GRAHAM NORRIS Property Editor

THE DEVELOPMENT of parcels of land in the 1 000 hectare former AECI site between Somerset West and Strand has been a catalyst for a multi-billion rand investment in the Helderberg basin.

Originally a farm called Paardevlei, the land was sold in 1903 for the establishment of an explosives factory. In 1996, the manufacture of dynamite, fertiliser and paints ceased, resulting in an unbundling of the company assets.

A successful future for development and investment opportunities was born. Heartland Properties was formed as a subsidiary of AECI in 1999, to redistribute these assets through structured property developments.

Its mandate was to develop the entire 1 000ha site. One of the most significant developments is the Triangle, which is situated between the N2 highway, the R44 Stellenbosch to Strand route and De Beers Avenue.

It comprises 60ha of land zoned for retail, showrooms and offices. Included in this area is Somerset Mall, one of the most successful regional shopping centres in the Cape.

At present, there is a limited number of sites available and, once completed, will accommodate up to 240 000m2 of business floorspace. On the southern tip of the Triangle, The Links Office Park offers investors a prestigious office setting.

Fairways, the first office park in the area, offers sectional title offices for both owner-occupiers and tenants.

The second office park has recently been completed and is already sold out. Heartland's flagship light industrial and clean manufacturing development is the Interchange, where development is booming.

To date, 95% of the phase one stands have been sold for diverse usage, such as wholesale warehousing, distribution and showrooms.

Somerset Ridge, a residential development located next to the five-star Lord Charles Hotel, was sold out three years after launch date.

There are 750 houses in Somerset Ridge, with an average price of between R700 000 and R800 000.

Due to the success of this development, Heartland has planned a second residential development below the Lord Charles and is awaiting approval of the rights.

Another initiative by Heartland is the investment of R12 million in the construction of a bridge, which will link the Triangle in the east and the Interchange in the west, and will unlock development potential of more than R600 million of new business.

This is the first major piece of private sector, bulk infrastructure to be built in the area and heralds a new lease of life for the Helderberg basin.

For more information, contact Wendy Viola on 021 852 1154