Nick Wilson

Property Editor

Sandton City shopping centre is to undergo a R1,77bn upgrade and extension as part of Liberty Properties’ three-phase plan to rejuvenate the landmark centre.

Set to begin in the last quarter of this year, the upgrade and extension by Liberty Properties, which owns 75%, and Pareto, which owns 25%, will add 30000m² of new space to the southeast corner and give the centre a complete makeover.

Liberty Properties CE Samuel Ogbu said on Tuesday that the plan was to reassert Sandton City’s position as “SA’s leading shopping experience” and enhance shareholder and policyholder value.

He said the expansion plan indicated the confidence that Liberty and Pareto had in SA’s economy.

“There has been a lot of turmoil in the markets, with asset values falling. Given the challenges and negativity, you may be surprised.

“To our mind there has never been a better time to manage and develop property in Africa,” he said. Liberty Properties had learnt through its years of experience that property was a “long-term cyclical game”.

“If you have resources and you invest in quality, you can do well in any economy,” Ogbu said.

The first phase would be completed in April 2011 with 95% of construction completed by the 2010 Soccer World Cup.

Construction would stop temporarily during the event.

The extension would increase Sandton City’s gross lettable area to 158000m²

Caswell Rampheri, CEO of Liberty Properties Development, said the project had been three-and-a-half years in the making.

“It will entrench the Sandton City Complex as Gauteng’s premier shopping destination and enable it to support the significant development and growth in this area, particularly from new residences and the construction of the Sandton Gautrain station,” said Rampheri.

He said the retail extension would accommodate the centre’s existing key retail tenants such as Woolworths, Truworths, Edgars and Foschini, which had requested additional space, as well as “numerous enquiries from other local and international retailers”.

The interior refurbishment would introduce more natural light and internal landscaping with “green touches” and the brightening of parking areas.

Nine hundred new parking bays would be added.

The second phase, yet to be officially launched, would include the development of residential apartments and an office tower on the corner of Fifth Street and Rivonia Road, said Rampheri.

The third phase would include an additional hotel, as well as more office space, Ogbu said.

London-based RTKL Associates, architects, planners and engineers, are the designers.

Source: Business Day