‘Historic’ new inner-city housing announced for Cape Town CBD

“Historic” is how Western Cape Infrastructure MEC Tertuis Simmers described the unveiling of the first provincial government-led housing development in Cape Town’s CBD. 

On Tuesday, 8 April, the provincial government unveiled the Leeuloop Precinct Development as part of three new inner-city housing projects.

“In the 6th term, the premier committed to seeing us start developments in the inner city… Yesterday we made the announcement and today we are actually initiating that process of inner city change,” said Simmers.

This was in reference to his department’s 2025/2026 budget speech on Monday, where he outlined the plans.

On Monday, Simmers said: “As it stands, I can announce that three inner-city housing projects are currently bankable and will go to market in this calendar year – not financial year, calendar year.” 

Leeuloop is expected to yield more than 850 housing opportunities, of which 350 will be social housing. Alongside the Leeuloop development, there will also be the Founders Garden mixed-use development and the Prestwich Precinct, which will also be mixed use.

Read more: Bromwell ruling highlights urgent need for housing reform in Cape Town’s displacement crisis

Previously, the provincial government and the City of Cape Town have come under fire from court cases and activism for their lack of affordable and social housing within the inner city.

In 2019, during the protracted Tafelberg court case (over a government-owned property that was sold rather than used for housing), it emerged from City of Cape Town lawyers that there had been no social housing built in the inner city over the course of 25 years. 

Some six years later, the province will release a tender for development at Leeuloop. The site is situated smack bang in the CBD, within walking distance of Parliament, shops and tourist attractions such as The Company’s Garden. 

Speaking during the unveiling, Simmers said there would be twin towers on the site: one will house exclusively social housing beneficiaries in about 350 units, while the second tower will have 490 open market units. The towers will have between 18 and 20 levels. 

Simmers said the funding would be a private and public sector blend.

Simmers said the national government’s Social Housing Regulatory Authority “might have limited to no funding. Actually, to afford the social housing component, we are looking at the [Western Cape infrastructure] department on how we co-fund that to ensure that we do deliver on our social mandate.”

On the development and lack of housing in the inner city, Simmers said, “Indeed, this is historic.”

According to the provincial government, social housing is an affordable rental option for households earning between R1,850 and R22,000 a month. This is an option for South African citizens or permanent residents over the age of 18.

He also confirmed there would be a commercial aspect to one of the Leeuloop towers, which would have a retail space on the ground floor.

“So we are bringing all aspects of inner city change together while we are redressing the past, we are shaping the future of our province together,” he said. 

Read more: How Cape Town is driving well-located affordable housing

Western Cape Premier Alan Winde at the announcement of affordable housing developments in Cape Town. The Western Cape provincial leadership unveiled the first of three mixed-use, inner-city affordable housing developments that would go to market in 2025. (Photo: Gallo Images / Misha Jordaan)