Sharika Regchand
BILLIONS of rand in investment were in the pipeline for Pietermaritzburg, ranging from a private hospital to a hotel and shopping centres, a report handed yesterday to the Msunduzi municipality executive committee revealed.
But it was not all good news.
David Gengan, manager of investment promotion for the municipality, said the city’s second-largest shopping centre, the Greater Edendale Mall, was suffering. The R300 million development opened its doors in October 2011 and was expected to serve as a catalyst for development in the area.
Just more than a year down the line, businesses were packing up and leaving.
The centre has space for more than 100 tenants. National retailers included Shoprite, Pick n Pay, Truworths, Edgars, Markhams, Jet, Legit, Mr Price, Vodacom, Cell C, Chicken Licken, Hungry Lion, Spur, McDonald’s and Steers.
Gengan said that concerns had been raised by the existing tenants about 16 vacant shops.
“The viability of the development has been severely compromised.”
A consultant had been appointed to survey why people were not shopping there.
Pietermaritzburg shoppers who spoke to The Mercury for an earlier article said it was cheaper to take a taxi to town than to the mall, which was why they preferred to shop in the city centre.
Gengan also briefed the council on the 17 development projects that the municipality was currently dealing with, and their status. Revised drawings were completed for the R300-million Edenvision private hospital development, and the sale agreement for the land was being amended, he said.
The phase three expansion of the Liberty Midlands Mall had been delayed as the rates clearance certificate had been held up because of outstanding rates.
However the construction of the Hayfields Hotel and the Freedom Square Tourism Hub was under way.
