All go for Zimbali Lakes
DUBAI-based IFA Hotels and Resorts has announced that construction of the multibillion-rand Zimbali Lakes resort, which will create a world-class residential resort, office park and retail environment in a secure estate in Ballito is back on track following a protracted legal battle.
Phillip de Sylva, IFA’s senior vice-president of operations in Africa and the Indian Ocean, told delegates at a provincial Trade and Investment KZN business seminar last week that the project, which he said had been “on ice” due to a seven-year legal battle, would go ahead with the construction of the R1 billion Ocean Club Zimbali later this month.
The legal wrangle, which was recently resolved out of court in a confidential settlement, had involved a dispute with the existing Zimbali Estate Management Association over a 10ha plot of land, De Sylva said.
“The Zimbali Lakes project construction began in 2008, was interrupted by litigation in 2010, but has now resumed. Zimbali Coastal Resort is basically 100% developed and the next play in the chapter is the Zimbali Lakes Resort,” he said.
De Sylva said earlier construction had included building the main trunk sewer and two pump stations as well as the earthworks for nine holes of the planned 18-hole golf course.
The project includes the creation of a 30ha lake that will add value to the surrounding real estate, comprising five development nodes including a lifestyle retirement village, residential areas, a lakes resort node, Ocean Club Zimbali and the Zimbali Office Estate.
He said that while they were looking at developing some aspects, such as the lifestyle village, by themselves, they were also looking for partners. De Sylva said the development was a 25 to 30-year long-term investment which would provide world-class amenities in a mixed “live, work and play” environment with five-star security.
“It will have an enormous impact on the region. The creation of that lake will add value to the surrounding development and the lake views will enhance the quality of the real estate,” he said.
The project was expected to contribute significantly to the municipal rates base for the KwaDukuza Municipality, to job creation and the stimulation of surrounding, regional economies and the national one, he said. Already, R160 million in sales has been secured in Phase One of the development. In the Zimbali Office Estate 4 000 units are for sale– R15million of real estate has been sold – which will contribute to alleviating the shortage of office space in Ballito.
“Unfortunately, Ballito is still catching up with office space developments. We have R52million left to be sold in the precinct,” he said.
The five nodes of the development will create 2 715 units, including 456 mixed use homes in Ocean Club Zimbali; 500 bulk and 250 frail care units in the lifestyle retirement village; a resort node with 650 units; a 200-bed hotel, retail and office space; 441 sectional-title units; and 218 single dwelling units. There will also be 1.7km of lake waterfront with boat, beach and sports clubs.
Ocean Club properties will sell for from R1.8 million for a one bedroom unit to R3.45 million for a two-bedroom.
“We have relaxed some of the architectural guidelines to make it easier and cheaper to develop, and to make it eco-friendly in terms of being more energy efficient and to accommodate water recycling,” he said.
De Sylva said the resort node would cover 100 000m² of land.
“We will have lakeside retail outlets and cafés and it’s a property for which we have rights to go up six storeys. We will have a piazza at the top of the hill with stores like Woolworths and banks to service the resorts,” he said.
De Sylva said South Africa was the only African country IFA remained invested in – the conglomerate has invested more than R100million (R1.2 bn) locally over 12 years, after pulling out of four other countries on the continent.
Trade and Investment KZN chief executive Zamo Gwala said the announcement was “a vote of confidence” in the province from an international investor that would create jobs in line with the country’s national agenda.
“It gives us quite a boost in terms of KZN as an investment destination and the fact that in spite of some of the challenges they have had they still have confidence to say they can do the expansion, and it is happening at a time when investor confidence is low globally,” he said.