developments have provided, recent years have seen the town of Ballito slowly but surely gaining popularity as a destination for national events such as the Mr Price Pro and Ballito Prawn Festival that draw in millions of visitors each year. The North Coast retail industry is booming, with a 3000m2 expansion planned for the existing Lifestyle Centre, a new shopping centre at the N3 Salt Rock offramp and plans afoot for many other commercial developments in the pipeline. Industrial/commercial ventures are doing exceptionally well, with new businesses constantly opening their doors in the Ballito Business Park, and developments such as Imbonini Industrial Park receiving a great deal of interest both from investors and end users.
Ed Peen, Chairman of Amber Dawn Developments, the company responsible for developing Imbonini Park, believes that we are close to a “tipping point” in the property market – and he’s referring not just to the North Coast of KwaZulu Natal, but to the whole of South Africa.
“We are living in interesting times right now.” Says Ed. “The market as we all know has been shocking for the past two years. There have been slight pickups but they don’t last long. However, it looks, tentatively, as though the current interest in the market may have some legs. We have seen a lot of enquiries at our industrial developments near Ballito for both land at Imbonini Park and units at Acacia Park for both sales and letting from both investors and end users… Of interest is the fact that all enquiries up to now have been from end users and this is the first month we have had enquiries from investors.”
With investors showing greater interest in the area, the potential for growth in the iLlembe District is exponential. Each new development results in improved infrastructure, and further opportunities for developers and investors to meet the needs of this growing community. Over the next few years, approximately 1 million people are expected to migrate to the North Coast as a result of new work opportunities. Further development includes a R630 million International Tourism and Convention Centre, which will provide 4100 temporary jobs during construction and 1200 permanent jobs after construction is complete in 2015. The ICC will include an international 5 star hotel as well as a multimodal transit centre with bus and rail links.
Hot on the heels of the planned ICC, is the Greenlands New Town Centre, which should be launched in the next few years. GAPP Architects and Urban Designers, who have worked on high profile projects such as Cape Town’s V&A Waterfront, are responsible for the design of the project. The Greenlands New Town Centre will be twice the size of Umhlanga, and will provide the expanding North Coast community with an exciting mix of piazzas, boulevards, hotels, retail outlets, wellness and medical related facilities, civic and social facilities, leisure components, restaurants and offices as well as residential and light industrial nodes. The 200ha development is on a site inland of the N2 skirting the perimeter of the Umhlali Golf Course and will create about 35000 temporary jobs and generate R200 million per year during construction. Once completed, it will create 20000 permanent jobs and contribute R4 billion per year to KZN’s gross domestic product.
To meet the demands of this incredible commercial growth, and consequent residential expansion that is bound to take place, a new interchange off the N2 freeway is already under construction. Improved roads will facilitate easier, safer access to Ballito and the North Coast’s new commercial and residential areas. The completed new infrastructure will include a loop ramp similar to Durban’s Spaghetti Junction being constructed to ease the flow of traffic off the N2 and into Ballito, the widening of the road to 4 lanes from just past Wakenshaw Estate up to the M4, and the broadening of Ballito Drive from the R102 to the N2 to four lanes with pedestrian walkways and street lighting either side. The expected date of completion for this large-scale project is expected in December 2012.
All said and done, the iLlembe District is firmly putting itself on the map as a place where great things are happening, very quickly. The sheer volume of development that is taking place has taken Ballito from a sleepy seaside town to a thriving commercial hub in just a few short years. If you’re looking to expand your property portfolio or buy a new factory for your business, the time to do it is now. And the place to do it, is KwaZulu Natal’s North Coast.
