Wits to use Frankenwald sale proceeds for special endowment fund

The University of the Witwatersrand (Wits) says all proceeds from the sale of the Frankenwald Estate, in Gauteng, and the future sale of residential and commercial sites will be placed into a special endowment fund.

This will be used to support its academic projects, including supporting talented students who qualify to study at Wits and who may not have the financial means to register.

Wits sold the Frankenwald Estate land to the Bankenveld District City Development Company – a property consortium comprising property developers Eris Property Group and Calgro M3.

The land will be developed as a mixed-use project comprising affordable housing, residential, commercial, light industrial and educational opportunities. It is intended that these developments will provide homes and jobs particularly for people from surrounding areas.

“We completed feasibility and planning of the development and acquired the necessary approvals over the past five years. This has resulted in approved rights for a neighbourhood with up to 20 000 homes for about 80 000 people, together with commercial, industrial and office space, educational facilities and green open spaces,” says Calgro M3 CEO Wikus Lategan.

About 66% of the homes will benefit low- and middle-income families. The plans also provide for educational facilities for up to 8 000 learners, healthcare facilities, 30 000 m² of retail shopping space and 240 000 m² of industrial space.

“There is also 95 000 m² of green, open and recreational space, much of it following the Jukskei river and which is an integral part of the development,” he adds.

The project is expected to break ground within the next six months. Calgro M3 and Eris will share the cost of infrastructure installation. After this, Calgro M3 will be responsible for the residential components of the development, while Eris will handle the commercial, retail, industrial, educational and healthcare components.

“This mixed-use development will also contribute to the educational and socioeconomic advancement of Gauteng, including affordable housing and a vibrant wetland district,” says Wits vice-chancellor and principal Professor Zeblon Vilakazi.

“With its scale and potential impact, the Bankenveld District City is set to become a development that not only meets the urgent need for affordable housing but also drives economic growth and social integration,” says Eris CEO Barend de Loor.

“It is designed to be a nexus of job creation, skills development, and enterprise growth. The development will feature approximately 450 000 m² of office, retail, commercial, educational, healthcare, and special-use facilities.

“This mega development intends to uplift the people of Johannesburg, to advance Gauteng, and to impact on South Africa and our economy for good,” he says.