Major Dube TradeZone investment

Durban-based and family-owned Shree Property Holdings has increased its investment in Dube TradePort to R560 million – the first private-sector investment in the “TradeZone” next to the cargo terminal at King Shaka International Airport.

The ceremonial first sod was turned at the site on Friday by the company’s founder, property mogul Pran Shree, and Michael Mabuyakhulu, KwaZulu-Natal Economic Development and Tourism MEC, marking the start of construction on the first of three warehouses in the Dube TradeZone.

Shree said that “new-generation” facilities were being built on 128 000m2 of leased land, and were aimed at “leveraging off the world-class air-logistics and trade platform” at Dube TradePort.

“It’s all about time-sensitive delivery in the global game of trade and logistics,” he said.

The company’s cold-storage warehouses at the port already handle 600 000 pallets of fruit for export annually.

“We identified Dube TradePort as a strategic investment for our business, and for future growth in the export and logistics arena,” Shree said.

He said the group was a big player in Durban’s cold storage for perishables industry.

He said Africa, with its vast and available tracts of arable land, was the answer to the world’s food security concerns.

Dube TradePort’s plans to bolster exports, such as perishable vegetables, and connect with Africa to boost trade was a natural fit for the group.

The group owns logistics-related land in other parts of the world, and was also eyeing an African expansion.

“Due to demand from our blue-chip clients, we decided to increase our investment and development plans at the TradeZone. When Dube TradePort was officially launched last March, we announced an investment of R300m, we increased that to R450m, and now will be investing around R560m in our state-of-the-art warehouses here,” he said.

Mabuyakhulu said the start of construction on Shree Property’s developments was historic, as it was the first private-sector investor in the precinct.

“Quite clearly, this shows the private sector’s vote of confidence in the development of Dube TradePort as an airport city – a fledgling aerotropolis – and will pave the way for many similar private-sector investments going forward,” he said.

Mabuyakhulu said of the 47 original sites put to the market as part of the first phase of the Dube TradeZone, 23 were taken by Shree Property.

The remaining sites have been filled, with only two not yet having agreements in place.

“In addition to jobs during construction, 750 employment opportunities are expected to come on-stream when these facilities become operational,” Mabuyakhulu said.

Shree said he was considering further investments in the next phase of the TradeZone.

His property group, established in 2007, has more than 500 000m2 of property in Durban. - The Mercury