The group said its like-for-like net property income increased by 10.6%, supported by increased tourism, higher footfall and improved retail performance.
Growthpoint Properties holds a 50% stake in V&A Waterfront. Picture: iStock
Victoria & Alfred (V&A) Waterfront in Cape Town, Western Cape, has delivered R964.7 million in distributable income to Growthpoint Properties for the 2026 financial year.
Growthpoint Properties is a leading South African real estate investment trust (REIT) offering quality commercial property across the office, retail, logistics and industrial sectors.
The group released its financial results for the year ended 30 June 2026, reporting revenue of R13.3 billion, down 0.2% from the previous year. This excludes straight-line lease income adjustments.
Investment in V&A a win for Growthpoint Properties
Growthpoint Properties acknowledged that its investment in V&A Waterfront continues to provide fruitful results. The group holds a 50% stake in the hub.
“The V&A Waterfront remains one of the Group’s highest-quality and most differentiated income platforms, with diversified exposure to retail, tourism, hospitality, residential development and operations,” said Growthpoint Properties.
Many consider the V&A Waterfront to be a mall; however, it is much more than a shopping centre. It is a large mixed-use development comprising retail, offices, hotels, residential properties, restaurants, entertainment and a working harbour.
It includes hotels such as The Table Bay, Cape Grace, and the Victoria & Alfred Hotel.
V&A Waterfront delivers greatness
The group said its like-for-like net property income increased by 10.6%, supported by increased tourism, higher footfall and improved retail performance.
Growthpoint’s 50% share of distributable income increased by 19.0% to R964.7 million, up from R810.5 million in 2025. The group said it benefited from once-off residential profits at 5 Dock Road of R139.0m, notwithstanding the temporary closure of the Table Bay Hotel for its successful redevelopment.
“The hotel has since reopened as the InterContinental Table Bay, while the Edition Hotel, Superyacht Marina and expanded luxury retail offering further enhance the precinct’s long-term growth prospects and earnings diversity,” added the group.
Growthpoint’s R964.7 million share of the V&A Waterfront’s distributable income suggests the development generated approximately R1.93 billion in total.
Western Cape office space vs Gauteng
The group also control office space in both the Western Cape and Gauteng. However, recovery in this sector seems uneven.
“The Office sector’s performance is stabilising, but the recovery remains uneven. The Western Cape continues to deliver strong operating performance, while Gauteng remains challenged by elevated vacancies and negative rental reversions.
“Gauteng nevertheless remains South Africa’s principal corporate and economic market. We will continue to reduce exposure to obsolete or structurally challenged properties while retaining and investing in modern, sustainable and energy-secure offices in established precincts and stronger nodes where we see durable tenant demand and recovery potential.”
The future of the group
Growthpoint Properties said it expects its business to remain on a solid footing in 2027 financial year because the country’s property market is improving, its coastal properties are performing well, the V&A Waterfront is generating reliable income, and borrowing costs are lower.
“Overall, improving South African operating fundamentals, strong coastal performance, the V&A Waterfront’s high-quality income and lower finance cost margins provide a sound foundation for FY27.
“Gauteng office fundamentals, negative rental reversions, cost pressures and offshore distributions remain challenging, but are being addressed through sharper asset selection, precinct-based investment, active asset management, capital recycling, cost efficiency and continued balance sheet discipline.”
