The V&A Waterfront is considered one of the most valuable areas in South Africa, generating over R11 billion in retail sales in 2025, which works out ot just over R30 million a day.
The Waterfront was established in the mid-19th century. It is named after Queen Victoria and her second son, Prince Alfred, who initiated the construction of Cape Town’s harbour in 1860.
At the time, Cape Town served as an important stopover for ships travelling between Europe and the East, but the harbour was exposed to severe winter storms, leading to frequent shipwrecks.
To improve safety and capacity, the British colonial administration developed a breakwater and two harbour basins.
The Victoria Basin was completed in 1869, followed by the Alfred Basin in 1905. These developments established the harbour as a key component of South Africa’s trade, fishing and naval infrastructure for much of the 20th century.
In 1988, Transnet, then operating as Portnet, established the Victoria & Alfred Waterfront Company to redevelop the historic docklands into a mixed-use precinct. This marked the beginning of the modern V&A Waterfront.
A major ownership change took place in 2011, when Growthpoint Properties acquired a 50% stake in the V&A Waterfront, with the Public Investment Corporation holding the remaining 50% on behalf of the Government Employees Pension Fund.
The transaction, valued at approximately R9.6 billion, was the largest single property deal in South Africa at the time. Since then, the precinct’s value and income have increased steadily.
Today, the V&A Waterfront supports more than 83,000 direct and indirect jobs and contributes over 1.5% to the Western Cape’s GDP.
Announcing the precinct’s latest milestones, V&A Waterfront CEO Graham Wood said the numbers point to a resilient and growing neighbourhood.
“We welcomed 25 million visitors in 2025, matching the previous year despite significant development, construction and infrastructure upgrades across the precinct,” Wood said.
“Even without the completion of our luxury retail wing, the V&A achieved more than R11 billion in retail sales in 2025, up 7%, another year of excellent growth.”
Massive growth expectations
Wood, who took over as CEO this year, brings experience from senior roles at Sun International, Tsogo Sun and Valor Hospitality Partners in the US.
He noted that 2025 ended with a New Year’s Eve celebration livestreamed by global internet star IShowSpeed, whose broadcast drew more than 47 million views.
“This was incredible exposure for the V&A, Cape Town and South Africa,” Wood said. The reopening of the InterContinental Table Bay Cape Town in December, following a 10-month conversion, added further momentum.
“Demand across our 13 hotels remained robust over the festive period, with December occupancies a healthy 69%, reinforcing the V&A Waterfront’s strength as a global tourism destination,” Wood said.
Looking ahead, he said 2026 will be marked by the opening of the long-awaited luxury retail wing, along with the launch of the EDITION, Cape Town hotel in the third quarter.
“It will deliver a new benchmark in contemporary luxury, interfacing seamlessly with our new superyacht basin scheduled to open in October,” he said.
Cruise tourism is also playing a growing role. In 2025, the Cape Town Cruise Terminal welcomed 74 vessels, 126,000 passengers and 45,000 crew.
“Despite the short-term impact of geopolitical developments on cruising, there is long-term growth potential in the cruise market,” Wood said.
He added that Cape Town’s global profile continues to rise, supported by strong international air access and collaboration between government and industry.
“Tourism is a key economic driver, contributing 9% of GDP and supporting about 1.8 million jobs,” Wood said.
“The V&A is proud of its leading role in the sector, and we confidently expect 2026 to be another year of growth, with benefits for jobs, small businesses, and the economy.”
The V&A Waterfront in photos
