R207m new look for Randburg Square Mall

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Randburg Square Mall situated in Randburg CBD has undergone a complete overhaul and has received much needed facelift from the owners, Vukile Property Fund‚ increasing footfall 20% in the last quarter of last year. Randburg Square Mall situated in Randburg CBD has undergone a complete overhaul and has received much needed facelift from the owners, Vukile Property Fund‚ increasing footfall 20% in the last quarter of last year.

The famous Randburg Square Mall situated in Randburg CBD has undergone a complete overhaul and received much needed facelift from the owners, Vukile Property Fund‚ increasing footfall 20% in the last quarter of last year.

A total capital investment of approximately R207-million was poured into the upgrade project which was carried out in three phases, in which the centre management believes that the development will eventually translate into a future positive economic growth.

Other new features that make the new look of Randburg Square Mall appeal to shoppers and visitors alike, include bigger walkways, new flooring, enhanced lighting and reconfiguration of central areas and some of the stores.

Launched in the late-1970s as Sanlam Centre Randburg, the retail areas had long been in need of an extensive revamp to enable the centre to successfully compete with contending centres that have since been developed in the catchment area.

Johannesburg Stock Exchange listed property loan stock company, Vukile Property Fund, which owns the 35 818 square metre mall says that all the latest developments are just the good news that both investors and stakeholders have been waiting for.

"The design process has enabled us to attract 23 new retail stores that allow us to cater for our diverse shoppers who are in love and visit the mall. We expect a high surge in new entrants to the city of Randburg because of the fresh and new look appeal brought by the upgrade," says Vukile Chief Executive Laurence Rapp.

The scope of work carried out includes upgrading of the main entrance at the food court, and the escalators connecting the two shopping levels have been realigned to allow easier flow from the entrance into the centre. This has also created more space for the new banking mall on the lower level. First National Bank, an existing tenant, has relocated to this area while Nedbank, a new tenant, has also started trading here.

There has been a major improvement of all mechanical, electrical and fire safety systems, including the implementation of green energy saving measures wherever possible. The public toilets have also been upgraded aesthetically. Modern alterations were made to the main entrance from Pretoria Street as well as the secondary entrances located along the pedestrian promenade in Hill Street.

Jaco Nel, an executive at JHI Project Management and project manager in charge of refurbishment in the centre says the upgrade has allowed them an opportunity to have a mixture of tenants in the city centre to add value to the shopping experience of those used to the centre and to visitors.

The mall has a large sphere of influence due to the taxi rank close to the centre that mainly services Diepsloot, Randburg, Soweto, Cosmo City, Kya Sands, Alexandra, and Kagiso. There are also households within a two kilometre radius of the centre, in areas such as Blairgowrie, President Ridge, Fernridge, Kensington, Bordeaux and Hurlingham Manor. With an average foot count of over 800 000 customers per month, the mall plays host to commuters, professionals, families and friends.

The local authority, together with property owners, has in recent years upgraded the public facilities in the surrounding area and made improvements to the traffic flow.  The new Gautrain bus route and the incorporation of the Randburg CBD into the Bus Rapid Transport system have further improved access to the area.

Vukile’s diverse property portfolio is worth about R10bn. It is about 53% retail-focused‚ while 10% is let to central government departments and 3% to a hospital. About 11% is industrial and the balance is office space.

Last year‚ in terms of the empowerment deal‚ Vukile restructured so as to have more than 20% empowerment ownership. This was done through Vukile completing a R1.04bn deal that saw it acquire four government-tenanted properties from the Encha investment group.

Vukile declared a 5% distribution for the six-month period to September 2013 in its most recent financial results. This was below the industry average of about 7% for that period.

However‚ Mr Rapp has said the improved portfolio following the Encha deal means distributions will improve next year.


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