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Zenprop to invest R300 Million in upgrading Landmark Pretoria Shopping Centre

Posted On Thursday, 30 August 2007 02:00 Published by Commercial Property News
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Landmark Pretoria shopping centre Sunnypark is to undergo a revamp to the tune of R300 million, bringing the 30 year old centre sharply into the 21st Century as well as meeting the demands of the existing strong, aspirant and financially active market of Sunnyside and surrounds

Strategically positioned on the cusp of the Pretoria CBD, Sunnyside is one of the fastest growing residential nodes in South Africa. Urban regeneration and the expansion of government facilities and offices have resulted in a period of unprecedented growth, and in addition to the strong residential component, a strong influx of people travelling for study or work purposes from secondary catchment areas added more impetus to the decision to invest by Zenprop.

The main employers in the area include the Department of Trade and Industry campus (currently employing 3,000 people with plans to expand and employ a further 2,000), and the newly opened headquarters of the Public Protection Service which will generate further employment and footfall to the area. Neighbouring Arcadia represents approximately a further 10,000 employees.

According to a market survey conducted in early August 2007, the average household income in 2007 for the primary trade area is R8200 per month, with the LSM 5-8 proportion of the relevant market having increased from 65% in 2005 to 81% in 2007. The LSM 9 and 10 proportion has increased from 13% to 15% over the same period of time.

‘Sunnypark plays a dominant role within the catchment area with research clearly indicating an entrenched change in profile, with stronger localized support’ says Adam Blow, Retail Director for Zenprop. ‘The Sunnypark loyalty factor has increased from 5.6 in 2005 to 7.2 in 2007 beating the benchmark factor of 6.5’.

Although dominant in its trade environment, the once iconic shopping centre is over 30 years old and in need of major refurbishment to live up to the aspirational needs and changing demographics of the surrounding area. The fragmented retail activity in the vicinity of the centre consists mainly of a convenience nature and the redevelopment of Sunnypark offers a unique opportunity to absorb and consolidate the surrounding retail offering into a safe, modern well rounded shopping environment.

Construction has commenced on the first phase of the re-development, and it is envisaged that the centre will be re-launched to the public towards the latter part of 2008. The centre will continue to trade for the duration of the refurbishment. The refurbished building will accommodate retail stores, financial services, office suites, a gym, restaurants and a Nu Metro Cinema complex, on a multilevel basis. In addition, in assertion of the strategic location of Sunnypark, a new generation Holiday Inn Express Hotel will be incorporated into the scheme, making it the only offering currently of this well established international hotel brand in the Pretoria area.

The refurbished building will embrace a very 21st century contemporary look and feel, with generous proportions, an abundance of natural light, high volumes, glass, warm natural materials and modern architectural elements.

Leading national retailers that have already committed themselves to take up space in the centre are among others Woolworths, Checkers, Clicks, Foschini Group, Truworths Group, Edcon, Mr Price Group and Nu Metro Cinemas.

The centre is situated within an expanding middle class market with shopper support during the week on a steady increase and a growing demand for key retail brands and facilities in the form of fashion, entertainment and banking facilities. ‘A strong retail potential has been identified which if catered for will result in increased loyalty, expenditure and dwell time’ says Blow. ‘This has motivated our investment decision and on completion of the re-development we are confident that Sunnypark will dominate this trading environment for many years to come.’

Last modified on Monday, 27 May 2013 18:54

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