The Township Retail Investment Summit (TRIS) 2024 event, held at Alex Mall, in Gauteng, highlighted the rising importance of township retail as a key driver for the country’s economic future.

Sponsored by financial services firm Nedbank Corporate and Investment Banking (CIB) and hosted by real estate investment trust Exemplar, the event highlighted that township retail has evolved from an overlooked market to a critical component of the country's broader economic growth strategy.

This is reflected by strong trading densities, very low vacancy rates and increasing demand from both national and local tenants who are looking for space in these centres.

"Exemplar's township malls, including Alex Mall, are part of a portfolio that has seen 8.9% like-for-like rental income growth. These centres continue to drive foot traffic and act as community hubs, highlighting the sustained demand for physical retail in these areas," Nedbank CIB said.

Nedbank CIB Property Finance has provided more than R32-billion of current funding to township, rural and non-metro retail projects.

Further, a highlight of the event was the Kasipreneur Competition, where township entrepreneurs pitched their ideas to industry experts. Winners, including Girl Boss Africa, Moko Originals and Afro Tribe Hair Studio, showcased the innovation within township economies.

This competition, which is a TRIS initiative, aims to spotlight and support emerging businesses in townships by providing them with a platform to gain visibility and connect with potential investors and partners, the companies said.

"The township retail economy holds immense untapped potential, and it is time for businesses to focus on finding solutions that address the unique challenges in these areas," said Kantar commercial growth director Stacy Saggers.

"By investing in infrastructure and empowering local communities, we can unlock growth and create meaningful impact where it is needed most," she added.

'We are proud to support TRIS 2024 as it aligns with our core values of promoting inclusive growth and sustainability," said Nedbank CIB Property Finance divisional executive Vanessa Murray.

"Retail in townships is crucial in addressing socioeconomic challenges and, through our funding, we have supported the growth in townships such as Soweto, Alexandra, Tembisa and Mamelodi. We see huge potential in the township economy and are excited about the opportunities ahead," she noted.

"Retail in township and rural areas has proven its resilience and potential. We are thrilled to see the growing recognition of township retail and the interest from corporate organisations," said Exemplar CEO Jason McCormick.

"We look forward to seeing this event continue to grow, highlighting the opportunities in this unique and dynamic part of the economy," he said.