Property

Former hospital turned into R1.3 billion luxury development on Cape Town’s best street

Kirsten Minnaar • 1 August 2025

A new R1.3 billion, mixed-use redevelopment in Cape Town, Mama Shelter Residences, will feature 62 residences and a 127-key hotel, promising strong investment potential in one of the world’s most desirable cities.

A major draw of this development is its location. Not only is it Time Out’s “Best City in the World 2025”, but it is also located on Bree Street, which Time Out called “one of the coolest streets in the world” in 2024.

With locations in countries around the world, Mama Shelter Residences Cape Town is the brand’s first hotel and residence in South Africa.

The development is part of a wider mixed-use redevelopment of 111 Bree Street by private equity real estate firm, Kasada, and property developers, Ingenuity.

The building previously housed Netcare Christiaan Barnard Memorial Hospital, which relocated to the Foreshore several years ago. This project comes as part of a wave of mixed-use developments being constructed in Cape Town.

Grant Elliott, Chief Operating Officer of Thibault Investments and Deputy Chairperson of the Cape Town Central City Improvement District (CCID), said this trend reflects a strategic response by developers.

This response, he explained, aims to address to both the challenges and opportunities of the post-pandemic urban environment.

“Mixed-use no longer just means having a few different functions in a building,” Elliott said. “In Cape Town today, it means a true integration of residential, commercial, and retail uses in a single development or precinct.”

The Mama Shelter redevelopment will radically transform the building and include a 127-key hotel alongside the 62 residences.

The residences will comprise studio, one-, two-, and three-bedroom apartments, each of which will be serviced by the Mama Shelter hotel.

Mama Shelter is part of Ennismore, a global collective comprising 16 brands and two independent F&B (food and beverage) groups.

Ennismore has over 180 open hotels, with more than 140 in the pipeline. It also has over 500 restaurants and bars, with over 400 projects in the pipeline.

Prices for Mama Shelter Residences Cape Town will start at R2.9 million through selling agents, Pam Golding Properties, and its international associate, Savills. Pam Golding Properties is Savills’ exclusive residential real estate partner in Africa.

Investor and tenant appeal

Source: Cape Town Central City Improvement District (CCID)

“The unique appeal of prestigious branded residences is growing globally as property purchasers recognise the benefits of buying into a luxury lifestyle backed by a strong global brand,” said Dr Andrew Golding, CEO of Pam Golding Properties.

“This offers the potential for sound return on investment, coupled with the advantage of having a reputable hotel group oversee their investments in their absence.”

Golding added that Mama Shelter is set to become a striking new landmark in Cape Town and will enhance Bree Street’s reputation.

Basil Moraitis, who heads up the Western Cape region for Pam Golding Properties, explained that Mama Shelter is located in arguably one of the best locations in Cape Town’s central district.

“The stylish studio, one, two and three-bedroom Grand Mama residences are well priced from R2.9 million for a studio to R23.3 million for the ultimate three-bedroom Grand Mama Penthouse,” Moraitis said.

Adding to its appeal, the Grand Mama Penthouse features views of Table Mountain and the Atlantic Ocean.

“With eclectic and luxurious, spacious interiors plus access to a plethora of benefits at Mama Hotel’s numerous amenities, this is an opportunity to acquire a prime residence with sound capital investment potential in a globally renowned, world-class city.”

Due for completion in Q3 2026, Mama Shelter residents will have access to a range of amenities.

These include a dedicated residential concierge, co-working space, fitness centre, rooftop pool and pool deck with views across the city, Table Mountain, and the Atlantic Seaboard.

Residents can also utilise additional Mama Cares and Mama Magic on-demand services, including pet pampering, nanny service, party planning, curated music playlists, yoga and Pilates, a tattoo artist, and Gold Status in the Accor Owner Benefits Programme.

The Mama Shelter Residences Cape Town offering includes 3,500sqm of retail space and three restaurants: the Italian-themed Il Bambini Club, Mama’s all-day rooftop bar and restaurant, and an additional restaurant located on Bree Street.

Savills’ research shows that capital values for prime residential property in Cape Town grew by just over 3% during the first half of 2025. A growth of between 6% and 7.9% is projected for the second half of the year.

Tom Bryant, head of global residential new developments at Savills, explained that this growth is driven by improved economic activity and ongoing domestic and international demand in the city.