The V&A Waterfront in Cape Town has reported a robust financial year, with retailers in the area achieving R11.3 billion in sales. This impressive figure underscores the enduring appeal of one of South Africa’s premier tourist and shopping destinations. Retail sales saw a 6.2% increase for the fiscal year 2026, averaging around R942 million in sales monthly. These numbers reflect the total purchases made at the precinct’s stores rather than the direct revenue accrued by the Waterfront itself.
A key driver behind this strong performance was a significant rise in visitor numbers. The V&A Waterfront welcomed 27 million visitors during FY2026, marking a 7% increase from the previous year. Both domestic and international tourism played a role in this growth, further bolstered by an uptick in international arrivals at Cape Town International Airport. Additionally, the precinct’s vacancy rate remains exceptionally low at just 0.9%, while its retail trading performance continues to surpass the benchmarks set for major regional shopping centers.
In a bid to enhance its luxury shopping experience, the V&A Waterfront has completed a new 3,752-square-metre luxury mall at Victoria Wharf. This expansion has seen high-end brands such as Burberry, Louis Vuitton, Gucci, Zegna, Versace, and Rolex establish their presence, with additional tenants expected to open by the end of October 2026. Looking ahead, further expansion is on the horizon as authorities have granted approval for an additional 440,000 square metres of development rights.
The first phase of this expansion will see the development of 200,000 square metres dedicated to mixed-use spaces, including residential properties, hotels, offices, and retail outlets. Notably, at least 10% of the residential component will be reserved for affordable housing. There is potential for an additional 240,000 square metres to be developed in a second phase, contingent upon a traffic impact assessment, with at least half of this allocation designated for residential use.
Among other significant projects are 160 built-to-rent apartments slated to open in March 2027 and a new 142-room Cape Town EDITION hotel expected to welcome guests in October 2026. The V&A Waterfront’s continued development and robust retail performance are anticipated to significantly contribute to its owner’s financial success, with projections indicating double-digit growth in operating profit for FY2027.