JSE-listed real estate investment trust Growthpoint Properties has started construction of its new 36 830 m² multi-tenanted logistics park, named Tecoma Park, in the rapidly emerging Cornubia Town economic hub, in KwaZulu-Natal.

The R392-million development is part of its continued investment in the logistics sector and forms part of its capital allocation strategy that prefers to make investments in the country’s stronger-performing coastal metros.

Scheduled for completion in 2027, Tecoma Park will provide A-grade logistics space next to Cornubia Mall, in Cornubia, 12 km from King Shaka International Airport and 21 km from Durban Harbour.

It provides direct access to major arterial routes, surrounding industrial precincts and key transport infrastructure, thereby enabling fast and reliable movement of goods across the region and beyond.

“The Tecoma Park development responds directly to escalating demand for modern logistics and warehousing facilities in KwaZulu-Natal, amid a well-documented shortage of suitably sized, high-specification units.

“It is set to become a flagship industrial asset in our portfolio, aligned with our strategy of investing in modern, well-located logistics properties,” says Growthpoint head of asset management for logistics and industrial property Jason Reeves.

The development will comprise eight flexible units ranging in size from 2 790 m² to 5 264 m², with the ability to combine adjoining units to create larger units of up to 10 000 m² in response to tenant needs and to accommodate a range of logistics and warehousing users.

It will feature contemporary industrial architecture that is suited to high-performance operations, and the units will offer generous internal heights and efficient loading configurations, with both dock-leveller and on-grade access, Growthpoint says.

Each unit will include an integrated office component, modern façade treatments, cantilevered canopies over loading doors and high-quality internal finishes.

Further, the park’s masterplan ensures clear separation between industrial operations, vehicle movement and office activity, which improves efficiency and on-site safety. Dedicated truck circulation routes, optimised yard depths and well-planned staff and visitor access points will support smooth traffic flow across the precinct, it says.

Solar PV will be installed across the roofs of the units and will be elegantly screened. The facility will also include energy-efficient lighting systems, hot-water heat pumps and building forms that maximise natural light to reduce energy consumption.

The park will be set within landscaped green spaces that enhance the overall working environment, Growthpoint adds.

“As a future-focused logistics destination, Tecoma Park will provide modern, efficient and environmentally responsible facilities tailored to the evolving needs of next-generation occupiers,” says Growthpoint Properties South Africa CEO Estienne de Klerk.

“This development reflects our confidence in logistics assets that are well-located, future ready and demand-led, and our conviction in KwaZulu-Natal’s property fundamentals,” he says.

KwaZulu-Natal continues to demonstrate robust property fundamentals, particularly in key nodes that offer strong connectivity and long-term growth potential. Demand is driven by the ports, airport and logistics infrastructure, as well as growing consumer markets, says Growthpoint KwaZulu-Natal regional head Greg Worst.

From a regional perspective, Growthpoint continues to see strong tenant demand for well-located, modern space.

Growthpoint’s R8.6-billion KwaZulu-Natal property portfolio spans 560 000 m² of gross lettable area across more than 50 logistics, office, retail and healthcare assets.

“KwaZulu-Natal remains a core investment region for Growthpoint. Our portfolio in the province consistently delivers exceptionally high occupancy levels, underpinned by sustained tenant demand across all sectors, which gives us the confidence to keep deploying capital in the province in line with our strategy,” says De Klerk.

Growthpoint is currently investing about R1.5-billion in various developments and value-add redevelopment projects in the region, including Tecoma Park, which are already under way or will start soon.

This also includes the R800-million purpose-built student accommodation development adjacent to the Howard College Campus of the University of KwaZulu-Natal in Berea.

Growthpoint’s domestic strategy is to increase portfolio weighting towards sectors and regions expected to deliver better growth over the longer term.

For sectors, it is specifically targeting logistics and retail property and, when it comes to regions, it is focusing on its portfolios in key coastal metros, including in KwaZulu-Natal and the Western Cape, De Klerk says.