Durban’s CBD is set for a major boost through a R127 million project to create additional parking and a new retail arcade at the landmark Old Mutual Centre office tower.

The project involving demolition of two buildings in Gardiner Street  will bring the value of developments by Old Mutual Property Investments in KwaZulu/Natal to almost R500 million, says Brent Wiltshire, the group’s business development executive.

“The project reflects confidence in the CBD as a premier retail and office location, “says Wiltshire. “ It addresses a demand for on-site parking which is a major requirement in the CBD and will also enhance the retail offering.”

The buildings involved are Mutual Building in Gardiner Street, opposite the City Hall, and the neighbouring Gardiner House. 300 Smith Street, which forms a primary entrance to the retail arcade from Smith to West Street, is to be refurbished.

The combined site is near several other major Old Mutual investments, including The Marine, Durban Bay House and the Royal Hotel. 

Mike Rodel, regional general manager of Old Mutual Property Investments, says the addition of 474 parking bays will help retain the premier status of Old Mutual Centre.

“There will be a total of 857 parking bays and a parking ratio of almost three bays for every 100m².

“The new design will create two exit lanes from Old Mutual Centre into Gardiner Street and two entrance lanes from Smith Street.

“The new retail arcade will link West and Smith Streets, the two main CBD streets, and Gardiner Street and Mercury Lane. The retail space will be increased by 1 100m², the current arcade passages will be widened and a food court will be positioned in the middle of the arcade. “

The project, due for completion in 2008, is the fourth major development in Kwazulu/Natal announced by Old Mutual Property Investments over the last 12 months.

The others are R250 million extensions at Gateway Theatre of Shopping, Umhlanga, to enlarge the south mall and parking facilities and add a Virgin Active health club at the northern end of the complex, and a R102 million industrial park at Mahogany Ridge, the key Pinetown light manufacturing and distribution address.