Century City Property Developers is spearheading a new business park development at the mixed-use node Century City in Cape Town.

The group said on Friday that a 40,000m² business park called Century Gate Business Park would be built on the Century City site at a cost of R230m.

Property pundits have said the commercial property market is set to boom this year , and the site stands to benefit.

The development, fronting onto Bosmansdam Drive, will provide offices, showrooms and distribution premises, and Century City Property Developments has sold development stands to six other developers planning marketdriven developments.

Servicing of the land is to commence shortly, with the first transfers of land, to the developers involved expected to take place in April. Construction of the first projects will start after this, with the first completions expected by year-end.

Among the developments within this project is Millennium Park, an 11,000m² sectional-title office and business park to be developed by Asrin Property Developers.

Greg Deans, MD of Century City Property Developments, said the commercial property market had strengthened considerably over the past year and developers jumped at the opportunity to participate in the business park.

In late November last year, JHI Real Estate chairman Les Weil said he believed the office property sector would lead the property boom this year, while others favoured industrial property.

In December property economists Rode & Associates said industrial property would probably be the best performer this year due to the strong performance of SA's manufacturers.

Rode & Associates said excess offices would be "mopped up" amid the economic growth expected over the next few years.

Business Day