{"id":829583,"date":"2025-06-26T17:00:34","date_gmt":"2025-06-26T15:00:34","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=829583"},"modified":"2025-06-26T17:00:38","modified_gmt":"2025-06-26T15:00:38","slug":"new-r1-billion-luxury-hotel-coming-to-cape-towns-crown-jewel","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/property\/829583\/new-r1-billion-luxury-hotel-coming-to-cape-towns-crown-jewel\/","title":{"rendered":"New R1 billion luxury hotel coming to Cape Town’s crown jewel"},"content":{"rendered":"\n

A massive new R1 billion luxury hotel is coming to the V&A Waterfront in Cape Town, which continues to see a massive inflow of businesses, shoppers and international tourists.<\/p>\n\n\n\n

In an operational update for the nine months ended March 2025, Growthpoint said that the development of the luxury Quay 7 hotel is progressing.<\/p>\n\n\n\n

The new hotel, which will comprise 142 keys, is anticipated to be completed by March 2026.<\/p>\n\n\n\n

Although further details on the development remain limited, Moneyweb <\/a>reported that the new development is likely to be an Edition Hotel, part of Marriott International’s international offering.<\/p>\n\n\n\n

Although it has remained tight-lipped on the development, Growthpoint said the hotel’s development cost is around R1 billion.<\/p>\n\n\n\n

Images from property expert Ash Muller also show that the development is progressing rapidly, with the V&A Waterfront continuing to be a significant asset for Growthpoint.<\/p>\n\n\n\n

Growthpoint is South Africa’s largest real estate investment trust and owns 50% of the V&A Waterfront alongside the Public Investment Corporation (PIC), South Africa’s largest asset manager.<\/p>\n\n\n\n

Growthpoint’s latest development showed that earnings before interest and tax (EBIT) at the V&A Waterfront grew by 23% compared to the same nine months in 2024.<\/p>\n\n\n\n

This was driven by a full period of office rental from Investec Limited and the inclusion of The Portswood and The Commodore Hotels, now owned by the V&A.<\/p>\n\n\n\n

Growth in EBIT was also supported by increased retail sales, which boosted turnover-based rental income.<\/p>\n\n\n\n

Retail sales grew by 5%, even if this was slightly muted due to the exclusion of Easter holidays, which fell in April this year, and a reduction in sales of 2.5% while the Luxury Mall is under development.<\/p>\n\n\n\n

Over a year, visitor numbers reduced by 2% as shopping habits continued to shift alongside the rise of online grocery sales. Total footfall still, however, stood at 24.5 million.<\/p>\n\n\n\n

Tourism growth remained steady over the year to 31 March 2025, with international passengers arriving at Cape Town International Airport increasing by 6% and domestic arrivals increasing by 4%.<\/p>\n\n\n\n

Hotel demand remained strong, supported by tourism and events. Average daily rates increased by 16% compared to last year.<\/p>\n\n\n\n

The office space continued to perform well, with strong demand and zero vacancies contributing positively. Considering South Africa’s troubled office sector, zero vacancies is highly commendable.<\/p>\n\n\n\n

The marine and industrial sector also saw improvement, driven by increased demand for casual berths and heightened cruise terminal activity.<\/p>\n\n\n\n

The marine & industrial sector also saw improvement, driven by increased demand for casual berths and heightened cruise terminal activity.<\/p>\n\n\n\n

Images and renderings <\/h2>\n\n\n
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\"\"<\/a>
Source: Ash Muller<\/figcaption><\/figure><\/div>\n\n
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Source: Ash Muller<\/figcaption><\/figure><\/div>\n\n
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Source: Ash Muller<\/figcaption><\/figure><\/div>\n\n
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Source: Ash Muller<\/figcaption><\/figure><\/div>\n\n\n
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Other developments are coming <\/strong><\/h2>\n\n\n\n

On top of the Quay 7 hotel, Growthpoint noted that there are several other developments that have commenced or were at an advanced stage during the nine-month period:<\/p>\n\n\n\n

    \n
  • The Union Castle Building (GLA of 2,678 sqm) was successfully reopened in December 2024, now home to a flagship Nike store and the highly anticipated Marble restaurant.<\/li>\n\n\n\n
  • Development commenced on the 3,759 sqm new luxury wing in the Victoria Wharf, with all space committed.\n
      \n
    • It is due to open between December 2025 and April 2026.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
    • The desalination plant was successfully commissioned and has been operational since mid-March 2025, generating 3.3kl of water daily.<\/li>\n\n\n\n
    • The Table Bay Hotel closed at the end of February 2025 for a major refurbishment and conversion to a 306-key hotel.\n
        \n
      • The hotel, owned by the V&A, will operate under a franchise agreement with InterContinental Hotel Group and be managed by Sun International. Reopening is scheduled for December 2025.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
      • Construction of the 5 Dock Road residential apartments commenced during the period, with completion expected in November 2025.\n
          \n
        • The strong demand is reflected in the 90% presales already achieved.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n

          The development pipeline is being funded via a combination of shareholder and third-party funding.<\/p>\n\n\n\n

          As of 31 March, the V&A had R3.75 billion in committed third-party facilities, including R3.5 billion in green loans. R1.16 billion was undrawn at the reporting date.<\/p>\n","protected":false},"excerpt":{"rendered":"

          A new luxury hotel is coming to the V&A Waterfront, with completion set for March 2026. <\/p>\n","protected":false},"author":95,"featured_media":829636,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12755],"tags":[12043,12567,2996],"class_list":["post-829583","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-property","tag-growthpoint","tag-marriot","tag-public-investment-corporation"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/829583","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=829583"}],"version-history":[{"count":6,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/829583\/revisions"}],"predecessor-version":[{"id":829668,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/829583\/revisions\/829668"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/829636"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=829583"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=829583"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=829583"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}