Harbour Arch set to rival V&A

The R16bn Harbour Arch, the most ambitious mixeduse development in SA since the V&A Waterfront, is on track to open by 2029. The complex, which is set to be one of the most valuable commercial property jewels in SA, is being born out of the redevelopment of the 5.8ha Culemborg site in Cape Town.

The R16bn Harbour Arch, the most ambitious mixed-use development in SA since the V&A Waterfront, is on track to open by 2029.

The unrelenting Covid-19 pandemic has not quelled the demand for new affordable and investment grade housing across SA. The Harbour Arch complex will include six towers and is set to be one of the commercial property jewels in SA.

It is being born out of the redevelopment of the 5.8ha Culemborg site on the northeastern edge of the Cape Town central business district (CBD).

The developer, Amdec, wants it to rival the most valuable commercial asset in the country, the V&A Waterfront, which is worth about R20bn.

“Despite the pandemic and a few months in which we couldn’t build during the hard lockdown, we are on track with Harbour Arch. It is being built over about 10 years and we are delighted with our progress so far,” CEO James Wilson said.

“Our decision to forge ahead ... under current conditions is a real statement that demonstrates our confidence in this country and that we believe in the long-term future and economic viability of SA,” he said.

“Current levels of poverty and unemployment are excessive and unacceptable, so it is vital that the public and private sectors work together much more closely and create employment opportunities to alleviate this,” he said.

With close to 200,000m² of usable space, the precinct will accommodate residential apartments, commercial office space, hotels, shops, restaurants, motor dealerships, an urban park, and other amenities, Wilson said.

The project broke ground in late 2019 and the first residential tower is under construction.

As many as 400 of the 432 apartments, which the tower will contain, have been sold. The most expensive apartments are priced at R7.5m each while the cheapest are selling for R1.8m.

“We have a mix of investors. They include people who want to buy to rent as well as people who will buy and stay in the apartments. We have mostly had SA buyers. In some cases, investors are buying the apartments for their children who will study at the University of Cape Town, which is nearby.”

Sales for the second tower will be launched towards the end of 2021.

Harbour Arch will provide about 20,000 construction jobs over the next 10 years, from labour opportunities to work for highly skilled artisans and project managers.

Wesgro CEO Tim Harris said the development is one of the most important long-term projects for Cape Town.

“A project of this magnitude does not only show that the City of Cape Town is open for business and that people are still confident about investing here but it’s also critical for job creation and attracting trade and investment into the province. I fully support the Amdec Group’s vision, and hope that this is not the last development we will see from them in our city and province,” he said.

Property analyst and MD of residential letting agency franchise Only Realty, Grant Smee, said Amdec is betting on Harbour Arch transforming Cape Town’s foreshore from “a wasteland of missed opportunity” into a world-class CBD.