Developers behind what will be South Africa’s largest mixed-use residential development, aimed at denting the country’s housing backlog of 2.3 million, announced the project’s green light on Tuesday (August 26th) at the Fourth Affordable Housing Summit in Johannesburg.
Speaking on the first day of the three-day summit at Crowne Plaza, Nu-Way Housing Developments executive director Jordan Mann told delegates that the Coega Ridge development, adjacent to the Coega Industrial Development Zone (IDZ) on the outskirts of Port Elizabeth, had received the green light by the Department of Environmental Affairs.
This, he said, paved the way for town planning to commence on the “holistic housing development” which will, upon completion, boast 40,000 housing units catering for all tenure groups, including subsided, rental, affordable and high-income housing.
“This is all being planned in one area. We want to break the mould of what’s been done in the past where there is segregation based on income level,” said Mann. “As families grow, they won’t have to move out of the area.”
The project is roughly the same size as the township of Motherwell, which lies adjacent to the 3,200 hectare Coega Ridge site.
Phase one would include up to 2,500 housing units and could begin within 24 months, pending the approval of the project’s town planning and the cooperation of stakeholders, said Mann.
Planned to roll out over six to 10 years, the development has an overall value of more than R6bn. It will also include community facilities in addition to schools, a university, a technical college, a hospital, neighbourhood shopping centres, and a regional shopping centre spanning up to 110,000m², said Mann.
Also included will be a light industrial area, a railway station, office parks and a sports academy. An upmarket eco-estate with a golf course and a hotel are also in the pipeline.
The project will cut the Nelson Mandela Bay metro’s housing backlog of 87 000 units by roughly 40%. At the height of construction, Mann said up to 5,000 jobs per month would be created.
“This is our flagship project and one we are very excited to announce,” said Mann. “Coega Ridge will essentially be a new satellite city and will go a long way to alleviating the massive housing backlog in the region.
“The phenomenal growth of the Coega IDZ with projects in the pipeline like the PetroSA refinery is seeing a massive need for mixed-use housing in the area,” said Mann.
Nu-Way was established in 1986 and has developed over 65,000 subsided and affordable housing units around the country.