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Park Square: New R1bn Umhlanga development

Park Square: New R1bn Umhlanga development

Date: 2016-12-09
Last week Wednesday at the plush Oster Box Hotel, Nedbank announced that it has committed to investing R1bn into a new mixed-use office and retail development in Umhlanga, KwaZulu-Natal, which is currently under construction.

Theiconic Park Square development, which is located in the fast-growing Umhlanga Parkside node adjacent to CJ Saunders Park and opposite the Gateway Theatre of Shopping Centre, will have a 4-Star Green Star Design and As-Built rating and will serve as one of Nedbank Group's flagship campuses in KwaZulu-Natal.

According to Anand Joseph, Divisional Executive: Nedbank Corporate and Investment Banking Property Finance in KwaZulu-Natal, the bank's R1bn investment in the Park Square development project is further demonstration of its confidence in KwaZulu-Natal as a vital commercial and retail hub for South Africa. "In addition to creating temporary and permanent employment opportunities for many people from surrounding communities," explains Joseph, "Park Square reinforces the seriousness with which Nedbank takes its responsibility to playing a vital part in the ongoing growth and development of South Africa's economy."

Once completed, Park Square will offer 40000m2 of Gross Lettable Area (GLA) of which 4000m2 will be for retail usage, while the remaining 36000m2 will be commercial space, 18000m2 of which will be A-grade offices. Around 50% of the office componentwill be occupied by Nedbank itself which, according to Joseph, is evidence of the bank's confidence in the economic viability of the development and its willingness to 'put its money where its mouth is' when it comes to taking a position on the positive future economic prospects for KwaZulu-Natal.

"We believe that there is immense long-term value to be unlocked for businesses that invest in KwaZulu-Natal, and we are committed to leading by example in this regard," he says, "what's more, the recent establishment of a presence in the Umhlanga area by many large businesses has steadily increased its desirability as a commercial base, so Park Square gives Nedbank the strategic opportunity to own its space in this fast-growing business node."

Importantly, Park Square offers businesses and retailers a choice of leasing their desired space, or buying it via a sectional title agreement. Joseph explains that this is one of the key ways in which Nedbank is working to catalyse economic growth in the area. "This is a sought after office and retail location, but the opportunity to own space here has largely only been available to very large institutions," he points out, "however, Nedbank is working to change this by making it possible for any business to put down secure roots in a premium business node, by owning their Park Square space."

Development of the prestigious Park Square has already started with occupation scheduled for the fourth quarter of 2018. Nedbank estimates that a labour force of approximately 600 employees will be employed during the construction of the buildings, while permanent employment opportunities will result from post-construction management and maintenance of the facilities.