Galetti Corporate Real Estate has been selected to handle the sale of 437 hectares of land on the Garden Route, just outside the town of George in the Western Cape.

George is known as the business centre of the region and is a sought-after conference and holiday destination. The town already has essential infrastructure in place, including an airport, but has tremendous potential for large-scale development.

The property is situated across from the Garden Route Mall, was once allotted for the ‘Destiny Africa’ megadevelopment, and will now be available for sale on a tender basis. 

Having been due to start in early August, the sale of the land has already begun, and potential buyers are invited to submit final offers by the end of September. 

Rezoning of the land

“The land is currently zoned as agricultural, but the municipality is supportive of rezoning, which would require the new owner to reapply for rights and rezoning. If rezoned, the land could be used for a multitude of different purposes – from commercial (industrial, office, retail, or hospitality) to residential,” says Wesley Cowan, Western Cape Director of Corporate Services for Galetti Corporate Real Estate.

“I am positive that the land can be sold successfully. The previous developers applied for huge quantities of bulk services because of the high-density type of development, with skyscrapers, that they envisioned.”

“The massive services contributions that this would have required is what caused the development to fall over,” explains Cowan. “A different approach could see a successful development on this extremely valuable piece of property.”

When news of the Destiny Africa deal broke in 2009, former Western Cape premier Helen Zille described the potential for development to create a new ‘global tourism and business hub.’

“The Destiny Africa project will combine business, learning and leisure into a so-called smart city. Components include a top-class conference centre, a business park with an incubator, a university cluster and research centre, about 7 000 residential units, ecotourism and medical tourism facilities, retail opportunities and a waterfront. These interconnected facilities are known as an ecosphere,”

“Destiny Africa is expected to contribute significantly to South Africa’s economy in the same way as California’s Silicon Valley, India’s information technology hub of Hyderabad, or Singapore. These regions have used the smart city concept to drive economic growth by attracting foreign investment as well as the world’s top specialists and entrepreneurs,” said Zille in her 2009 statement to the media.

Semigration brings about new business and residential needs

One of the most significant trends currently witnessed in the South African property market is semigration to the Garden Route, a region of South Africa known for its biodiversity and scenic seaside destinations, including Mossel Bay, Plettenberg Bay, and Knysna.

The work-from-anywhere phenomenon has driven many South Africans to move out of the major cities and ‘semigrate’ to coastal towns, particularly along the Garden Route, where they can live a relaxed lifestyle surrounded by beautiful scenery. 

“The level of activity in the top end of the market in these areas is exceptionally high,” says Cowan. “There is very little vacant land remaining, especially of this size, and very soon we are going to be experiencing a stock shortage in the area.”

According to Cowan, this is what makes the once-Destiny Africa land particularly attractive to investors.

“As we see more South Africans semigrating to the Garden Route, there is a growing need to cater to the business and residential needs of these new residents. This land has the space, location, and qualities for the right investor to capitalise on this demand.”