Whetstone Business Park near King Shaka International Airport is developing at a pace with construction commitments worth R6-billion. Co-developer Gavin Strydom says the 815 000m² commercial and industrial property project is a key part of the broader Dube aerotropolis precinct. Suren Naidoo reports.
The King Shaka International Airport and adjacent Dube TradePort has spurred a development boom on the KZN North Coast. But back before it was all a reality, one of KZN’s leading property entrepreneurs envisaged a mega development on land near the new airport.
Strydom was part of the Grinaker consortium which unsuccessfully tendered to build the airport, but the upside was great insight into the catalytic project.
“I knew the site development plans and the road layouts, and became interested in where the proposed airport drive was to intersect with the R102, which connects a whole lot of little towns like Tongaat, Verulam and Phoenix north of Durban.
“I thought if I discovered where that intersection was going to be, that the piece of land next door might end up eventually being quite valuable. I recall driving around on a Sunday with my wife and sister, and we eventually interpolated where this intersection was going to be. It was a bit of guesswork at the time, but educated guesswork.
“I looked across the road and said to my sister – who worked for me at the time – to please visit this farmer and see if he was perhaps interested in selling the farm.”
It turned out the farmer was a chartered accountant who thought Strydom was paying too much.
“I told my partners at the time that if the airport did not materialise, I would build some low-income housing and at least get our money back.
“But, I also said to my partners that if the airport did go ahead, we would stand in good stead with this farm. It was about 330 000m², or 33-hectares.
“Six months later the airport was announced, the ‘go ahead’ was given, and I remember receiving a call from the former owner who said to me: ‘Gavin, my boy, I think you have vision. I must congratulate you’.”
Strydom’s property partners are well-known Durban businessmen Yunus Akoo, who owns Mercedes-Benz franchises, and Rafik Mohamed, the owner of Pro Roof Steel and numerous other companies. The three are equal partners in a property business that is 15 years old.
“We’ve grown our land footprint for Whetstone Business Park. That farm was the first piece of land we bought – which we call phase one – and we’ve subsequently bought three neighbouring properties. Together these land footprints come in at about 815 000m², but we’re hoping to reach a million square metres.
“For phase one, the infrastructure and bulk services are already in place. The roads are all in, the platforms are all cut. It’s 100% done. For phase two, the infrastructure and platforms are about 60% done, and we are still to develop open ground on phases three and four.
“Being next to the airport – a national key point – we immediately benefit from security measures in the area. During the July 2021 riots, the airport was heavily secured by national and local governments, with a major presence of police and army.
“Another very important factor is that the road network around King Shaka – especially prior to the World Cup – was all upgraded.
“The aerotropolis is the future of Durban. It’s a massive precinct that will be bigger than uMhlanga, and will have shopping centres, universities, schools, residential components, a lot of educational facilities, warehousing and retail. An entire city – which is where everyone will ultimately be wanting to be. To me it’s the future of Durban – and we are the first private property developer to develop in this precinct.”
Strydom has secured top tenants, including Boxer Cash & Carry which will build a distribution centre on an 82 000m² platform. Frimax Chips have purchased an 80 000m² site. There will be a Shell petroport on 12 000m² – this will include truck stops, tyre-fitment centres, and mechanical repair shops. Strydom expects the completion date to be around 2027.
An aerial impression of phase 1 of the development. Supplied.
Strydom’s views on challenges and opportunities
I am very bullish about the prospects for property in Durban because the city is under-developed. Compared to Cape Town or Johannesburg, Durban is the poor cousin which clearly needs more tourism and recreational attractions.
As a developer, this is definitely the place to be. There are opportunities here, and areas that can be improved. The Department of Environmental Affairs is processing its affairs efficiently, however the city processes are still horrible, with the different departments not speaking to each other. With regards to the forums, we don’t tolerate extortion. We are happy to give people opportunity, but we have standards. There is no free ride.
Gavin Strydom
Gavin Strydom is KZN born and bred. He studied quantity surveying at the University of Natal, and also has a project management qualification. He worked in the construction industry after university for Hulsen Morgan and Verbaan for about five years before joining JT Ross.“My dad operated a very small building company in Pietermaritzburg called Edstan.
I convinced my dad to come from Pietermaritzburg to Durban. We ran with this construction company and opened up a small development division, which just grew and grew. My dad’s end-product was phenomenal – the quality, the whole concept of delivery ‘on time and within budget’.
“We had very good people like Yunus Akoo, whom my dad used to work for, and who eventually became my partner in development. From that point, the business grew exponentially to where we are now.”
*Note: Suren Naidoo is the Deputy Editor of Moneyweb where this story first appeared.