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CONSTRUCTION WORLD
JULY
2015
PROPERTY
the neighbouring communities. The architec-
ture is intended to be uncluttered and contem-
porary with no unnecessary or gratuitous refer-
ences to any particular regional style. Work
precincts must be functional yet not sterile or
devoid of social interaction; and equally resi-
dential precincts must be wholesome places
where families can enjoy rich, colourful and
interactive lives with each other.”
Social and economic impact
Premier Makhura stated that, “The provincial
government and municipalities must do their
part to ensure that the rebirth of Sedibeng into
a new economic giant in the south of Gauteng
succeeds. The private sector has also done
a lot by catalysing this development of the
Vaal River City using their own land and own
resources. We must crowd in more private
and public sector investment leveraging
state-owned land – municipal, provincial and
national government land.
“The era of random sale of government
land must come to an end. We need to use our
own land strategically for industrial develop-
ment and mega human settlements.”
The southern corridor will encompass the
economy of the Sedibeng district and the crea-
tion of new industries, new economic nodes
and emergent cities. To reignite the economy
in southern Gauteng, the ‘Vaal River City Metro’
will capitalise on its potential for water-linked
industries and transform itself into a logistics
and heritage centre.
Shifting the economy of this corridor away
from its overreliance on the steel industry, it
will diversify to include entertainment and
logistics and anchor itself around river tourism
and agro processing.
To revive, modernise and re-industrialise
the southern corridor and in order to build
a seamlessly integrated, socially cohesive,
economically inclusive City Region, the
development of the new Vaal River City
(hydropolis) aims to unlock the potential of
the waterfront developments in the Emfuleni
and Midvaal areas.
The establishment of the Greater Vaal
Metropolitan River City will have many bene-
fits, including but not limited to: geographic
consolidation of highly urbanised areas of
rapid growth and development; large scale
residential development projects; and mobility
of people, goods and services into and out of
the newmetro.
Already the private sector is planning to
invest more than R4-billion into this devel-
opment, which will stimulate much needed
economic activity in this corridor. The develop-
ment is estimated to be worth between R7 and
R11-billion, and will create up to 7 500 jobs in
the construction phase alone.
The development promotes the linking
of different main roads, particularly the
intersection of the R59 and the R42 and
resultantly promotes mixed-use high density
development. The interchange at R59 and R42
will have a slipway into the development and
promote the promoting high density develop-
ment along the public road transport link.
Some R500-million is estimated for the
bulk infrastructure which includes a new on-
and off- ramp linking the R59 from Alberton
into Sharpville for commuter ease, roads,
water, and sewer pump station.
“This new mega settlement is an excellent opportunity
for investors who want to assist government in their
development criteria for future generations.”
I
MOODY’S UPGRADE
Growthpoint Properties’ leading market position, strong balance
sheet and its property portfolio’s increased resilience and defensive
nature have contributed to Moody's Investors Service upgrading
Growthpoint Properties global scale issuer and senior unsecured
ratings to Baa2/P-2 from Baa3/P-3, and its national scale issuer
ratings to A1.za/P-1.za from A2.za/P-2.za.
Moody’s also upgraded Growthpoint’s
national scale senior unsecured
Medium Term Note Programme (MTN)
ratings to (P)A1.za/P-1.za from (P)A2.za/P-2.za.
The outlook on all ratings is stable, reflecting
Moody's view that despite a weakening
economic climate in South Africa, Growthpoint
will continue to produce steady revenues and
operating profits and will continue to maintain
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