The V&A Waterfront in Cape Town, one of South Africa’s premier tourist and shopping destinations, reported robust financial performance in the most recent fiscal year, with retailers generating R11.3 billion in sales. This impressive figure marks a 6.2% increase in retail sales for FY2026, averaging around R942 million in monthly sales. These numbers reflect the total purchases made across the precinct’s retailers, underscoring its enduring appeal and economic vitality.
Visitor numbers played a significant role in bolstering sales, with the V&A Waterfront welcoming 27 million visits in FY2026, a 7% rise compared to the previous year. This uptick in foot traffic was driven by both domestic and international tourism, supported by increased arrivals at Cape Town International Airport. The precinct’s retail space remains highly sought after, maintaining a remarkably low vacancy rate of just 0.9%, and its trading performance continues to surpass benchmarks for major regional shopping centers.
In a bid to expand its luxury retail footprint, the V&A Waterfront has completed a 3,752-square-metre luxury mall at Victoria Wharf, which is already home to high-end brands such as Burberry, Louis Vuitton, Gucci, Zegna, Versace, and Rolex. The remaining stores are expected to open by the end of October 2026. Plans for further development are also underway, with authorities granting approval for an additional 440,000 square metres of development rights. The first phase will incorporate 200,000 square metres of mixed-use development, including residential properties, hotels, offices, and retail spaces, with at least 10% of the residential units dedicated to affordable housing.
A second phase, contingent on a traffic impact assessment, could see the development of another 240,000 square metres, with at least half earmarked for residential use. Among the upcoming projects are 160 built-to-rent apartments scheduled for completion by March 2027 and a new 142-room Cape Town EDITION hotel set to open in October 2026. These developments highlight the ongoing growth and diversification of the V&A Waterfront’s offerings.
Looking ahead, the V&A Waterfront is poised to continue as a significant contributor to its owner’s financial performance, with operating profit projected to grow by double digits in FY2027. This forecast reflects the precinct’s strategic expansions and sustained popularity among visitors, ensuring its status as a key economic driver in the region.