The V&A Waterfront in Cape Town remains a stronghold of retail activity, generating R11.3 billion in sales over the latest financial year. This significant performance underscores the precinct’s status as one of South Africa’s premier tourist attractions and shopping destinations. Retail sales within the area surged by 6.2% in the fiscal year 2026, translating to an average monthly sales figure of about R942 million. These figures reflect the total purchases made by shoppers at retail outlets in the precinct, rather than direct revenue to the V&A Waterfront itself.
The increase in retail sales was bolstered by a rise in visitor numbers, with the V&A Waterfront welcoming 27 million visits during the financial year 2026, marking a 7% increase from the previous year. This growth was fueled by heightened domestic and international tourism, further supported by an increase in international arrivals at Cape Town International Airport. The precinct’s retail spaces continue to thrive, maintaining a remarkably low vacancy rate of 0.9%, while also outperforming the benchmark standards for major regional shopping centers.
Enhancing its allure, the V&A Waterfront has unveiled a new luxury retail segment at Victoria Wharf. The 3,752-square-metre mall already houses prestigious brands such as Burberry, Louis Vuitton, Gucci, Zegna, Versace, and Rolex, with all remaining tenants expected to open by the close of October 2026. Further development is on the horizon, with authorities green-lighting an additional 440,000 square metres for expansion. The first phase will encompass 200,000 square metres of mixed-use development, incorporating residential units, hotels, offices, and retail space, ensuring that at least 10% of the housing is affordable.
Looking ahead, a potential second phase of 240,000 square metres could be developed, pending a traffic impact assessment, with a focus on residential use comprising at least half of the new development. Additional projects on the docket include the construction of 160 built-to-rent apartments expected to be available by March 2027, along with the opening of a 142-room Cape Town EDITION hotel set for October 2026.
As these developments progress, the V&A Waterfront is poised to continue its significant contribution to its owner’s financial performance, with operating profit forecasts predicting double-digit growth for the fiscal year 2027. The ongoing expansion and sustained visitor interest suggest that the Waterfront will maintain its pivotal role in the region’s commercial and tourism landscape.