Property

The small South African ‘fisherman’s paradise’ where houses went from R1,500 to over R20 million

Kirsten Minnaar • 13 June 2026

St Francis Bay went from a remote “fisherman’s paradise” where beachfront plots sold for R1,500 in the 1950s to one of South Africa’s most sought-after coastal destinations, with luxury homes now fetching over R20 million.

St Francis Bay’s history stretches back nearly 500 years, beginning with Portuguese explorer Diogo Pereira Botelho, who stopped in the bay in 1537 while sailing from India to Portugal.

The area was later named by Portuguese navigator Manoel de Mesquita Perestrello and became part of Dutch colonial expansion in the 18th century, when farmers and explorers settled around the Kromme River.

For centuries, the region remained remote and sparsely populated, with residents relying on fishing, farming, and small-scale trade.

Its modern development began in 1954, when businessman Leighton Hulett bought the farm Goedgeloof and established a fishing camp, laying the foundations for the distinctive coastal village.

Leighton and his wife, Ann Hulett, who lived in KwaZulu-Natal, then Zululand, first heard about the area when they came across an advertisement in the Farmer’s Weekly.

It read, “Fisherman’s Paradise – lonely and isolated, well wooded and watered, two miles of private beach, 273 morgen – £1,750.”

By 1956, they had laid out a small township of 51 plots. At this time, beachfront plots were selling for between R1,500 and R2,000.

Hulett later developed the town’s iconic thatched-roof architecture, marina canals, and tourism infrastructure.

St Francis Bay and adjacent Cape St Francis achieved fame in the iconic 1966 documentary ‘The Endless Summer’, putting the area as well as Jeffreys Bay firmly on the global surfing map.

Today, St Francis Bay is considered one of South Africa’s most sought-after seaside destinations due to its natural beauty and laid-back character.

It is renowned for its pristine beaches, unspoilt natural beauty and abundant birdlife, and tranquil man-made canals lined with upmarket waterfront homes.

Now that a major long-term coastal restoration project aimed at reversing beach erosion is nearing completion, the town and its property values are expected to see a major boost.

A R150 million restoration project

Pam Golding Properties St Francis Bay area principal Richard Arderne explained that the restoration project includes the construction of four rock groynes and a large-scale sand replenishment programme.

The project was designed to rebuild and stabilise the area’s beaches after years of erosion and storm damage.

It was funded by the local community at a cost of approximately R150 million through a project spearheaded by the St Francis Property Owners Non-Profit Company, with substantial funding from a Special Rates Area initiative.

As such, this project represents one of the largest privately funded coastal protection schemes in South Africa. Construction commenced in August 2025 and is expected to be completed by August 2026.

According to local stakeholders, St Francis Bay has long been affected by the natural northward movement of sand along the coastline towards Jeffreys Bay.

Historically, sand supplied from the Oyster Bay dune system helped replenish local beaches. However, this natural process was disrupted by the town’s development, leading to a gradual loss of beach sand.

“Various solutions were considered over the past 25 years before the community ultimately agreed that a system of groynes offered the most effective long-term solution,” Arderne said.

“Three of the structures have been built perpendicular to the shoreline, while a fourth has been constructed on a diagonal alignment.”

Besides helping retain sand, Arderne said the groynes are also expected to create additional opportunities for fishing and surfing.

The groynes form just one component of the overall beach restoration strategy. Equally important is an ongoing sand pumping programme, which transfers sand from the nearby estuary onto the beaches.

“The estuary has accumulated excessive amounts of sand in recent years due to the absence of regular flooding events – as a result of the dams – that would normally flush sediment out to sea,” Arderne pointed out.

“Pumping this sand onto the beaches therefore provides a dual benefit – restoring beach sand levels while simultaneously improving the recreational appeal and ecological health of the estuary.”

Once the sand has been replenished, he said the groynes are expected to help retain it within the bay, allowing the beaches to rebuild naturally over time.

“The effectiveness of the structures has already been tested. During recent months, five major storm fronts generated exceptionally rough sea conditions along the coastline,” he said.

“Despite the severe weather, the completed groynes performed well, sustaining only minor damage while helping to protect sections of the shoreline from further erosion.”

With two groynes already completed and the remaining structures well advanced, Arderne said local residents are optimistic that the project will not restore the area’s beaches.

“They also believe it will enhance the long-term appeal of St Francis Bay as a premier coastal destination, supporting tourism, recreation and property values for years to come,” he said.

St Francis Bay’s property market boom

Arderne explained that the local residential property market remains buoyant, with demand further boosted by the beach restoration project.

Currently, there are virtually no homes available for sale on the Canals, while stock levels in Cape St Francis are also extremely limited.

“Encouragingly, we are seeing an influx of younger families relocating to St Francis Bay, which is reflected in strong enrolment numbers at local schools, including several that are now operating at or near capacity,” he said.

According to Arderne, vacant land has been the area’s standout performer in terms of price appreciation.

“Entry-level plots have risen fourfold from around R200,000 to approximately R800,000 since Covid, both on the Links and in Santareme,” he said.

“One of the key drivers of this growth has been The Links, where a building boom has transformed the estate in recent years.”

Of the approximately 550 plots in the development, more than 300 homes have already been completed.

Vacant plots in The Links currently sell for between R1 million and approximately R6 million, while completed homes range from approximately R4.5 million to over R20 million.

“In sought-after Santareme, known for its attractive Mediterranean-style homes, buyers are seeing this as the affordable and sunny, north-facing option,” Arderne said.

In this area, houses are typically priced from around R3 million, or R4.5 million for a new spec build.

“Of the approximately 500 plots on the Canals, only about 20-30 are vacant, and virtually none are currently on the market,” he said.

“As a result, buyers are tending to acquire older homes, typically for around R10 million, and then investing a further R5 million-R10 million on major renovations to transform them into modern, luxury homes.”

The retirement village in the Canal area has been a great success over the last two years, with approximately 100 units sold and construction almost complete.

Prices range from around R3 million to approximately R7 million, for options including apartments and freestanding houses.

For many years, the need for a retirement option has been raised, and this developer has demonstrated strong demand, both from locals and from those from further afield who have moved straight into this facility, Arderne said.

“There is talk of a further retirement village, not far from the current one, possibly to be located on vacant land behind the fire station,” he said.

“In the Village, only a handful of homes are currently available, with entry-level asking prices ranging from approximately R3 million to R4 million.”

“The progress being made with the groyne project has also injected renewed confidence and enthusiasm into the Village property market.”