Property

New R18 billion ‘city’ being built next door to South Africa’s richest area

Kirsten Minnaar • 7 August 2026

The R18 billion Bankenveld District City development, one of South Africa’s largest private mixed-use precincts, is starting to take shape in Sandton, Johannesburg.

The project is rising on the former Wits-owned Frankenwald Estate, a 290-hectare site located just off the N3 highway near the Marlboro Gautrain Station.

Since it sits between Waterfall City and Linbro Park, future residents and businesses will have easy access to major transport routes and employment hubs.

Bankenveld District City is being developed by Eris Property Group, Calgro M3, Improvon and Nedbank. Construction is already underway.

Earlier in 2026, Calgro M3 confirmed that work had started on the first phase of the project’s bulk and link infrastructure, describing Bankenveld as the flagship development within its R31.8 billion project pipeline.

New information shared by Paula Hardy Real Estate provides a clearer picture of what will be delivered in the first phase.

The initial phase includes R360 million worth of infrastructure and will deliver 6,000 residential units, which will be developed by Calgro M3.

Infrastructure work is expected to be completed by February 2027, with the first residents moving into the development from July 2027.

The first phase also includes an 8.4-hectare site that has already been sold to Equinix Data Centres, adding a significant technology component to the mixed-use precinct.

In addition, the commercial section of the development will cover 19 hectares zoned Commercial 1. Plans call for around 95,000 m² of warehousing, logistics, and office space.

In Calgro M3’s financial results for the year ended 28 February 2026, CEO Ben Pierre Malherbe said the first phase of infrastructure would create approximately 6,000 serviced opportunities over the next five years.

He also explained that the full development is expected to provide at least 20,000 housing opportunities across a range of residential types.

A long-term project

The property being used for the development was acquired from the University of the Witwatersrand in 2024 for R200 million, following approval from the Competition Commission.

Wits said at the time that the proceeds from the sale would be used to establish an endowment to help fund future students.

Besides residential neighbourhoods, Bankenveld District City will include commercial, retail, industrial, educational and healthcare facilities.

Around one-third of the site will be dedicated to roads, stormwater infrastructure and green belt areas needed to support the development.

Under the partnership structure, Calgro M3 will focus on the residential component, while Eris Property Group will develop the commercial, retail, industrial, education and healthcare elements.

Bankenveld is also central to Calgro M3’s long-term strategy. The company has said the project will require significant investment over many years.

It has already begun selling non-core assets and accelerating the completion of other developments to free up capital for Bankenveld.

While this has placed pressure on the group’s short-term financial performance, Calgro believes the project will anchor its future growth.

Even though the project is now steadily underway, the full development is expected to take at least 15 years to complete.

It will transform the former Frankenwald Estate into a new mixed-use district that combines housing, commercial space, and supporting infrastructure in one of Gauteng’s fastest-growing economic corridors.