Phoenix Industrial Park PPP initiative to boost property

Posted On Tuesday, 04 June 2013 08:08 Published by Commercial Property News
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Phoenix Industrial Park, one of Durban’s oldest and sizeable industrial parks, is the focus of a new retention and expansion programme which will see the city boosting local business as it reinvests in the park’s future. The knock-on effect on real estate being one noteworthy spinoff.

Phoenix Industrial Park DurbanThere has been a lot a of talk about public-private partnerships, so it is good to see one taking off as the Durban Chamber of Commerce and Industry joins forces with Phoenix Industrial Park Lot Owners Association.

Phoenix is situated northwest of central Durban, KZN. It was established as a township in 1976. It is associated with the Phoenix Settlement, built by Mahatma Gandhi. Today Phoenix is the largest “Indian” town in South Africa.

Strategic business, commercial and industrial growth nodes have evolved along with the new King Shaka International Airport, Phoenix Industrial Park, Riverhorse Valley and the Dube Tradeport as important investment hotspots.

Sanlam launched the park in 1983. From disused agricultural land to being part of the economic core of the mushrooming northern Durban corridor, Phoenix Business Park has a lot to celebrate on its 30th anniversary. The commercial and industrial real estate value has mushroomed since those early days.

The presence of well established brand names in the area has provided stability to commercial and industrial property. Big names making their presence felt at the Park are: Masterbake- the largest independent bakery in KZN; SPAR Group’s enormous KZN distribution centre as well as ABI, KZN’s biggest beverage manufacturing plant. The 230ha Park is made up 392 lot-owners and 460 businesses making it one of the largest industrial complexes in the country.

The Park provides employment to over 30 000 people from the surrounding residential communities. This area is part of the industrial growth north of the city including areas such as Springfield Park, Riverhorse Valley, Briardene and Mount Edgecombe.

The Phoenix retention and expansion programme has been welcomed by all stakeholders. Chairman of the industrial and lot-owners association Roy Ramkisson told a press conference that the programme would add to efforts to ensure on-going success of the park and the growth and retention of business during tough economic times. The association has for the last ten years improved the security and cleaning up of the park.

Issues to be addressed by the partnership include infrastructure, maintenance and power supply constraints.

The launch of the retention and expansion programme for Phoenix Industrial Park was attended by more than 100 heads of industries.

The programme will see a cross-section of about 100 businesses surveyed in the Phoenix Industrial Park on local business concerns, ideas, needs and views as to what makes harder or simpler to run business in the area.

Russell Curtis, head of Durban’s Investment Promotions Unit told a press conference that the retention and expansion concept was an international approach that had had fine outcomes in other countries. In fact the City had already run such a programme in conjunction with Durban Chamber in the areas of Prospection, Pinetown and Mobeni.

According to Durban Investment Promotions Unit, 80 per cent of new jobs are created via existing businesses, so it makes sense for the City and Business to forge ahead with their weighty plans and for businesses to get in line and participate for the full benefits to be realised.

In terms of its influence on real estate, surely anything that promotes the stability of business in Phoenix will promote stability of the real estate. In the words of Rawson Properties one of the area’s biggest estate agents: “Phoenix property offers investors a sturdy, long-term investment, which has proven its ability to thrive in all economic climates. More importantly, Phoenix has great potential for growth.”

Source: eProp, The Mercury

Last modified on Tuesday, 04 June 2013 09:04

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