A one-stop community shopping centre is to be developed in the western Tshwane area of Atteridgeville at a cost of approximately R130 million in a joint venture by Old Mutual Life Assurance Company, and Pareto Ltd, a public unlisted property variable loan stock company, which owns, amongst others, regional shopping centres such as Cresta in Johannesburg and The Pavilion in Durban.

Construction of the 20 000m² centre, on a site at the corner of Church and Tlou Street, is expected to start in the third quarter of 2005, once 80% of the space has been pre-let.

The development will serve a market with an annual purchasing power of R1 billion, says Alex Phakathi, managing director of Pareto.

“The entire western sector of greater Tshwane is showing impressive residential growth, with an emphasis on social and lower middle income housing,” he says.

“There are some 40 000 households in the primary catchment area, with most of the residents younger than 35.  They mainly do their shopping in the Pretoria CBD and other shopping centres located outside the catchment area. There is clearly potential for a one-stop centre whose tenants sell groceries, clothing, furniture, appliances and household goods, and also provide services such as a laundry and banking.”

Ben Kodisang, managing director of Old Mutual Properties, the developers, says the site is zoned for retail use and is optimally located on Church Street to service the broader Atteridgeville market. 

“The location on Church Street ensures easy access to the centre for suburbs along and to the north of Church Street. The project has the support of the local taxi association. ”

Leasing for the project is being undertaken by a joint venture comprising Old Mutual Properties and Dijalo Property Services.

Kodisang  says the leasing team already has commitments for almost all the space in phase one from national retailers as well as local specialists, with announcements of anchor tenants imminent.

He says the project contributes to efforts to reinvest in previously underserviced communities in South Africa through access to desired amenities and employment opportunities.

Ends

ISSUED FOR Pareto Ltd/Old Mutual Properties

BY Michael Kerkhoff & Associates

INQUIRIES Alex Phakathi 011-258-6800

                   Ben Kodisang 021-530-4500

                    Mike Kerkhoff 021-424-5280