With the Overstrand and especially Hermanus attracting not only residents from all over South Africa, but also the world, it is not surprising that investors are interested in the town.
Business Tech published an article in September last year that the Overstrand has quietly emerged as one of Africa’s fastest-growing millionaire hotspots, with Hermanus establishing itself as a magnet for wealthy property buyers seeking premium coastal investments, according to the latest “Africa Wealth Report” published annually by international wealth advisory firm Henley & Partners in collaboration with New World Wealth. The comprehensive study revealed that Hermanus and its surrounding areas are attracting high-net-worth individuals at a pace that outstrips any other region in the country, positioning this picturesque coastal town as a standout destination in South Africa’s luxury property market and cementing its status as a preferred enclave for the continent’s affluent elite.
It is therefore no surprise that the Whale Coast Mall has been in the sights of investors. The very same Business Tech announced last week that Hosken Consolidated Investments (HCI) is selling its 65% stake in Whale Coast Village Mall for R600 million. The shopping center’s ownership structure includes Dorpstraat Properties, Sandbaai Development Trust, and retail giant Shoprite Checkers among its stakeholders. Through its subsidiary HCI-Whale Coast Village Proprietary Limited (HCI-WCV), the investment group has now finalised agreements to offload its controlling 65% interest in the property. Two entities will split the acquisition, with Whale Coast Capital Investments Proprietary Limited purchasing a 40% stake and Whale Coast Village Mall Proprietary Limited securing the remaining 25% portion of the divested shares.
HCI maintains an indirect 80% shareholding in HCI-WCV, meaning the parent company will benefit substantially from the R600 million transaction. The deal’s proceeds are earmarked primarily for debt settlement, with approximately R328 million allocated to clear outstanding obligations to the subsidiary’s lenders, while remaining funds will flow back to HCI-WCV shareholders, including the parent company. However, the transaction remains conditional on several regulatory approvals, most notably clearance from competition authorities, before the deal can be finalised.
The owner of Spur and Panarotti’s Chris Lochner said: “I’ve been out of touch and haven’t really worked through the news yet, but I believe it will be business as usual for us as tenants.”
The Whale Coast Mall says they will issue a press release once the landlords confirm the transaction.
