R380m earmarked for Liberty Midlands Mall upgrade
Liberty Midlands Mall in Pietermaritzburg is in for a R380 million commercial transformation, and its owners, The Liberty Group hope to see the development of a new lifestyle centre, including retail and office components, adjacent to the existing mall.
Not only will the expansion strengthen the centre’s positioning in the area, but the improved retail offering will boost the mall’s ability to differentiate itself. Upon completion, the extension will increase the entire complex floor space by an additional 19,000m² to a total GLA of over 75,000m².
Liberty Properties has been awarded the mandate to develop the undertaking on behalf of the property owners.
Commenting on the project, Graham Kusano, Divisional Director: Property Development at Liberty Properties says, ‘The exciting new lifestyle extension is attracting new brands and specialist stores not currently available in the area as well as giving existing retailers the potential to expand’.
The project will also strengthen the existing centre’s mixed use offering by introducing an office component through the addition of a two-storey office block.
This is the third phase of Liberty’s vision for Liberty Midlands Mall. ‘From the time the complex opened its doors some ten years ago, it quickly established itself as the leading retail facility in the KZN Midlands region,’ Kusano says. The addition of the Stay Easy Hotel in 2010, brought a new dimension to the complex with a shift away from a strictly retail driven offering.’
Amelia Beattie, Chief Investment Officer of STANLIB Direct Property Investments, the asset manager for Liberty Group comments, ‘This significant investment emphasises the viability of this asset in the KZN interior. We consider Pietermaritzburg a stable commercial environment with good economic growth predicted in the future. The expansion project is in line with Liberty Group’s strategy to augment their existing world class retail developments with mixed use offerings to create a landscape for optimal success’.
With this new phase, the asset manager has targeted to achieve a 4-star SA Green Rating to improve cost efficiencies in line with the long term strategy of the portfolio.
An additional R4.2 million will also be invested in upgrading the immediate road infrastructure, to improve traffic flow and reduce congestion to the mall and surrounding area.
In addition to the redevelopment there will be the introduction of a new paid parking system, including 24/7 CCTV coverage and patrols in early 2014.
Construction of the Phase 3 is planned to commence in early 2014 and the development is anticipated to be completed by mid-2015.