Asset Magazine Oct 2025

Logistics

Port of Gauteng

The development aims to host multiple terminals, including a car terminal, a rail park and container handling facilities

T he Port of Gauteng,

located on the outskirts of Johannesburg and a strategic

inland logistics hub designed to serve as the principal intermodal gateway for Gauteng, is set to be the next major freight and trade hub for South Africa.

Spearheaded by developer Francois Nortjé , the R50bn project has been more than a decade in the making and is now gaining new momentum as rail privatisation and logistics reform take shape nationally.

Francois Nortjé

Time to make it happen “The development aims to host multiple terminals, including a car terminal, a rail park and container handling facilities, with the first major construction anticipated around 2027. The full build-out could extend to 2040, depending on regulatory progress,” said Francois. Francois estimates the project could create about 50,000 jobs, particularly benefiting nearby communities such as Villa Liza, where new housing developments are being planned within walking distance of the site. He said potential investors include institutions like Old Mutual, Liberty Life, Sanlam and the PIC. Additionally, there will be 20 to 30 developers who will build warehouses and supporting facilities and many private investors who will buy or develop smaller properties.

Francois said initial concepts for the Port of Gauteng were developed around 2012, but land assembly took years, with parcels purchased piece by piece until 2018. The project was formally launched in late 2019, only to be paused by the Covid-19 lockdown. It has since been revived in the wake of South Africa’s shift towards rail privatisation and performance-based truck standards (PBS), both expected to transform freight efficiency. A private sector initiative Strategically positioned at the junction of the Container Rail Corridor and the N3, N12 and N17 highways, Port of Gauteng is one of the country’s largest private sector initiatives. The 1,400ha site will feature two 2.2km stretches of flat land, ideal for rail terminals, logistics and light manufacturing facilities. Of this, Francois owns 260 ha, alongside about 100 other landowners many of whom

On the enduring value of the assets, Francois said: “Trade-route properties are the best asset class in the world. They have no fashion, they just keep producing. A warehouse or rail terminal here will serve for 500, even 1,000 years.” Freight transport dilemma Speaking during a site visit and Port of Gauteng White Paper launch on 30 September, he said the development of the White Paper was in response to South Africa’s growing freight transport dilemma. “Since the 2013 National Development Plan set ambitious 2030 targets for shifting freight from road to rail, little progress has been made and with just four years to go, the need for decisive action is urgent. As road congestion worsens and rail volumes decline, this paper outlines a practical solution leveraging the Port of Gauteng’s inland port to restore balance, reduce costs and unlock long-term economic growth.”

“Everything we need is already here, the roads, the rail, the power, the people. Now it is time to make it happen.” The value of trade-route real estate Francois said the Port of Gauteng is targeting normal property returns, noting that what makes the project special is its focus on trade-route properties for long- term investors. “The N3 is not moving, nor is the railway line. Properties around Durban Harbour sometimes have 200, even 2,000-year lifecycles. Office blocks and retail spaces change, but trade-route properties deliver generational returns.” Asked what the focus would be when construction begins in 2027, he said they will start where the market is. “If it is Amazon’s warehouse, we will start with that. If it is MSC’s container terminal, we will start there. The project will be market-driven.”

October 2025 | Issue 141 | Asset Magazine 249

248 Asset Magazine | Issue 141 | October 2025

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