Cape Town’s Central Business District (CBD) has solidified its position as the most economically robust and successful inner-city precinct in South Africa, consistently drawing in substantial investments year after year. Nestled beneath the iconic Table Mountain on the southwest coast of South Africa, Cape Town stands as a beacon of prosperity, boasting a captivating natural landscape that includes pristine beaches, breath-taking mountains, and premium real estate.
The city extends beyond its scenic beauty; it has become a hotspot for foreign investors, with thriving technology hubs, a vibrant leisure business sector, world-class hotels, and top-notch conference facilities. Unlike the bustling nightlife of Johannesburg, Cape Town offers a more subdued yet sophisticated atmosphere, making it a breeding ground for major investments.
The city’s resilience, during the COVID-19 pandemic, is a testament to effective governance and innovative initiatives that have kept the local economy thriving during challenging times. Despite the global disruptions, Cape Town contributed a significant £20 billion to South Africa’s GDP in the third quarter of 2020, showcasing its economic strength.
Recent property broker surveys, assessed by South Africa’s First National Bank, have positioned Cape Town as the country’s premier region in the office market, signalling its potential to surpass Johannesburg as the leading business hub. The property market has experienced a surge due to emigration trends and the rise of remote work, with retail and industrial sectors viewing the city as a lucrative and secure business environment.
Cape Town was once again voted the best city in Africa at the 2023 World Travel Awards ceremony held at the Atlantis Royal Resort in Dubai on October 16, 2023. This year marked the 30th anniversary of the respected Awards (dubbed the Oscars of the travel industry), and Cape Town was celebrated as ‘Africa’s Leading City Destination’, praised for its hotels, operators and even its airport.
Cape Town International Airport was named Africa’s Leading Airport, while the Port of Cape Town home to a world-class cruise terminal was awarded Africa’s Leading Cruise Port 2023. Cruises have become an increasingly important tourism niche for the city known as the ‘Tavern of the Seas’, with more than 75 ships calling in Cape Town over the 2022-23 summer season. Cape Town also scored big in the best hotels category, with Labotessa Luxury Boutique Hotel winning Africa’s Leading Design Hotel.
The Silo, home to the most striking location in Cape Town, won Africa’s Leading Luxury Hotel. The Atlantic Seaboard of the city cleaned up too, with One & Only Cape Town claiming the crown of Africa’s Leading Luxury Resort, and Villa Two at Ellerman House hailed as Africa’s Leading Luxury Hotel Villa.
A key player in Cape Town’s success story is the Cape Town Central City Improvement District (CCID), a public-private partnership and non-profit organization. Over the past 21 years, the CCID has diligently managed the central business district, ensuring it remains the most economically sound and successful inner-city precinct in the country. The CCID’s commitment to creating an “open for business” environment has attracted local, national, and international investments, contributing to Cape Town’s status as a leading downtown district.
The transformation of Cape Town’s inner city is evident not only in increased foot traffic but also in the significant investments in upmarket apartments, renovated buildings, and the presence of corporations that have chosen the CBD as their home. The CCID’s proactive measures, such as the introduction of the “Bobby-on-the-beat” security concept and creative solutions to address social issues, have played a pivotal role in the city’s renewal.
Despite challenges faced by downtown Cape Town, the CCID’s efforts have resulted in the opening of 37 new businesses in 2021 within its footprint, creating a safe and welcoming environment. Beautification projects, including the repainting of infrastructure and vibrant tree decorations, contribute to the CBD’s lively atmosphere. With Amazon coming to Cape Town, the city’s economy is bound to grow astronomically in the next few years.
While Johannesburg boasts a modern skyline and a sprawling business district, Cape Town distinguishes itself with a more contained and relaxed feel. The city’s luxury real estate, particularly in prestigious areas like Clifton Beach and Constantia, commands high prices, reflecting its sought-after status. Beyond real estate, Cape Town is celebrated for its vineyards, world-class restaurants, and top-quality shopping malls, making it a city that seamlessly blends economic success with natural beauty.
