South African retail property developer McCormick is pushing deeper into regional markets with the construction of the $100m (R1.65bn) Mall of Zimbabwe in one of the largest foreign direct real estate investments in the country in recent decades. The project will ultimately deliver up to 90,000m2of gross lettable area, reinforcing McCormick’s standing as a seasoned developer of large-scale shopping centres in Southern Africa at a time when formal retail infrastructure remains unevenly developed beyond South Africa’s borders. McCormick is involved in the development of more than 100,000m2of retail space in South Africa alongside Exemplar Reit and has previously developed shopping centres, including Phalaborwa, Mehlareng and Alexandra Malls, underscoring its track record in township and regional retail developments.
“It’s going to be all hands on deck, with McCormick handling the property development and Exemplar assisting with leasing. Applications for space in the mall are already piling up, and we are working with Zimbabwean partners to finalise the development, Exemplar CEO Jason McCormick told Business Day. McCormick said there is significantly more economic activity in townships than unemployment figures suggest, citing Exemplar’s growth as evidence that spending power is often underestimated.
He added that the same applies in Zimbabwe, where GDP data fails to capture much of the consumer and informal economic activity happening on the ground, helping explain continued investor interest in large-scale retail developments despite broader economic challenges. According to West Property, the lead developer and the Zimbabwean partner on the project, the mall is a catalyst for economic growth for Zimbabwe, with more than 3,000 direct and indirect jobs that will be created as well as downstream industries and businesses. EXp South Africa regional property consultant Kura Chihota told Business Day the Mall of Zimbabwe, in its current form, will be the largest single-phase shopping centre built in the country since Westgate in the late 1990s.
Read Full Article on Business Day
[paywall]
McCormick is expected to break ground in 2026. “Most retail developments under way in Zimbabwe are about 7,500m2to 12,000m2; therefore, this will easily be the largest mall built in the past decade,” Chihota said. He said the retail property market, along with hospitality in Victoria Falls, remains a key driver of property investment, attracting players such as Old Mutual.
The new wave of retail developments is targeting more travelled Zimbabweans, with a tenant mix dominated by South African fast-food franchises such as RocoMamas, Ocean Basket, Spur and Doppio Zero. “There is a demand for people to spend their money in a relaxed environment, so the out-of-home category has grown tremendously. This shopping mall has to be more than a place to buy groceries — it needs to offer a lifestyle experience and act as a ‘third place’ beyond office and home,” Chihota said.
[/paywall]
