City clean-up campaign prompts major investment

MORE than R2,7bn of new investment has been attracted to Cape Town's central business district (CBD) since the inception of the Cape Town Central City Improvement District 19 months ago. This brings the total amount of investment planned, approved or underway in the central city overall to some R8,7bn. Speaking at a business breakfast earlier this week, Cape Town Partnership chief executive officer, Michael Farr said: "We set ourselves a target of R1bn of new investment for the 2002 calendar year, which was a little ambitious. However, I am pleased to confirm that in the first five months of 2002, we achieved over R100m a month of new investment to reach R535m from January to May this year. The new investment levels of R100m a month over the last five months are in keeping with the investment levels we have secured since the CID came into being 19 months ago. This means that for 19 consecutive months, we have averaged well in excess of R100m a month in new investments." Farr says, that of the R535m secured this year, nearly R400m is being spent in the historic CBD, particularly in the East City. According to him, this means that investors are starting to understand the real investment value of urban renewal as opposed to from-scratch developments. Some of the projects include the R70m Old Town Square Development, which looks set to become a focal point in this historic area's rejuvenation, and interest is high for other opportunities in the East City, particularly since the Grand Parade is about to be redeveloped and managed by the Partnership, explains Farr. The Adderley Park development is one which is crucial to the restoration of Adderley Street and involves the preservation of the existing historic buildings or facades on Adderley Street, Longmarket Street and Parliament Street. "It is now becoming obvious that both national and international investors look to our capital city and its success as a benchmark - a standard which motivates the consideration of investments elsewhere in the metropole. In that regard, the health and success of Cape Town's central city - which has been made possible, in no small part, by the work of the Central CID in eradicating crime and grime - will prompt investments elsewhere," concludes Farr. (Adéle Mackenzie)