R5bn smart city dream: Kagiso’s shopping centre opens first milestone

The opening of the Leratong City Shopping Centre in Kagiso, Gauteng, on October 29, 2026, represents a significant step forward in a multi-billion Rand smart city project aimed at transforming the West Rand.

The shopping centre, boasting 89 retail tenants including major South African brands, is the first completed component of the Leratong Smart City Development, a partnership between the Gauteng provincial government, Mogale City Local Municipality, Trendville Investments, and McCormick Property Development.

The project’s overall investment is estimated at R5 billion and promises to deliver substantial housing, commercial investment, and job creation opportunities.

According to reports, the development is slated to include approximately 15,000 housing units, alongside a commercial precinct and a private hospital, alongside other essential services and infrastructure.

Gauteng Premier Panyaza Lesufi, who officially opened the centre, described the project as an “important economic milestone” for the province, stating, “A new City!

A better Gauteng.” This sentiment reflects the broader provincial strategy to address its significant housing backlog by creating integrated urban centres offering residents access to housing, employment, businesses, and essential services.

The project’s scope extends beyond the initial shopping centre, with plans to accommodate up to 16,000 housing units, as outlined in earlier municipal plans.

Gauteng MEC for Human Settlements Tasneem Motara announced a target of delivering 3,500 homes before the end of 2027.

The construction of the shopping centre itself has already generated economic activity, supporting approximately 1,096 local employment opportunities and 44 small businesses and companies, with projections of approximately 2,500 permanent jobs once the entire project is completed.

However, questions remain regarding the true scope of the “smart city” designation.

While the project is intended to incorporate advanced digital and information technology infrastructure, publicly available municipal planning documents offer limited detail on this aspect, according to MyBroadband.

The success of the entire undertaking hinges on the effective implementation of the remaining phases, including residential development, healthcare facilities, and the broader commercial precinct.

Mayor Lucky Sele of Mogale City emphasized the importance of extending the development beyond the initial shopping centre, stating that “A vision, however compelling, cannot transform a community while it remains on paper.” He highlighted the need for the project to contribute to the wider growth of Kagiso, the West Rand, and Mogale City.

The project is expected to take several years to fully realize, presenting both opportunities and challenges for the region.

The opening of the Leratong City Shopping Centre, therefore, represents not just a retail launch, but the first concrete manifestation of a long-term ambition to reshape a significant portion of Gauteng’s landscape.

ProfessorNEWS feedback-opera-news-app@opera.com