Cape Town - Against the sounds of an active construction site, Transport Minister Sindisiwe Chikunga’s Passenger Rail Agency of South Africa (Prasa) and private partners officially launched the final phase of its mixed-use development student accommodation and retail centre at Cape Town station.
For over a year, passers-by wondered about the large-scale development at the station, with a large section cordoned off.
Being an agency of the Department of Transport, Chikunga was present to officially open the final phase and deliver the keynote address to more than 200 people from within the rail and transport sector.
The R1.2 billion development with ERIS Property Group consists of student accommodation of around 3 200 beds for National Student Financial Aid Scheme-eligible students and a 7 000 square metre retail precinct.
Prasa group CEO Hishaam Emeran said construction on the site commenced in July 2021.
“In terms of completing the facility, the retail should be completed by the end of this year, we’re hoping by the end of November we should be able to see the retail being functional and then, as I’ve mentioned, the student intake will start from next year.”
In terms of student accommodation, there are a combination of two-bedroom, four-bedroom and limited single-bedroom units.
“Prasa has been involved in development opportunities. The one that we’re launching here is the first major public-private investment that we have dealt with in terms of rolling out student accommodation. You can see this is on quite a significant scale, 3 200 beds plus that we’re referring to.”
When questioned on the safety of the new project, Emeran said: “What we have done at Prasa, not only at this facility but in securing our assets both from operations as well as our buildings, we‘ve invested significantly in terms of upgrading our security.
“We have significantly more boots on the ground. We’re also deploying technology and this facility itself comes with its own security features.
“You would have seen the CCTV cameras – there’ll be security on site protecting the facility 24 hours.
“So that’s been taken into account in terms of the development, and Prasa rolling out its recovery programme.”
Emeran said it had been more than 10 years in the making in terms of planning, strategy and development.
Currently, there are a number of developments at stations across the country. This includes a further 20 developments for student and gap housing across the rail network.
The first phase of the R575 million Goodwood Station Social Housing project is over 70% completed.
The development will include 1 055 units on Prasa-owned land near Goodwood station as well as a 5 000m² retail precinct on the station deck. The second phase is expected to be completed in 2024.
Chikunga said: “Real estate investment and development, urban telecommunication, and more fall within Prasa’s secondary mandate, which is carried out by Prasa’s property division, Prasa Corporate Real Estate Solutions, and Intersite Asset Investments.
“To help defray the expenses of operating passenger rail, we are carefully attempting to conform to worldwide best practices. Prasa’s capacity to maintain its commitment to an economical, dependable and safe commuter train service is contingent on its ability to diversify its revenue streams beyond passenger fares.”