GUY LUNDY: Cape Town’s success is no accident

Twenty years ago few would have predicted that Cape Town would become SA’s leading urban success story. Back then the city was grappling with business flight, rising crime and a general sense of decline.

I remember vividly a 2007 Mail & Guardian article titled “The Death of Cape Town”, which questioned whether Old Mutual’s move to Joburg signalled the beginning of a broader business exodus.

That moment was a wake-up call — and it became the catalyst for a collective effort to reimagine Cape Town’s future. 

I was fortunate to be part of the early efforts to position Cape Town as “Africa’s global city”. What we understood then — and what I still believe today — is that cities don’t transform overnight. It takes 20 years for a city to either grow or fall apart.

Look at the rise of Barcelona after the 1992 Olympics, or the fall of Detroit after the decline of the auto industry. The lesson is clear: you can’t rest on past success, but with the right strategy and patience you can turn things around. 

Cape Town chose growth. We invested in catalytic projects such as the new (and now iconic) stadium in Green Point, the expansion of the Cape Town International Convention Centre, the ongoing growth of the world-renowned V&A Waterfront, and the development of a cruise terminal.

These weren’t just vanity projects — they unlocked private investment and revitalised entire neighbourhoods. Sea Point and Green Point, once plagued by crime and drugs, are now thriving urban spaces. 

But infrastructure alone doesn’t explain Cape Town’s success. What truly sets it apart is its commitment to institutional strength and leadership succession. I often get frustrated when people attribute success to a single leader. Yes, premier Alan Winde is an excellent leader, and he’s been instrumental in driving growth. But more importantly, he has a strong bench — a team of capable individuals who can step up when needed. 

Over the past 18 years Cape Town has seen a succession of competent mayors: Helen Zille, Patricia de Lille, Dan Plato and now Geordin Hill-Lewis. Each built on the work of their predecessor, ensuring continuity and progress.

This kind of succession planning is rare in SA, where we often build around personalities rather than institutions. But it’s essential. Just like in sport, you need a strong bench to sustain performance over time. 

The City of Cape Town employs over 27,000 people. It’s an enormous organisation, and its success depends on more than just political leadership. The city has worked hard to ensure institutional knowledge is retained, that staff are empowered, and that leadership runs deep throughout the organisation. This stability has allowed the city to function effectively — even during periods of political upheaval. 

Collaboration has also been key. Cape Town has cultivated an ecosystem where government, business, academia and civil society work together. Organisations such as Wesgro, Cape Town Tourism, Accelerate Cape Town and the Cape Town Chamber of Commerce have maintained open lines of communication and aligned on shared goals.

This collaborative spirit extends to the grassroots level, where residents actively participate in initiatives such as the National Sea Rescue Institute, Volunteer Wildfire Services, The Clothing Bank and many more. People in Cape Town care deeply about their city and they’re willing to roll up their sleeves to make it better. 

Still, I’m not blind to the challenges Cape Town faces. Inequality remains a pressing concern. As the city and the broader region around it become more successful, it also becomes more expensive. Property prices are rising, and housing affordability is becoming a serious issue, especially for young people. I worry about whether my own children will be able to afford their first homes here. This is a problem faced by global cities such as Sydney, London and Paris. Cape Town is heading in the same direction. 

That’s why I believe Cape Town’s success must be replicated across SA. We cannot afford to be an island of prosperity in a sea of dysfunction. If other metros continue to decline still more people will flock to Cape Town, putting even greater pressure on our infrastructure and services. The solution isn’t to slow Cape Town’s growth — it’s to lift up the rest of the country. 

If I were advising Operation Vulindlela I’d emphasise the importance of building strong institutions and rewarding excellence in public service. Public servants need to feel safe and supported, even when political leadership changes.

Back in 2007, the DA governed Cape Town while the ANC controlled the province. Despite political differences, both institutions continued to function effectively. That’s the power of strong systems and professional administration. 

Leadership is critical, but it must be institutionalised. We need to mentor the next generation, retain institutional knowledge and ensure that transitions are smooth and strategic. There are too many examples — both in SA and globally — where failure to plan for succession has led to decline. Cricket SA in the period after Ali Bacher’s departure is one such example. We must learn from these mistakes. 

So what keeps me up at night? Two things: inequality and affordability. As Cape Town grows we risk becoming a tale of two cities — one of gleaming high-rises and another of persistent poverty. The city must ensure that growth is inclusive, that housing is accessible, and that opportunities are available to all. And we must help other metros rise, so that young professionals across SA have many choices. 

Cape Town’s success is no accident. It’s the result of vision, collaboration and a deep commitment to building strong institutions. If we want a sustainable future for SA we must replicate this model across the country. 

• Lundy, a former CEO of Accelerate Cape Town who has served on the boards of Cape Town Tourism, the Cape Town International Convention Centre and as deputy chair of Wesgro, is SA country manager at consultancy Spencer Stuart.