AN APARTMENT block that includes a retail component is to be developed on Wolhuter Street in Newtown, Johannesburg, at a cost of R60m.

The developer of the block, which will be situated next to the Market Theatre, is a joint venture between black empowerment group Motseng Investments, architects Kate Otten & Associates and the Pace Property Group.

An existing building is being refurbished.

David Green, MD of the Pace Property Group, which is marketing the available retail component, says a 2700m² retail centre will form part of the building and will be anchored by Nandos, as well as upmarket restaurants and other retailers.

The residential units will be marketed by Pace Rez, a division of the Pace Property Group.

Green says the apartment block will consist of 90 apartments ranging in size from one-bedroom to three-bedroom units, and priced from R400000.

Construction is expected to begin by midyear and the completion date has been set for early next year.

"We have already got some considerable interest from investors," says Green. Interested parties are mostly people working in the central business district, particularly those employed at large financial institutions.

According to an inhouse Pace Property Group publication, the project is to retain all the historical facades and ambience of the "old world".

The apartments are aimed at the middle-income buyer.

Green says the average Johannesburg employee spends 25% of his monthly income on transport to and from the workplace. "The idea is to bring people closer to their work environment and provide an upmarket environment in which to live and play."