CAPE TOWN (7 November 2022) – Growthpoint Properties (JSE: GRT) has reduced industrial vacancies in its Western Cape portfolio to a low 0.8%, further confirming a discernible resurgence in the industrial property market.
“We are seeing an increase in asking rentals in the Cape Town industrial property market as stock levels fall,” reports Timothy Irvine, Growthpoint regional asset manager for the Western Cape.
Among Growthpoint’s most significant industrial leasing deals in the Mother City recently, it has signed leases with Meat Only at Greenfield Industrial Park and Pioneer Fishing for a Montague Gardens warehouse, each for some 7,000sqm.
Meat Only is focused on deboning, packing and distributing quality pork, and supplies many of South Africa’s biggest food brands and exports its products across the continent. The brand’s popularity was boosted during the pandemic when, in response to community wishes, it opened its first retail outlet store, which has been a huge success. It has since opened a second store and become a household name in its community.
Meat Only’s extensive search for the right premises led them to choose an innovative green space across two side-by-side units at Greenfield Industrial Park on a long lease. This quality, efficient and upmarket industrial park is designed to meet the needs of modern businesses, with a prime location in Airport Industria, near Cape Town International Airport.
Greenfield Industrial Park is a healthy and appealing working environment that is economical for occupants as a result of several green building features, including a rooftop solar photovoltaic (PV) installation. It is currently registered with the Green Building Council South Africa for its third green building certification, having previously achieved South Africa’s first Green Star SA certification for an industrial property and a net-zero carbon pilot certification. Its new green building rating should be received by mid-2023. The park features solar power, water-wise landscaping, waterless urinals and low-energy light fittings that complement its smart design, which uses natural light to save on lighting costs.
With Meat Only’s extensive refrigeration needs, power was a key consideration for its premises selection, making Greenfield Industrial Park an excellent choice. The new facility is focused on cold storage and warehousing but also includes a combined 600sqm of A-grade offices on the mezzanine levels of the units. For its cutting-edge cold-storage installation and intricate fit-out, Meat Only has prioritised compliance in all areas. Due to the complexity of the installation, it has taken considerable time to produce the final product, and the facility should begin operating before the end of 2022.
With its secure, central location, Greenfield offers Meat Only great transport connections, with good proximity to the N2 highway, superb visibility and prominent signage exposure. The premises has a dedicated entrance, and the large yard areas across both units allow excellent truck articulation.
One of the largest pelagic fishing companies in South Africa, Pioneer Fishing, has also signed up for industrial space with Growthpoint. Pioneer Fishing produces fishmeal and fish oil for local and export markets and has leased a storage warehouse in Chain Avenue, Montague Gardens, which is supported by an excellent yard area.
“Pioneer Fishing foresees operational improvements with the relocation to Montague Gardens through more streamlined logistics from the factory to port,” says Andre du Preez of Pioneer Fishing.
Montague Gardens is a well-established industrial area popular for its immediacy to Cape Town’s port and CBD and supported by excellent arterial road access via the N7 and N1.
“Cape Town’s industrial property market is distinguished by the fact that there is limited stock available. Existing Cape Town industrial areas are generally well located with access to main arterial roads, and new supply is limited, which is part of what is driving the popularity and pricing of this property sector in the region,” says Irvine.
Growthpoint makes space to thrive with innovative and sustainable property solutions. It is an international property company invested in real estate and communities in South Africa, across Africa, Australia, Poland, Romania and the UK. Growthpoint is 50% co-owner of the V&A Waterfront in Cape Town.
