Development Update

Construction Activity:  Due to the National Lockdown the past few months, not much activity has been allowed on The Avenues Hilton KZN Midlands site, aside from some essential maintenance issues in the landscaped environments and within the main stormwater attenuation system running the length of the site adjoining the Wedgewood Estate boundary.

Shopping Centre:  In addition to the piling plans, we were also able to lodge our Building Plans (for Phase 1 of the Centre) with the Umngeni Municipality (during Level 3 of the lockdown period). The approval of these building plans is imminent. There have understandably been some delays due to the National Lockdowns attributable to the Covid-19 Global Pandemic, and we were hoping to break ground by the end of August 2020. These delays, which are out of our control, have now resulted in the start date being pushed out to September 2020. However, given the national urgency around construction, we are confident that we will be able to make up some time during the construction phase, with the targeted opening for the Shopping Centre still being the mid-2021. An exciting retail offering from the JT Ross Property Group.

Residential Estate: Phase 1 of the Residential Estate was launched just prior to the National Lockdown, which has in part prevented further activity on the site, however, with the opening up last week of Level 2 restrictions, we are confident that a renewed interest on the Residential Estate will prevail.

The Residential Estate will have full waterborne sewerage via Umgungundlovu District Municipality, electricity directly via Eskom as well as comprehensive security (inclusive of electrified security fence around its perimeter up to either side of the Gatehouse, access control and boom gates with secured electronics for residents). All of these aspects will be constructed as a consequence of market demand and take up in the Residential Estate.

Office Park and Boutique Hotel: The Office Park and Boutique Hotel sites will also be on full waterborne sewerage through to Umgungundlovu District Municipality, electricity via Eskom and full perimeter security (access control, boom gates and electrified security fencing). The office and hotel components of The Avenues Hilton KZN Midlands will only be launched to the market as part of a Phase 3 process during the latter part of 2021.