Major V&A Expansion Set to Transform Cape Town's Waterfront

Cape Town’s iconic V&A Waterfront is undergoing a transformative redevelopment with the launch of a R20 billion coastal expansion.

This massive land reclamation project, set to add 3.81 hectares to the Granger Bay area, is quickly moving forward, with construction already underway. The expansion is expected to fundamentally reshape the precinct, offering new public spaces, hotels, residential areas, and mixed-use developments.

In phase zero, the first stage of the project, the focus is on preparing the site for land reclamation, with expected completion in three years. The expansion will create a new harbour for boating, kayaking, and swimming, with enhanced public infrastructure, including pedestrian paths.

Beyond this initial phase, the V&A’s vision includes new hotels, residential units, commercial spaces, and expanded leisure offerings. Despite the scale of the project, no significant road upgrades are expected, with existing transport systems such as the MyCiTi bus service supporting the area.

A Cape Town property professional, Ash Muller, said on X that the keen attention to the V&A Waterfront's ongoing developments revealed the future trajectory of Cape Town’s hospitality industry. She said that the 440 000m² of reclaimed land will feature several public and recreational amenities, including tidal pools, a coastal walkway, a landscaped promenade, and public spaces, alongside the construction of a 540-metre seawall and two breakwaters extending into Table Bay. These measures aim to protect the area from rising sea levels and storms.

The expanded V&A Waterfront is expected to continue driving economic growth, supporting thousands of jobs and contributing further to Cape Town's economy. V&A Waterfront CEO Graham Wood has already highlighted the precinct’s strong performance, with 25 million visitors and R11 billion in retail sales in 2025. Wood also said that the V&A is an important economic contributor to the Western Cape economy, accounting for about 1.5% of the province’s entire GDP and supporting more than 80 000 jobs, directly and indirectly.

Cape Town’s development contrasts strongly with what is happening in one of South Africa’s other major cities, Johannesburg. Residents in that city have been facing an ongoing water crisis, coupled with broad infrastructure decay. This contrast shows the widening gap between the two metros.

Last week The Common Sense reported on the fact that, for the first time in South Africa’s modern history, there are more assessed taxpayers in Cape Town than in Johannesburg, showing how South Africa’s centre of economic gravity is slowly drifting away from Gauteng and to the Western Cape. 

The V&A development dwarfs anything in Johannesburg, showing how money and investment will flow to places that are well governed.