Investec Properties, a subsidiary of the investment banking giant, has secured a vast new logistics warehouse for Naspers-owned e-commerce group Take-A-Lot, which is being developed at a new R6 billion logistics park in Durban.
The Brickworks development is Investec's largest real estate project currently underway in the South East, and is being built on a 157-hectare site in Avoca, close to the Riverhorse Valley area, which was one of the areas hardest hit by the 2021 KZN riots.
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However, Investec is proceeding with the development based on strong demand for logistics and industrial real estate in the state, which is home to the largest container port in the southeast.
“As South Africa's largest e-commerce provider, Takealot Group's investment in a new distribution center at The Brickworks is poised to create thousands of jobs,” Investec said on Thursday. This was stated after the launch event.
It added: “The Brickworks' investment in industrial development will position the greater KwaZulu-Natal region as a center of economic growth.”
This sentiment marks a remarkable vote of confidence for a state that has been hit not only by the fallout from COVID-19 several years ago, but also by the triple whammy of riots in July 2021 and devastating floods in 2022. represents.
The latter two events caused billions of rand of damage to both property and infrastructure in Durban, Pietermaritzburg and other parts of KZN.
“The Brickworks Business and Logistics Park is being developed on the former Kolobrik factory site in the region and is located on one of the last remaining reclaimed sections of the rapidly expanding northern corridor of the eThekwini metropolitan area.” Bestec Properties said.
“This development has received enthusiastic support from eThekwini [Municipality] It aims to transform the region into one of Africa's leading logistics hubs and will play a key role in optimizing the state's supply chain potential.
“The site is strategically designed to deliver higher efficiencies, foster a more connected economy in the country and foster direct growth for KZN,” it added.
catalyst project
“Our collaborative partnership through eThekwini's innovative City 'One Stop' Catalyst Projects unit has enabled us to unlock this strategic site,” said David Rosmarin, co-CEO of Investec Property.
“Brickworks’ prime location will facilitate the flow of Southern African trade through the region,” he added.
According to Investec Property, the first phase of the Takealot logistics center development will cover approximately 43,000 square meters.2plus 20,000 meters2 Reserved for future expansion.
In total, the development of the 157-hectare logistics park is expected to involve an investment of R6 billion over the next 10 years.Image: from www.thebrickworks.co.za
“As a proudly South African company, our investment in KZN reflects our vision to support our fellow South Africans and boost the economy through job creation and market access for small and medium-sized businesses,” said Takealot Group. Executive Chairman Mamonge Mahlale said.
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Takealot's expansion comes ahead of US e-commerce and technology giant Amazon's plans to launch an online retail operation in the SA market later this year.
“Our new facility will enhance same-day and next-day delivery and collection capabilities for Takealot shoppers in and around the KZN region. I believe this will be important in raising the bar,” Mahlale said.
Read: Amazon to enter SA in 2024
Speaking at the Takealot development launch on Wednesday, eThekwini Mayor Mxolisi Kaunda said: This is the story of two of our country's top companies' efforts to create value and create value in the future. ”
He added that it was great to see South African brands proudly choosing to invest in and operate from the “connected spaces” being created as part of new developments.
“This business and logistics park has been confirmed as an economic enabler not only for our region but also for the wider South African market.”
safety
Meanwhile, Rosmarin said Take-A-Lot's state-of-the-art distribution center is equipped with environmental and energy-saving technologies, as well as the highest security features.
“Brickworks tenants are protected by an integrated security ecosystem consisting of intelligence, layers of security infrastructure barriers, the latest technology, and personnel on the ground.
“A highly skilled security management team has structured the operation into a variety of optimal and effective crossing forces, and the district commanders have SAPS and military experience,” he explained.
He said more than 60% of the users for the first phase of The Brickworks development have been secured by Investec Properties, with negotiations ongoing for the majority of the remainder.
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