Cape Town’s V&A Waterfront has demonstrated a robust commercial performance, with its retailers amassing R11.3 billion in sales for the recent financial year. This underscores the enduring appeal of one of South Africa’s premier tourist and retail venues. The area reported a 6.2% rise in retail sales for FY2026, translating to an average monthly turnover of approximately R942 million. These figures reflect the total sales value recorded across the precinct, rather than income directly received by the Waterfront itself.
The increase in sales can be attributed to a surge in visitor numbers, with the precinct welcoming 27 million visits during FY2026. This marks a 7% increase compared to the previous year, fueled by both domestic and international tourism. The uptick in international tourists is further evidenced by the rise in arrivals at Cape Town International Airport. With a remarkably low vacancy rate of just 0.9%, the retail trading performance of the Waterfront continues to exceed the standards set by other major regional shopping centers.
Significant developments at the Waterfront include the expansion of its luxury retail sector. A newly completed 3,752-square-metre luxury mall within Victoria Wharf now hosts prestigious brands such as Burberry, Louis Vuitton, Gucci, Zegna, Versace, and Rolex. Additional tenants are anticipated to commence operations by the end of October 2026. In line with its growth strategy, the precinct has secured approval for a further 440,000 square metres of development rights, with an initial phase dedicated to a 200,000-square-metre mixed-use project incorporating residential spaces, hotels, office buildings, and retail outlets. Notably, at least 10% of the residential units will be earmarked for affordable housing.
Plans for expansion do not end there, with a potential second phase proposing another 240,000 square metres of development, pending a traffic impact study. This phase would see at least half of the space allocated to residential use. Among other projects on the horizon are 160 built-to-rent apartments slated for a March 2027 opening, alongside a 142-room Cape Town EDITION hotel set to welcome guests in October 2026.
Looking ahead, the V&A Waterfront is poised to continue being a substantial asset to its ownership group, with projections indicating a double-digit increase in operating profit for FY2027. This optimistic forecast is underpinned by the precinct’s ongoing expansion and its capacity to attract both local and international visitors.