The recent launch of the Inner-City Revitalisation Plan by the City of Johannesburg will see South Africa’s economic hub undergoing a much-needed transformational shift. This bodes well for city residents and offers significant opportunities for urban property investors.
This form of urban decline is in no way limited to South Africa, with countries across the world experiencing an exodus from busy city centres as a result of improved transport, resulting in declining infrastructure. However, the stark reality of Joburg’s inner city was brought into focus during the 2023 fire that led to the death of 76 people in one of the city’s many hijacked buildings.
Revitalisation at key moment
This Inner-City Revitalisation Plan, approved by the Johannesburg Mayoral Committee in March 2025, aims to rehabilitate court-declared uninhabitable structures into functional commercial and residential properties, thereby unlocking latent value in the central business district (CBD).
“The announcement of this plan aligns with South Africa’s hosting of the G20 Summit and is part of a broader effort to position Johannesburg as a competitive venue for international events, while also tackling the socio-economic challenges posed by urban migration and deteriorating infrastructure,” says Ricardo Silva, Managing Director for Galetti Auction.
“The renewed sense of optimism in the country’s leadership has seen a growth in investor confidence in the commercial real estate sector. Extending from logistics to mixed-use developments, the market is responding positively to strategic government efforts. We’re seeing strong demand for both tenanted and vacant assets that can be repositioned.”
Spearheaded by the Strategic Projects Unit, the revitalisation plan focuses on public-private collaboration, with the City of Johannesburg noting that key buildings have already been identified and scheduled for redevelopment or demolition, including the Vannin, M.O.T.H and Delvers Buildings.
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What’s Prompting the Market Interest
Silva says investors are honing in on strategic urban and peri-urban locations like Johannesburg CBD, Germiston, Maboneng and Melrose for several key reasons:
- Diverse Asset Types: Industrial, office, retail, residential and development land.
- Strategic Nodes: Germiston (logistics), Maboneng (creative mixed-use) and Melrose (premium office/residential).
- Flexible Entry Points: From sectional title units to large-scale industrial plays.
- Attractive Yields: Great returns with rising rental demand.
- Accessibility & Affordability: Industrial zones offer value and proximity to major transport routes.
Key Properties Going Under the Hammer
Silva says there are already significant opportunities for property investors with several properties coming onto the market: “We have a range of properties going under the hammer at our upcoming auction, providing unique investment opportunities in Germiston, Maboneng, Bellevue and Melrose North.”
The Fair Price Industrial Facility in Germiston’s Elandshaven is an expansive 33,000 m² big-box industrial site with partial tenancy. In addition to its prime location with highway visibility, the site offers investors excellent logistics and a strong surrounding tenant mix.
“Houtbaai Street in Germiston also has two investment properties – one industrial-zoned property, which is fully let with an efficient layout that allows for truck access and is completely investment ready,” continues Silva. “The second property, which is vacant, is ideal for owner-occupiers or strategic redevelopment within the logistics corridor.”
For those seeking real estate investment in the heart of Joburg’s cultural hub, Maboneng also has two valuable options.
“The first is Creative Urban Spaces in Market Street, a vacant office and retail space which is ideal for creative mixed-use conversion,” explains Silva. “There are also sectional-title offices with expansive balconies, well-suited to creative agencies, tech startups or boutique firms looking for a live-work-play environment located at Fox Street Studios.”
He said the convergence of strong policy direction, rising tenant demand, affordability and infrastructure upgrades makes this the perfect time for property investment in South Africa’s economic capital.
