Opportunity to partner in the development of Rainbow Junction

Opportunity to partner in the development of Rainbow Junction

The vision is to develop a vibrant, integrated mixed land-use economic development on a premier address in the capital city, reflecting dynamic lifestyles of the new South Africa, and positioned to forge new business linkages while enhancing traditional trade relationships, through the creation of Africa’s new business gateway.

Project in numbers (present value):

– Land value unimproved – $65-million
– Services Infrastructure required – $35 to $40-million
– Added value infrastructure and services – to be explored: Further value to be added with alternative infrastructural elements (eg green energy and sustainable development elements).
– Value of land serviced – $200-million
– Development projects – $800-million – $1-billion
– Time period to full development – up to 10 years

Land phase and built phase investment and funding opportunities exist across a broad range of development types as well as bespoke value propositions.

Financial participation summary

Participate in:

Tier 1

Land and services: up to 50% stake of $160 – $200-million or part thereof, depending on further participation.

Tier 2

Building projects: based on selective project cluster exposure options, bespoke structures apply, up to a total of $770-million to $1-billion for complete development roll-out.

Through:

– Equity investment and funding solutions (land improvements and built environment development, including internal infrastructure)
– Tenancies: office, retail, light industrial, hotel and other commercial as well as residential sectors
– Development JV’s: office, retail, hotel, light industrial, residential and other commercial
– Turnkey development solutions: dominant land use type or mixed use development clusters

Specific investment opportunities

With 600 000m2 of property to be developed at a value of up to one billion US dollars ($1-billion), investment opportunities are wide and varied.

Equity participation and senior debt opportunities:

Opportunities exist in both land investment (infrastructure and land-deal participation) and building project development phases. Equity participation may be passive and/or participative in both the land servicing development phases as well as in the building development projects (first or second tier) on an individual project or multi-development project clusters basis. These opportunities exist across the whole address – ie Precinct level or across the 17 phases of development. Required: Initial equity and additional funding for both tier phases.

Infrastructure investment opportunities:

Infrastructure funding and services delivery opportunities exist associated with core and added-value service infrastructure services to the economic node (including, but not limited to gas, water harvesting and treatment, roads, renewable and alternative energy, chilled water, waste management, security and ICT)

Development opportunities:

Project joint ventures – Turnkey project solutions exist across the various key precincts and land use typologies including office, retail, residential, hotel, cultural/leisure/sport/entertainment and public spaces (third place), hi-tech industrial, appropriate medical facilities, as well as general commercial opportunities.

Site attributes

– 140 hectares greenfield site, with world-famous climate, giving above-average opportunities for environmentally sustainable development
– Strategic position in foyer of CBD six kilometres from city centre
– Close to existing business and industrial nodes, including Rosslyn
– 50 minutes from OR Tambo International Airport and 2.5kilometres from Wonderboom local airport
– Close to skilled labour force, with 57% of population in north of city
– In close location to public transport nodes including Wonderboom Rail Station along main rail line, and transport interchange. Future Gautrain feeder/IRTPN/Tshwane Rapid Transport bus links – fully integrated with A Re Yeng (Transit oriented development)

Land use

Rainbow Junction is 140 hectares in size and for the past 100 years, has been family-owned farmland. Due to the nature of the land and it’s sheer size, 600 000m2 will be developed to meet a range of needs including:

– Residential: 120 000m2 – High density apartments within secure estates, with integrated community facilities and services
– Offices: 170 000m2 – Small and large corporate offices in varied development types
– Retail: 165 000m2 – Regional, convenience, value and commuter retail
– Clean industry: 40 000m2 – High tech and light industry, distribution and service centres
– Hotels: 65 000m2 – 2-3 hotels with conference facilities
– General commercial: 50 000m2 – Supporting SMME business, government service institutions, education and training
– Social and recreational facilities: 37.5ha utilised open spaces – mix of public and private open spaces integrated into the development

For more information or to take advantage of this opportunity, be sure to respond to this offering.