MASSIVE industrial development taking place around the port of Richards Bay has boosted demand for mini factory units for rental by support and satellite industries, says Lionel Foster, principal of Homenet TEF Realtors.

According to Foster this has resulted in the development of industrial premises in the Richard s Bay industrial area of Alton being revived after several years of stagnation.

"We have at least three new developments on our books that will provide about 30 mini factories for lease in Alton, which is conveniently placed adjacent to the CBD," he says.

Foster says each development will offer about 2000m² of office and industrial space.

He says the demand for mini factories is typically coming from service companies benefiting from the expansion of industrial giants such as Mondi, the BHP Billiton aluminium plant, Iscor's Ticor operation and the port's coal terminal.

"Some of the new units will be taken up by local companies expanding to meet new demand for their services, and others will be leased by companies expanding into Richards Bay from Durban, Gauteng or other areas," Foster says.

May 26 2004 07:19:13:000AM Business Day Reporter Business Day 1st Edition