Alterations in land use and improvement to road infrastructure has transformed the property industry.
The northern stretch of the North Coast Road has seen significant changes in the past two decades.
Not only was it the first portion of the infamously busy and congested road to benefit from double-lane traffic flow (and the subsequent ingenious counter-flow design at the N2 interchange that further reduced congestion), but the construction of several innovative commercial and light industrial developments may be viewed as the acid test for broader initiatives in neighbouring RiverHorse Valley.
Now, in the last few kilometres of the North Coast Road before the N2 KwaMashu interchange, there is a hive of commercial activity – including the Redhill Industrial Park built by Tongaat Hulett Developments; Constantia Park developed by Fortress Income Fund; and Glen Murray Industrial Park.
The property development arm of the industrial food group Tongaat Hulett, Tongaat Hulett Developments, has been instrumental in expanding the commercial and industrial land use north of Durban. Since the early 1990s, the group has converted its prime sugarcane land into commercial property space in a move that has facilitated transformation of the real estate industry.
Through various partnerships, Tongaat Hulett Developments has facilitated investments of more than R70 billion into land development north of Durban’s traditional central business district, and the Redhill Industrial Park was one of the earlier examples of this shift.
While small in scale compared to the multi-billion-rand developments that followed, the light industrial development strip at the corner of Rinaldo and Old North Coast roads – in a road aptly named Moreland Drive – comprises 26 hectares. When first launched, Tongaat Hulett Developments was called Moreland Developments.
Originally developed as brickworks land, the brownfield redevelopment has evolved as a quiet road-long enclave housing a myriad medium-sized businesses amid the welcoming cool of fever trees and the incomprehensible chatter of Indian mynas. Constantia Park was developed by Fortress Income Fund, a company that has emerged as a powerhouse in the South African property industry since listing on the Johannesburg Stock Exchange in 2009.
Focusing on the development of prime logistic warehousing, retail centres and strategic offshore investments, the fund has experienced positive growth annually.
Today, the Cape Dutch-inspired Constantia Park architecture proudly dominates the left-hand road frontage as motorists approach the N2. The strip of connected pointed roofs, collectively accommodating 9 859m² of gross lettable area, houses another eclectic mix of tenants that bring diversity and innovation to the local economy.
There are numerous properties to let or for sale within the various developments. Portfolio Property principal estate agent Bradley Hancock says there is a mini warehouse on the market within the Redhill Industrial Park that offers easy access to the N2 and N3 national freeways.
The 240m² sectional title unit is available for renting at R45/m² with an option to purchase at R5 500/m², translating into R1.32 million.
Anvil Commercial Property broker Matt Marvin has another 375m² Redhill Industrial Park property on the books for R64/m², while Vertical Spaces Properties can provide a tenant seeking a light industrial unit with a 300m² property for a monthly rental of R70/m².
Situated within a secure park, the unit can be used for light production, storage or distribution and has staff change rooms and ablutions as well as a mezzanine level housing a small office component.
Last month, Tyson Property Group advertised another 684m² mini warehouse to rent in the area. Comprising a reception area, workshop or storage space, mezzanine office, kitchenette and ablution facilities, the property came to the market for a total monthly rental of R85/m².
Last, Knight Frank South Africa agent Markus Dickerson has a property in Glen Murray Industrial Park waiting for either a buyer or new tenant. The 706m² industrial warehouse has a monthly rental asking price of R65/m².
Independent on Saturday Property