The Capital Boardwalk combines apartment-style living with hotel convenience, redefining how travellers experience Gqeberha.
Image: Supplied
The Capital Hotels Group and the Industrial Development Corporation (IDC) have unveiled a R270 million hotel and apartment development in Gqeberha, as investors move to capitalise on South Africa’s booming tourism sector.
The new development consists of 145 hotel rooms and apartments located near the Boardwalk precinct, with access to the beachfront, casino and shopping facilities aimed at attracting both leisure and business travellers to the Eastern Cape coastal city.
The investment comes amid strong growth in South Africa’s tourism industry, which recorded 10.5 million international visitors in 2025, representing a 17.7% increase compared to 2024 levels. Travellers from other African countries accounted for the bulk of arrivals, helping sustain thousands of jobs across the tourism value chain.
Speaking at the launch, CEO of the Capital Hotels, Apartments and Resorts Marc Wachsberger said the partnership with the IDC had already created more than 200 jobs in a province grappling with high unemployment levels.
Wachsberger said Gqeberha’s strategic economic position and industrial expansion made it an attractive investment destination.
“Gqeberha being the economic capital of the Eastern Cape province is driven by a myriad of industries spanning manufacturing, seaport activity, education, among other factors,” he said.
He added that the city’s economy had been boosted by developments such as the Coega Special Economic Zone, the R11 billion BAIC vehicle assembly plant and Aspen Pharmacare’s manufacturing operations, which has become one of the largest manufacturing hubs for general anaesthetics in the world.
Tourism currently contributes nearly 9% to South Africa’s gross domestic product and supports about 1.8 million direct and indirect jobs nationwide.
IDC head of services Kagisho Bapela said the tourism sector remained critical for economic growth and employment creation.
“Tourism supports more than 948,000 jobs in the country and contributes significantly to local GDP. This sector is critical to growing our economy and creating employment opportunities,” said Bapela, adding that Gqeberha had the potential to become one of South Africa’s key coastal economic hubs.
The Gqeberha investment marks Capital Hotel Group’s 12th development in South Africa and the IDC’s second funded hospitality project with the company following the launch of Capital Mbombela in 2021.
The IDC also confirmed that the KwaZulu-Natal-based Club Med SA resort project, another IDC-backed investment, is expected to open in July.
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