Area to experience growth with new development

2017-04-12 06:01
 Photo: suppliedKingsburgh Development Park, site location.

Photo: suppliedKingsburgh Development Park, site location.

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THE Kingsburgh area will experience an exceptional level of growth over the coming years.

The national government has cemented its commitment to the development of the area, which is supported by large-scale private enterprises such as Toyota, Man and Volvo. The most recent announcement is the development of a R11 billion KZN Automotive Supplier Park.

Government organisation, Dube Tradeport, has bought 1000 ha in Illovo for the proposed KZN Automotive Supplier Park.

The park will primarily serve the Toyota car manufacturing plant in Prospecton, being a centralised hub for companies called original equipment manufacturers (OEM) supplying Toyota with products that make some of their end product.

Local developer, Len Brown, submitted to the Amanzimtoti Fever a progress report on the park following a meeting between Dube Tradeport and Durban Automotive Cluster, issued by the CEO of Dube Tradeport, Hamish Erskine on March 14.

According to the report, the land purchase occurred in February 2016 and a Memorandum of Understanding (MoU) was reached with DTPC and Environmental Affairs (EDTEA) in July 2016. Construction Phase1 (Key priority tenants and requirements is to commence July 2019 and site availability for February 2020 and full operation by December 2020).

“This world class benchmarked facility will aim to lower costs of both inbound and outbound good and distribution efficiencies. Road network design will support all types of articulated road vehicles and provide ample turning circles for ease of access to the tenants,” Brown stated.

“The automotive park will see the relocation of over 50 companies that need to be close to Toyota. It will provide an economic boost for our town that will see the demand for properties increase. In a nutshell, there is no large development land available in the area, except at the back of Amanzimtoti.

“In a sense we are boxed in, with further development of residential areas restricted. All these companies and staff will relocate to the area, which will result in a shortage of housing.

“We need to market our town and our estate agents should assist,” Brown said.

He said besides this spin-off, there is also the obvious employment opportunities that will go along with the development.

Brown, a veteran property developer, developing properties in the Durban South region for 45 years has also bought a 70 000m2 site, adjacent to extensive residential zones that will serve as the gateway to the planned KZN Automative Supply Park development.

“The development is designed to build about 200 mini factories, similar to Southgate Industrial Park. The ideal development proposal may be a combination of facilities, encompassing a variety of options from smaller light industrial units, to large warehouse unit, commercial offices and transport and logistics facilities,” Brown said.

He said the scale of the planned development in the immediate vicinity of the project will lead to a substantial escalation in local property prices in the short term and this will serve to substantially improve returns.

“The proposed project also offers the potential to promote the development of local SME’s and further to create jobs in the local communities.

“The development could be completed in a short time-scale and interest in the project is assured by the scarcity and demand for commercial and industrial in the local area,” Brown stated.


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