THE R350m Gugulethu Square, the largest shopping centre in Cape Town’s townships with 30000m² of space, opens for business tomorrow with major retailers planning special offers to mark the opening of the biggest single investment in Gugulethu.

The centre has been funded by a consortium comprising the Ideas Fund, a partnership product of Old Mutual and Unity, a consortium of trade unions, Group Five, Khula Finance and Mzoli Properties.

Mzoli Ngcawuzele, of Mzoli Properties, says Gugulethu Square will be officially opened on November 28 when all signed retail tenants will have been able to settle into business. “But many retailers are geared to trade as soon as possible, and the earliest date is after tomorrow, when the contractors will formally hand over the development.”

Ngcawuzele says Gugulethu Square will provide a broad-based retail, restaurant and entertainment offering, ensuring that valuable consumer spend is retained in the township. “In addition to providing jobs and ownership opportunities, Gugulethu Square will offer local residents excellent one-stop shopping facilities on their doorstep, thus curbing the need for long-distance travelling.”

Ngcawuzele says residents will have access to national chains as well as local businesses. The tenant mix includes doctors and businesses that previously traded on the development site. Apart from smaller traders, the two full-service anchor tenants are Shoprite and Spar.

Other tenants include Cashbuild, the Post Office, Jet Mart, Ackermans, Pep, Identity, Truworths, Exact, Fashion Express, Legit, Mr Price, Foschini, Markhams, Total Sport, Clicks, Capitec Bank, Absa, Nedbank, Standard Bank, Old Mutual, KFC, Steers, Spur, Debonairs, Morkels and Ellerines.

Ngcawuzele says there has been a good take-up of space, with 95% leased and the remaining area under negotiation. “As with many shopping centres, Gugulethu Square will act as a central location for socialising and community events. The rooftop parking area, which has more than 600 bays, is an additional venue for outdoor events.”

Ngcawuzele says retailers have responded most effectively to initiatives by the developers to draw their workforce from Gugulethu residents to ensure maximum participation of the locals. “During construction, we achieved a ratio of 37% of the workforce from the Gugulethu community, well ahead of a commitment for 25%,” he says.

Ngcawuzele says retail centres are often a catalyst for further development. “The intention is to use the centre as the first step towards the establishment of a Gugulethu central business district. Discussions have been held around further retail development, hotels and additional community facilities.

“If these initiatives are successful, the development of offices would be the next step, further accelerating the township’s integration into the formal economy,” he says.

Source: Business Day