New R3 billion mega development coming to South Africa – R1 billion more than the luxury Club Med resort
A new R3-billion residential development on the KwaZulu-Natal South Coast is set to add to a wave of major private-sector investment in the province.
The Bahari Bay eco-estate is a 100-hectare development in Shelly Beach and is valued at R3 billion, making it R1 billion more expensive than Club Med’s recently completed luxury resort on the KZN South Coast.
Club Med’s R2-billion resort is regarded as the largest hospitality investment in South Africa since Sun City.
Developed in partnership with the Collins Residential Consortium, the project comprises 411 accommodation units and a separate Vikela Safari Lodge, offering visitors a combined beach and safari experience.
However, the Bahari Bay development is a large residential estate, with plans for 489 homes, comprising 350 full-title properties and 139 apartments in three-storey walk-up buildings.
40% of its 100-hectare footprint will remain undeveloped to preserve substantial natural space within the estate.
The project was among the investments recognised at the 2026 KwaZulu-Natal Investment Conference in Durban earlier this month.
The conference attracted R124.5 billion in investment pledges, exceeding the provincial government’s target of R95 billion.
According to the development, buyer interest has already translated into significant sales activity. More than 100 plots have been sold, with Phase One 75% sold and 94% of the stands in the estate’s Executive Phase already taken up.
Although KwaZulu-Natal accounts for a substantial portion of buyers, the development has also attracted interest from Cape Town and Johannesburg.
It has also seen demand from international markets, including the United States, the United Arab Emirates, and the United Kingdom.
Bahari Bay head of sales and communications, Ntando Lurwengu, said the interest reflected growing recognition of the KZN South Coast as an investment destination.
“The South Coast has enormous potential, and the interest we’re seeing from buyers locally and internationally suggests that this is increasingly being recognised,” he said.
“The R3-billion commitment of Bahari Bay reflects our confidence in the region’s future. It’s an investment in residential development, infrastructure and the longer-term economic opportunities that come with bringing new residents and capital into the area.”
Available plots will start at R1.25 million
The development is also expected to support employment during and after construction.
At peak construction periods, between 450 and 650 jobs are projected, with most workers expected to come from the local Ugu District Municipality labour pool.
These positions will include site management, skilled artisans, general labourers, subcontractors, landscaping workers and materials suppliers.
Once the estate is fully occupied and operating at its planned capacity, an additional 395 to 580 direct employment opportunities are projected.
These will include jobs in household services, security, groundskeeping, maintenance, apartment services, clubhouse operations and estate management.
Lurwengu said the employment impact would extend beyond the construction phase, as a new residential community would create ongoing demand for local goods and services.
Property prices have also increased as the development progresses. Phase One plots were initially marketed from R460,000, although none remain available at that entry-level price.
Stands in Phase Two now start at R1.25 million, due to differences in plot values across the development.
The investment comes as KwaZulu-Natal seeks to attract more private-sector capital beyond its traditional economic centres.
Lurwengu said the South Coast’s coastline, established communities and natural surroundings provided a foundation for further investment, particularly as new developments and infrastructure improve the region’s appeal.
Photos of Bahari Bay
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