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CONSTRUCTION WORLD
JANUARY
2016
PROPERTY
This was announced by Pareto Limited, the owners of The
Pavilion, in October at the SA Council of Shopping Centres’
19
th
Annual Congress, which took place at Durban’s Interna-
tional Convention Centre.
Marius Muller, CEO of Pareto, comments: “We are really excited
to finally reveal this fantastic development at The Pavilion, which will
take the centre up to around 139 000 m
2
in size and entrench it as one
of Durban’s and SA’s top super-regional shopping centres. This major
makeover project will be the biggest investment in an expansion of
The Pavilion since it opened two decades ago.”
The development has been approved by the Pareto board and has
also secured relevant municipal approvals.
Muller says: “At more than a billion rand, this development is going
to take The Pavilion to a whole other level. The centre is going to be
transformed with great new attractions, the most spectacular of which
is a glass-encased roof-top fine dining and leisure area to be called
Sky@Pav. The development will also see the opening of well-known
international retail stores, some of which are not currently represented
in the KZN market.
“Pareto is in advanced negotiations with global fashion retailers to
take up space at the expanded centre. At the moment, we cannot reveal
the fashion brands coming in. But, what I can say is that a new interna-
tional fashion entrant into the South African market will be anchoring
the new retail section and will be occupying two levels. The iconic
UK-based toy retailer Hamleys is also on the cards for The Pavilion.”
Another major brand and new offering coming into the centre as
part of the expansion is Virgin Active, which will open a 3 200 m
2
gym.
Explains Muller: “The Pavilion is one of South Africa’s leading shopping
and entertainment destinations and amongst the top five largest malls
in the country. This expansion is demand driven, but also aimed at
making sure The Pavilion retains its position in the market by securing
the major international brands coming into South Africa and expanding
its offering in-line with the latest trends.”
He adds: “Illustrating the significance of this latest expansion, the
development will see the number of retail stores and other outlets at
the centre increase from 240 currently to around 320 upon completion.
The Pavilion will increase from 119 000 m
2
to approximately 139 000m
2
,
making it just smaller in size to Sandton City and Menlyn Park Shopping
Centre in Pareto’s portfolio.”
The 20 000 m
2
expansion will include about 14 000 m
2
to accommo-
date new retail offerings, 2 500 m
2
for the new Sky@Pav roof-top feature
and space for the Virgin Active. The development will also include 1 505
new parking bays.
“We are undertaking this massive expansion in order to also re-po-
sition The Pavilion within its market in Durban; for its existing customer
base to remain loyal; and, to attract new tenants and customers to
the centre. Furthermore, the growing need for space from existing
and potential tenants, both local and international, necessitates the
planned reconfiguration and extension. Our announcement of this
mega expansion comes in the wake of Pareto completing a R220-million
upgrade at The Pavilion last year, which included a stunning all-new
food court and expanded cinema and entertainment offering.
“Increased competition in its catchment area, as well as compe-
tition from super-regional shopping centres such as Gateway that are
able to accommodate international tenants like ZARA, meant that we
needed to do something groundbreaking at The Pavilion. With this
R1,1-billion project, we are doing just that,” says Muller.
Citing IPD and market research, Muller explains that The Pavilion
currently provides significantly less stores when compared to other
super-regional shopping centres, such as Gateway, which has more than
400. He says Pareto and The Pavilion’s centre management were final-
ising plans to try to ensure any disruptions linked to construction would
be kept to a minimum, and both tenants and shoppers would be kept
up to date on the development.
R1,1-BILLION
MAKEOVER
for The Pavilion
The Pavilion shopping centre in Durban is set to get a
massive R1,1-billion makeover and expansion designed to
strikingly reposition the centre, significantly increasing its
leisure and retail offering.
Pareto CEO - Marius Muller
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