Major shopping mall in one of South Africa’s richest areas sold
The Competition Commission has approved the sale of Constantia Emporium, a luxury shopping centre in Cape Town, along with some surrounding property.
Constantia Emporium sits along Ladies Mile Road and is described by the Competition Commission as an “upmarket neighbourhood shopping centre”.
The mall features several stores, including an upmarket Checkers, Woolworths, Clicks, and a Starbucks cafe.
The Checkers found in the centre differs from the brand’s typical stores, featuring a sushi bar and a Lindt Chocolate Boutique.
The centre’s location in the upmarket Constantia neighbourhood gives it access to wealthy customers, reflected in its luxury stores.
Along with its anchor stores, the centre has a bespoke bakery and a high-end jeweller, named Winhall and de Stadler.
The shopping centre itself is not the only part of the acquisition; an adjacent vacant plot of land is also included in the deal.
The Competition Commission approved the sale of the centre to FPG Holdings, which is part of the FPG Group.
The Commission did not include any conditions in its approval and said that it did not represent competitive market concerns.
“The Commission is of the view that the proposed transaction is unlikely to substantially lessen or prevent competition in any market,” it said.
“The proposed transaction does not raise significant public interest concerns.”
While the commission did not raise concerns about competition, it noted that the FPG Group owns several surrounding properties.
This includes eight retail centres in the same area as Constantia Emporium, including local convenience stores and a hyper centre.
“Relevant to the proposed transaction, the FPG Group owns eight retail centres, which are located within a 15km radius of the Target Properties,” the commission said.
“These include free-standing local convenience stores, neighbourhood centres, a lifestyle centre, and a hyper centre.”
A major property developer
The acquiring company, FPG, is a large player in South Africa’s retail property sector, with several notable past developments.
This includes the Bluedowns shopping centre in the Western Cape, which has over 10,000 square metres of gross lettable area and 37 stores.
The FPG Group redeveloped this centre in 2024, which it said was driven by high demand from local customers.
The company said at the time that the increase in residential properties in the surrounding area had prompted the expansion
“The residential expansion within the primary catchment area has led to a substantial increase in foot traffic to our centre,” it said.
“This surge in demand has propelled us to embark on an ambitious journey to enhance and enlarge our facilities.”
The company was also behind the redevelopment of Moreleta Corner, a shopping centre in Pretoria with 9,500 square metres of gross lettable area.
The FPG Group is not only involved in the property sector but is also a major franchisee for the international fast-food brand KFC.
Through FPG Foods, a subsidiary of the group, it operates roughly 56 KFC stores across South Africa, primarily in the Western Cape.
FPG was founded in 1989 as a small subsidiary of the Foodworld Group, which was one of the largest independent retail chains in the Western Cape at the time.
From this time, the company started acquiring properties, including a retail centre in the Bishop Lavis suburb, which it still owns today.
Since this first acquisition, the company has grown its portfolio to include several major properties in South Africa’s retail sector.
“Over the years, the story of FPG Property Fund has been shaped and written by a constant series of developments and acquisitions,” the company said on its website.
Photos of Constantia Emporium
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