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Foreign Investment Secured to Build Zero-2-One Tower, the New Tallest Building in Cape Town

Despite delays due to city approvals and funding hurdles, construction on the Zero-2-One Tower – which will become the tallest building in Cape Town – is expected to launch soon.

The Zero-2-One Tower first made headlines in 2016, when plans to construct the R1.3 billion city centre project on the corner of Adderley and Strand Streets in Cape Town were unveiled, led by developers FWJK.

During the course of the planning for the tower, the project was hit by several delays, mostly related to the approval processes of the City of Cape Town, which included stipulations that new developments include ‘affordable housing’ – an incredibly difficult task in a city with some of the highest house and apartment prices in the country.

More recently, on the tail of the worst quarterly economic data in a decade, it was speculated that the project had been cancelled due to a lack of funding.

Speaking to BusinessTech, FWJK CEO, David Williams-Jones said that this was not the case.

Williams-Jones acknowledged that procuring funds locally proved difficult because of the economic downturn – however, he said the development was able to secure funding through foreign direct investment.

“The procurement of project funding has faced headwinds and has had to be secured through foreign direct investment,” he said.

“Raising property development finance of R1 billion to undertake the project through conventional SA banking sources has proved impossible due to the current state of the economy and cautious bank appetite at the present time to lend on projects of this scale.”

New timeline

In terms of new timelines, Williams-Jones said that the project is targeting a construction launch within the next few months, pending approvals from the Reserve Bank.

“Once the SA Reserve Bank approval of the foreign funding has been processed, we are targeting to commence construction works on site within the next three to four months, bringing with it the added benefit of 3,000 new on and off site jobs being created,” he said.

Zero 2 One Tower, at 44 storeys, will become the tallest building in Cape Town and will comprise 570 apartments and 7,000 sqm of retail shops on ground level and station concourse level, he said.

The current tallest building in Cape Town is Portside Tower, at 32 floors, which is jointly owned by FirstRand Bank and Accelerate Property Fund. At the time of its completion in 2014 (at a cost of R1.6 billion), Portside was Cape Town CBD’s first new skyscraper in 15 years.

More info about the building can be found here. Below (left) is a render of the intended final building, (center) the location in the CBD where it will be constructed, and (right) Portside Tower.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2], Discott [3].

Plant Dome Planned for Cape Town CBD

Luthuli Plaza, in Cape Town’s CBD, is set to undergo a significant redesign at the hands of LOLA Architects and Design Indaba.

The plaza, named after South African Nobel Peace Prize winning struggle stalwart, Albert Luthuli, was built as a way of connecting the transport hub where people catch taxis, trains and busses to the Artscape precinct. But now the Luthuli Plaza stands gray and mostly unused.

Rotterdam-based landscape architect Peter Veenstra, in collaboration with bamboo builder Olav Bruin of Nomadic Resorts, is planning to revamp the plaza. The redesign will include an urban public garden that starts at the Cape Town taxi rank and ends at the Artscape Theatre. A Dome of Plants will form a centerpiece of the garden.

The dome is intended to serve as a beacon of sustainable design for the city, and be a functional venue where public forums, lectures, and performances can take place.

It will be constructed with natural materials such as bamboo, wood and fynbos plants like Spekboom which is known for its hardiness and ability to convert carbon dioxide into clean oxygen. Cape Town is in a water crisis, and Veenstra says the dome will be fed by purified urine from the bureaucrats working in the Cape Town Civic Centre building, right behind the dome’s proposed location.

Inside this vegetated shelter, there will be 175 square meters of indoor space, complete with amphitheatre-style seating, stage and podium. Together they offer space for discussions, events, workshops, exhibitions, meetings, lunch and a quick coffee outside the big institutions, accessible for everyone.

It is an attractive venue that can contribute to the cultural life of Cape Town. At night, the site will transform, casting a soft green glow on Luthuli Plaza. The designers aim to revitalize this part of Cape Town and bestow it with a meaningful purpose for citizens to enjoy throughout the year.

For more information on and pictures of the project, click here.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, and Remuneration needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2], [3]. Image sources: Design Indaba [1], [2].

Cape Town Foreshore Freeway Project Bidder Selected

The City of Cape Town (CoCT) has announced the qualifying bidder for the Foreshore Freeway Project that, near the end of last year, was shrouded in mystery and controversy.

Project management firm Mitchell du Plessis Associates’ proposal has been chosen, out of seven submitted to the City. The firm has been involved with numerous large-scale projects in Cape Town, including the Two Oceans Aquarium, the Cape Town Stadium, Riverside Mall (Rondebosch), Norfolk Place (Kenilworth), the MyCiTi Integrated Rapid Transport (IRT) system, and the Cape Grade and V&A Hotels.

The firm’s R8 billion proposal focuses on completing Cape Town’s unfinished freeways, alleviating traffic congestion in and around the CBD, as well as providing affordable housing close to the City Centre.

The housing will be provided by means of building high-rise tower blocks of apartments across four precincts on the land between the freeways. The city is in desperate need of more affordable housing options for those who work in the city, many of whom currently commute from neighborhoods far away from the CBD, increasing traffic into the City Centre.

Cape Town is ranked as being the worst city in South Africa for traffic congestion, and was ranked 48th worst in the world in the 2016 TomTom Traffic Index. For the full ranking list, click here.

Mayoral committee member for Transport, Brett Herron, stated that, should the chosen proposal succeed, it will drastically transform Cape Town, and contribute towards a more residential and inclusive inner city.

During the second phase of the project’s tender process, Mitchell du Plessis Associates will, over the next 6 months, have to conclude an agreement with the CoCT, as well as finalize an investment plan, and secure financing for the project.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, and Remuneration needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2], [3]. Image source: [1].