One of Tongaat Hulett’s northern development initiatives and of significant tourism potential, Tinley features kilometers of pristine coastline, lagoon, indigenous coastal forest and a key location within KwaZulu-Natal’s primary growth corridor. Uniquely positioned to accelerate tourism development, four international resort operators have expressed interest in operating a new, international beach resort on the site – the first of its kind in South Africa.
Tinley, alongside the proposed new coastal resort, will cater to the international and domestic tourism markets with the capacity for a mixed-use development as well.
Managing Director of Tongaat Hulett Developments, Michael Deighton comments:
“Tourism has been identified as both a national and provincial priority and together with the associated ancillary economic activities will have a significant impact on socio-economic growth and development in the region. To this end we have been working closely with the local and provincial government to present the opportunity to solicit national and international brands looking at opportunities to establish themselves in KwaZulu-Natal.”
KwaZulu-Natal is the market leader for domestic tourism in South Africa, ranking second in terms of international tourism. Starting with the advent of Zimbali Coastal Resort in the late 1990’s, areas north of Durban (including uMhllanga, Ballito and Salt Rock) have experienced unprecedented growth in the last three decades with significant return on investment. Other sectors continue to thrive off of the residential and tourist boom and the commissioning of the King Shaka International Airport. Schools are emerging in the region to support the influx of people and the commercial aspects continue a strong upward trajectory, especially with the emergence of the nearby Durban Aerotropolis.
Under the guidance of the Durban Aerotropolis Master Plan (draft January 2018), a development framework is being implemented to create a purpose-built city that will enhance urban and national competitiveness through improved multi-modal transport access and planned, coordinated aviation-linked commercial development, making the airport, surrounding areas and the entire province more economically efficient, attractive to investors and sustainable.
“We’re already moving in leaps and bounds with the proposed GO!Durban Integrated Rapid Transport System being implemented later this year, the further entrenchment of King Shaka International Airport and Dube TradePort and the area as a fulcrum between the busy ports of Durban and Richards Bay” says Deighton.
King Shaka International Airport currently can accommodate 7.2 million passengers per annum with this figure expected to climb to 45 million passengers per annum by 2066. The introduction of the new route offered by British Airways (between Durban and Heathrow, London) has opened the area up to even more international tourist traffic and this has cemented the province as a world-class destination.
The region is constantly being identified by global resort and tour operators as South Africa’s foremost opportunity to compete with other global beach resort destinations, provided critical mass can be achieved. Furthermore, varied business interests and top-quality facilities also contribute to KwaZulu-Natal’s tourism offering.
“We just need to look at the numbers to understand how well KwaZulu-Natal is doing. Hotel occupancies have remained above 70 percent with the Average Daily Rate (ADR) growing by eight percent per annum since 2010.”
Revenue per available room in the greater uMhlanga area is R1 274 and this sector is forecast to grow by three percent with the uMhlanga market predicted to absorb an increase in hotel inventory over the next five years.
Tongaat Hulett believe in shared value creation through responsible and meaningful land conversion activities. Developments such as Zimbali Coastal Resort, the uMhlanga Ridge Town Centre, Cornubia and Sibaya Coastal Precinct have catapulted the area’s desirability as a world-class place to live and work. Together with the KZN Department of Economic Development, Tourism and Environmental Affairs (EDTEA), and local municipalities, they continue to keep an eye on key demand-drivers and using their experience to implement best practice, sustainable urban planning and design principles that can best respond to South African society’s changing needs.
“While the Durban and uMhlanga areas cater very well to the business and leisure tourism markets, there is still a gap to be filled by a large scale international resort operator”.
With essential infrastructure already in place and the potential to improve this concurrently with growth and demand, the region has proved itself as a desired destination and Tinley, a picturesque coastal town ten kilometres north of Ballito, is poised to take on the mantle as the province’s next tourism hotspot.
Identified as one of KwaZulu-Natal’s catalytic beach resort developments, Tinley Town will be unlocked in collaboration with all stakeholders. The strategic objective is to create enhanced value in the surrounding assets which will benefit from proximity to and association with the resort and higher pricing premiums as destination value takes hold in the area. Deighton says, “Acting as an economic driver, Tinley will undoubtedly transform the region where real estate and other economic growth opportunities will soar.” The EIA process for the resort opportunity is currently underway with the identification of the international hotel operator soon to be announced.
As with all Tongaat Hulett’s development initiatives, wellbeing for the surrounding communities will lie at the heart of this key iconic project.
“Just like Sibaya Coastal Precinct and other projects before that, through Tinley we will ensure there is purposeful shared value creation for all our stakeholders and this will include the nearby rural communities which will also benefit socially and economically from this development” concludes Deighton.