Mayor Herman Mashaba has welcomed the R2 billion development by Divercity Urban Property Fund into the inner city and pledged the City’s assistance to make the development a success.
Addressing senior officials from the City, Mayor Mashaba described the cash injection as “the first in the country. We’ll use it as a case study.” He pointedly asked the developers: “How can we help you? We want you to succeed.”
The mayor said this development, which promises to re-energise the eastern part of the CBD, will signal to the investment community that Joburg is truly open for business.
“We all have a responsibility to create an enabling environment for business in the city. As a city, we have taken the responsibility to be the driver of economic development for this country and for the continent.”
Speaking on behalf of Divercity, Tebogo Mogashoa said the first project will be the construction of a Jewel City as an extension of the Maboneng precinct. “We have R2 billion to spend within the next financial year. What we are offering is an investment pipeline, not an investment pipe dream.”
Mogashoa said the Jewel City precinct will include over 1 500 residential units, retail, gym and commercial properties. “We are going to advocate the pedestrianisaton of the zone. We will need the city’s support in our quest to turn Fox Street into a pedestrian zone,” said Mogashoa.
A cornerstone of the development, Mogashoa added, will be the development of public open spaces and pedestrian boulevards. The development will be an opportunity to collaborate with the arts industry in entrenching the precinct as a home of the fine arts in South Africa, Mogashoa said.
Divercity’s inner city development will include a massive refurbishment and renaming of Absa Towers. The consortium as awarded the contract to redevelop the Absa precinct following a public procurement process by Absa, Mogashoa said.
“This will be a green star-rated development. We will construct a further 500 residential units and office space for Absa. Thereafter we will lease the building back to Absa.”
Mogashoa appealed “to the consciences of all city officials to support this course”. His plea to City officials was simple and direct. “We request the Department of Development Planning to pay special attention to building plans. We ask that in each functional department, there be dedicated resource for this inner city partnership.”
Describing this development as a second gold rush, Mogashoa said his request is “not about complaining but about finding solutions to position Joburg as a modern vibrant African city”.
Mayor Mashaba appealed to officials to take personal responsibility to ensure that this project succeeds “Your success is the success of Joburg and the success of Joburg is the success of our residents,” he said.
