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R585 million luxury development launching in major semigration hotspot in South Africa – BusinessTech

Giflo Property Developers and Som Group have formed a 50/50 partnership to develop the CapeGate Office Precinct, a new R585 million P-Grade commercial hub set to launch in Brackenfell in 2027.

The project emerges from Hyprop’s decision to grant two developers exclusive rights to construct the first premium office block in an area that has experienced consistent residential and retail growth over the past decade.

Michiel Scharrighuisen, Director of Giflo, said that CapeGate has become one of the busiest retail hubs in the northern suburbs, attracting customers from Brackenfell, Kraaifontein, Durbanville, and along the N1 corridor.

“The office block development is a direct response to the pressure of long daily commutes into Bellville and the Cape Town CBD,” said Scharrighuisen.

“Businesses are decentralising because their people already live in the northern corridor. CapeGate will offer the access, visibility and footfall that companies need, supported by a burgeoning retail and residential base,” he said. 

“For Hyprop, the office precinct will form part of a longer‑term plan to strengthen the area’s mixed‑use profile and support the growing number of residents who rely on CapeGate for daily services.”

Situated along Cape Gate Boulevard, with direct access to the N1, this precinct aims to introduce a commercial element that has been absent in one of the Western Cape’s busiest growth corridors. 

The plans feature three upscale office buildings organised around public courtyards.

Additionally, there will be structured parking, rooftop terraces offering views, and pedestrian pathways connecting to nearby shops, restaurants, and other amenities.

Block A, the first phase of the CapeGate Office Precinct, will offer 5,774 m² of four-storey office space at a gross rental rate of R290/m².

Tenants will receive a fit-out allowance of up to R1,200 per m² of rentable area, in addition to the landlord’s white-box specifications.

These specifications include lay-in ceilings, 350-lux lighting, smoke detection systems, and air conditioning.

The design prioritises security and accessibility, featuring biometric and facial recognition access controls.

The facility will provide a parking ratio of four bays per 100 m², totalling 658 parking bays available at R950 per bay.

Increased demand for workspaces

Som Group Director Coenie Bezuidenhout said the broader northern suburbs stretching from Durbanville through Brackenfell, Kraaifontein, and into Joostenberg Vlakte have seen sustained residential activity. 

“And as residential numbers have increased, so too has the demand for workplaces within the same area,” said Bezuidenhout.

Property24 currently lists more than 40 new developments available for sale in the region. 

Additionally, Bezuidenhout said that Cape Town’s residential prices have grown by 9.1% annually as of early 2026.

“This influx has brought thousands of new households into the area, many of them young families and hybrid workers wanting secure, fibre‑ready homes with easy access to schools and services,” he said.

“For many residents, CapeGate has become the centre of daily life, from school drop‑offs and gym sessions to grocery runs, medical appointments and weekend meals.”

“That mix of practical amenities has given the area a desirable, almost European character thanks to its leisure offerings.”

Giflo’s recent projects include the expansion and upgrade of Cormed Private Hospital in Vanderbijlpark, as well as the development of a 13,000 m² Life Healthcare facility in Paarl.

The group has also partnered with Abland on The Rubik, a R500 million mixed-use building in the Cape Town CBD.

Additionally, Giflo has completed several commercial and medical projects across Gauteng and the Western Cape.

SOM Group’s portfolio features a variety of commercial, industrial, and mixed-use developments.

Notable projects include the ACSA Western Precinct, Arrow Business Park, the DHL Express facility, getWorth Cape Town, and a series of buildings within the Irene Link precinct.


Photos of the imagined new development (artist’s impression)


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