Tuesday, April 23, 2024
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HomeConstruction and EngineeringThe Durban Point Waterfront Development

The Durban Point Waterfront Development

The R35-billion investment located on the South Point of the Durban Beachfront is set to include a number of mixed-use development projects, including upmarket residential and commercial developments, a retail mall, a hotel and leisure facilities.

The Durban Point Waterfront Development is undertaken by the Durban Point Development Company (DPDC) which is a partnership between the Malaysian company, UEM Sunrise, and the eThekwini Municipality.

The R35-billion investment located on the South Point of the Durban Beachfront is set to include a number of mixed-use development projects, including upmarket residential and commercial developments, a retail mall, a hotel and leisure facilities.

Project description

The Point Waterfront Development forms part of the City’s initiative to redevelop and regenerate the inner-city.

The revised Point Precinct Framework Plan was developed and approved in 2015 which makes provision for 750,000 m² mixed-use development including hotels, high-end residential, retail and mixed-use developments.

The first phase commenced in 2017 and has been completed, which included the provision of bulk infrastructure and the development of the Point Promenade by the City.

The balance of the project will cover a 10–15 year horizon at between R30–R35-billions of public/private sector investment.

The Point Waterfront Development
Investment value
    • Estimated R30-billion of public/private sector investment (TBC).
    • Estimated annual rates contribution of R200-million. (TBC)
Sources of funding
    • Private Developer and eThekwini Municipality.
Funding gap
    • Funding to address the inner-city ‘bad buildings’, infrastructure upgrades and social and safety issues.
Incentives available
    • Economic Development Incentive Policy 2022/23 – Inner City
Number of jobs to be created (Direct/Indirect) & Empowerment (Women, Youth, People with Disabilities)
    • When completed, the development will create an estimated figure of 6,750 permanent jobs and provide 11,000 construction jobs with an annual rates contribution of R200-million.
    • Job creation: This project will create approximately 850 jobs in the construction phase. Radical Economic Transformation: More than 20 sub-contractors to date for the Promenade construction, with an approximate value of R70-million. Further, as part of the water main upgrade construction project, R30-million was awarded to sub-contractors.

Project Status¹

Implementation progress by the City:
  • Work package 1 – Infrastructure upgrade has been completed.
  • Work package 2 – Watermains upgrade has been completed.
  • Work package 3 – Promenade extension is completed and was opened to the public November 2019.
  • The newly constructed MSC Passenger Cruise Terminal on the Point Precinct has been completed.
  • Private Developer (UEM Sunrise): Phase 1 Development launch is tentatively planned before end of 2023/24 financial year.
Construction during watermains upgrade for Point Waterfront Development
Regulatory requirements of the project

The catalytic land development forms part of the eThekwini Municipality’s Package of Plans, therefore, aligns with the approved and Point Precinct Plan; Inner-City LAP; the eThekwini Municipality: Planning and Land Use Management By-Law, 2016: Decisions on Land Development Applications; and the Integrated Development Plan.

Unblocking issues needed to be resolved

Down-turn in the economy has changed the business model – developer is relooking at options that are feasible and can attract investment.

Partnerships
  • Durban Point Development Company – Public Private Partnership between eThekwini Municipality & Malaysian Investors.
Opportunities
  • The development will stimulate new investment of the broader precinct over the duration of the project and into the future.

Contact the project team:

To find out more, interested parties are encouraged to contact the project team:

    ¹ At time of publication (2024). For further updates, please contact the project team.

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