Vukile Property Fund and specialist retail developer Flanagan & Gerard Property Group have invested more than R1bn to overhaul the Mall of Mthatha — a revamp that has lifted the once-distressed centre into a dominant retail player in the Eastern Cape’s third-largest economy, the King Sabata Dalindyebo Municipality.
The mall, formerly BT Ngebs City, was bought from Eastern Cape businessman Sisa Ngebulana’s Billion Group for R800m in May 2024 and marks the third asset the two companies jointly own. An additional R225m redevelopment has repositioned the centre to tap into the spending power of more than 2.2-million people in its catchment areas.
“Investing in a shopping centre is about more than bricks and mortar — it’s about people, community and potential,” Vukile CEO Laurence Rapp said at an event on Tuesday to mark the overhaul. When we, together with Flanagan & Gerard, acquired the mall, we saw more than its challenges; we saw an opportunity to turn a distressed asset into a hub of retail, leisure and community life.”
The change in ownership and the redevelopment has led to vacancies dropping to just 1.72% from 20%. Foot traffic has grown 5% to more than 6-million visitors a year, and so has the retail performance. Turnover in the 12 months to August 2025 increased 25%, with August alone up 32.4%.
Among the mall’s best-performing retail categories over the past year were homeware and interiors (66%), restaurants (40%), fast food (36%), pharmacy and self-care (12%) and menswear (12%).
Two new escalators linking parking areas directly to the anchor tenants of Woolworths, Checkers and Shoprite have improved shopper flow.
The mall’s transformation includes a new mezzanine level with service-based tenants, as well as modern ablution facilities. The addition added about 700m² of space, taking the mall’s gross lettable area to 60,762m².
“We’ve focused on refining every detail, from back-of-house operations to the shopper experience,” said Flanagan & Gerard MD Paul Gerard. “This investment isn’t just about what visitors enjoy today — it’s about what they can expect from the mall in the future. The Mall of Mthatha is here to stay and to grow with Mthatha.”
Flanagan & Gerard, a privately owned family business, also handles asset management and was behind the R400m management and feature overhaul at Fourways Mall, in partnership with the Moolman Group, that saw the return of major tenants and energy upgrades at the mall.
Vukile and Flanagan & Gerard are also partners in Thavhani Mall and Springs Mall. The group also developed Vukile’s fully owned Maluti Crescent in Phuthaditjhaba, Free State.
The partners have introduced brands such as Pick n Pay Clothing, Dis-Chem, Burger King, Queenspark, News Cafe, Volpes and Home Choice, which are all firsts for Mthatha.
“They have improved the tenant mix and invested more in the asset, making it bigger and more dominant in a city with lots of retail centres and high street retail,” said independent property analyst Keillen Ndlovu.
The two companies have also installed a 2.3 MW rooftop solar system, comprising more than 3,776 panels spanning 11,422 m², which is expected to generate more than 3.2-million kWh annually.
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