Sunday Times

Mall brawl: Gateway grows as billions pour into new centres

- By SUREN NAIDOO

Gateway is home to SA’s largest cinema complex

● Durban’s Gateway Theatre of Shopping is about to complete a R750-million expansion and revamp that will take it up to 175 000m² in gross lettable area, with 450 restaurant­s and stores, including the first Hamley’s toy store in KwaZulu-Natal.

The developmen­t at Gateway — once touted as the largest shopping centre in the southern hemisphere — will result in about 15 000m² of retail space being added, making way for about 50 new stores.

The project has already seen makeovers in a number of areas, including the main Palm Court entrance, in addition to major retail brands debuting at the centre, including H&M, Starbucks and Dis-Chem. Some R13million has also been invested in a photovolta­ic solar plant on the mall’s roof, with the capacity to generate 1MW.

Gateway general manager Akash Maharaj told Business Times that the overall developmen­t represente­d a timely upgrade for the centre to retain its position as one of the foremost “shoppertai­nment” destinatio­ns in South Africa.

He was tight-lipped about the capital investment into the upgrades, but sources at Gateway owner Old Mutual put the developmen­t cost at around R750-million.

The expansion comes in the wake of new competitio­n in Gateway’s primary and secondary catchment area, with the opening of Investec’s R1.8-billion Cornubia Mall and the R1.5-billion Ballito Junction Regional Mall last year. Oceans Umhlanga, which will have a high-end 30 000m² mall as part of the R4billion mixed-use property developmen­t, is also set to add competitio­n next year.

Maharaj said the developmen­t at Gateway — which attracts 27 million visitors annually — was undertaken mainly due to demand from local and internatio­nal retailers and had been in the pipeline for years. It is set for completion by the end of September.

“Gateway is home to South Africa’s largest cinema complex, and the new Food Court will consolidat­e the entertainm­ent offering in a newly developed area just below the cinema level. This area will include the gaming arcade and 10-pin bowling area, upgraded Mr Funtubbles indoor funfair, outdoor sporting area, and new be.UP Park trampoline and rock climbing attraction. The new 1 200m2 Hamley’s store will take up much of the space of the old Food Court area,” he said.

Pretoria’s Menlyn Park became the largest shopping centre in Africa in 2016 in GLA terms, following a R2-billion expansion. It boasts 177 000m² of GLA, with more than 500 retail stores and other outlets. Gateway is the second largest. Menlyn Park may still be pushed out of the top spot by Fourways Mall in Joburg, which is undergoing a multibilli­on rand total redevelopm­ent into a super-regional mall.

Amanda Stops, CEO of the South African Council of Shopping Centres, said: “South Africa has one of the most developed and competitiv­e shopping centre industries globally. In fact, South Africa has the sixthhighe­st number of shopping centres in the world.”

Akash Maharaj Gateway General Manager

 ?? Picture: Supplied ?? The R750-million expansion at Gateway is due for completion by the end of September.
Picture: Supplied The R750-million expansion at Gateway is due for completion by the end of September.
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