A partnership between the Passenger Rail Agency of South Africa (Prasa) and Eris Property Group will see to it that more than 3 000 students in Cape Town will have a place to live in 2024.
Also read: Affordable housing for over 1000 residents coming to Goodwood
The R1.4 billion co-investment development of the Cape Town station includes the construction of student accommodation with 3 200 beds for NSFAS-eligible students. The project also includes the redevelopment of the 7 000 square metre retail precinct to improve foot traffic and commuter experience.
Prasa Group CEO Hishaam Emeran told TimesLIVE that the Cape Town station development is the first-ever co-investment for Prasa. ‘Prasa is pleased to announce the project is 88.8% complete, with the first intake of students expected from February 2024 and the retail precinct expected to be complete in November 2023. It is set to make a welcome contribution towards student accommodation in the City of Cape Town.’
The intergrated of transport , student accommodation and retail currently underway at Cape Town station . The future is here . #Propertydevelopment pic.twitter.com/RoBwOQvAJj
— PRASA Group (@PRASA_Group) February 7, 2023
‘This mixed-use property development of the Cape Town station is one of the examples in which we are repositioning our stations as places where people can live, work and play while creating transit hubs to enhance the passenger and customer experience,’ says Annette Lindeque, CEO of Intersite Prasa’s asset investment company. ‘We expect to conclude similar investment agreements soon to bring in private property developers while unlocking value for Prasa, thereby fulfilling our secondary mandate.’
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Furthermore, Prasa established a separate social housing project near the Goodwood Train Station. The company collaborated with other agencies to build 1 055 units. The first phase cost about R575 million. According to Emeran, the Goodwood station social housing project is ‘almost 70% complete for phase one and will see more than 1 000 residents of the City of Cape Town take advantage of this low-cost housing opportunity by the end of October 2023.’
‘This historic joint social housing development initiated by Prasa and signed by Prasa’s investment vehicle, Intersite Investment, will see 1 055 social housing units built near the Goodwood station on Prasa-owned property. The project is developed by DCI Community Housing Services and co-funded by the Social Housing Regulatory Authority and the Infrastructure Fund, among others, and the City of Cape Town. Once complete, the development will be boosted by [the] construction of a 5 000 square metre retail facility on the station deck. The second phase is expected to be complete in 2024.
‘This project demonstrates the importance of cross-sector collaboration and public sector partnerships in generating socioeconomic and commercial value. It also demonstrates the role Prasa can play in urban development by encouraging commercial and residential development near transit hubs.’
Prasa’s secondary mandate, which is executed by its property division, Prasa Corporate Real Estate Solutions (CRES), as well as its special purpose investment vehicle, Intersite Asset Investments (Intersite), comprises real estate investment, developments and urban telecommunication.
‘Prasa CRES owns and manages rail stations, retail spaces at its stations, offices, residential spaces and land, making Prasa one of the largest intermodal transport landlords in South Africa. Secondary mandates include the leasing of property and co-investment on developments to ensure market-related returns are generated from these assets.’
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Picture: @PRASA_Group / X