Buffalo City could soon have 14 hectare logistics hub

East London based Novate Property Investments aims to develop its recently acquired Fort Jackson property into one of the larger logistics hubs in Buffalo City.

Novate strategic development manager Grant Wheatley says there is an increased need for premium warehousing space in the province, particularly in the east, as retail growth follows continuing consumer demand.

“East London and the former Transkei are experiencing substantial growth in retail and consequently the larger retail chains are looking for opportunities through regional distribution centres that will ultimately lower their costs and increase turnaround times in terms of supply,” says Wheatley.

To be known as Logistec Industrial Park, the 14 hectare property is equi-distance from King William’s Town and East London, and minutes from the N2 interchange to Port Elizabeth, Durban and Mthatha.

“The location is particularly useful as most of former Transkei is supplied from Durban. However, a site in East London makes Butterworth only an hour away and Mthatha four hours away. This knocks off a minimum of four hours off the delivery time from Durban on a single trip.”

Wheatley is confident that the new development complements the existing infrastructure which Buffalo City currently offers in terms of the East London Industrial Development Zone as well as its port, rail and road networks.

The site currently comprises four buildings of varying sizes, with the undercover space measuring 24 000 square metres. Tenants are provided with a complex secured by closed circuit television and a gatehouse. It also offers canteen facilities and tenants have access to secure 4 MVA power which comes off the main Eskom grid and a recently upgraded railway line. Transport facilities for the staff to the site are good with MetroRail in close proximity.  Existing tenants include Rotech Trucking and Bandag.

Wheatley has expressed interest in developing a further 60 000 square metres of the site.

Novate recently announced that it was to build a 7,000 m2 shopping centre in Alice. It is also to begin construction on East London’s first mixed use residential complex, Triple Point, later this year.

The company, which has a strong commercial trading base, has been involved in several residential developments in East London as well as in Port Alfred. It also has commercial property interests in Port Alfred, Mdantsane, Alice, Mthatha, East London and King Williams Town.

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