WHY YOU SHOULD INVEST IN THEATLANTIS SPECIAL ECONOMIC ZONE FOR GREEN TECHNOLOGIES

South Africa’s Atlantis SEZ (Special Economic Zone) for Green Technologies, based in Cape Town, offers investors attractive opportunities and incentives.

REAL ESTATE/PROPERTY STATS FOR CAPE TOWN

2017

FDI (FOREIGN DIRECT INVESTMENT) BY SECTOR

• Office real estate’s transaction value in 2015: R7.5 billion (US$ 528 million).• Industrial real estate R5 billion (US$ 352 million). • Retail real estate R5.7 billion (US$ 401 million).• 8.7% increase in property value in CBD Cape Town (CCID data).• Total available rental space = 2 605 820 m2 at a price of +-R203/m2/month.• Development pipeline increased to 63000m2, almost double Q4 2017 at 35000m2.

FDI by sector market share %

Capital Investment($bn) 2017

Other

Coal, oil and natural gas

Real estate

Chemicals

Renewable energy

Communications

Automative OEM

Software and IT services

Electronic components

35% 233.2

79.6

79.5

47.5

45.9

40.8

32.5

29.1

26.2

12%

12%

7%

7%

6%

5%

4%

4%

Transportation

Food and Tobacco

24.3

24.0

4%

3%

Atlantis is one of the first new generation SEZs, with their co-location and other benefits. Highlighting the positive evolution of SA’s industrial policy, the national Department of Trade and Industry is responsible for SEZ policy, the provincial government for SEZ operations and city municipality for SEZ land.

TOTAL VALUE OF INDUSTRIAL TRANSACTIONS 2017

FDI BY SECTOR (NUMBER OF PROJECTS) 2017

Sector

Software and IT services

Business services

Financial services

Communication

Transportation

Real estate

Food and tobacco

Automative components

Chemicals

Other

Total

Industrial machinery,equipment and tools

Projects 2017

2237 5%

-7%

8%

-6%

-14%

-14%

-2%

-2%

-1%

-3%

16%

8%

1430

856

841

684

634

630

575

486

456

4371

Change

Valu

e (Z

AR B

illio

ns)

Western Cape Gauteng Kwazulu-Natal Rest of South Africa

0

500,000

1,000,000

1,500,00

13200

TOTAL INVESTMENT TRANSACTIONS PER PROVINCE 2017

GREEN ECONOMY DATA:

• Cape Town is a vibrant hub for green economy players in energy, waste, water, agritech and other sectors. Key players based in the Western Cape include: GRI, Abengoa, Nordex, G7, Averda, Interwaste, Amazon, Enel Green Power, Scatec Solar, Building Energy, Mainstream Renewable Power, Panasonic, HiSense and others.• South Africa’s utility-scale Renewable Energy Independent Power Producer Procurement Programme (REI4P) is worth R200 billion, with a local content requirement of R67.1 billion.• The value of Western Cape REI4Pprojects is R36.2 billion.• 14% of all wind energy projects and 6% of all solar energy projects are in the Western Cape.• 70% of all national component manufacturers are based in Cape Town (valued at R2.1bn).• 60% of all successful projects in the REI4P are developed by companies located in Cape Town due to its geographic advantage and conducive ecosystem.• REI4Ps requirements for local content procurement range between 40% to 65%, creating significant local manufacturing opportunities.

Western Cape

5.8 ZAR BILLION

Kwazulu-Natal

1.8 ZAR BILLION

Rest of South Africa

0.3 ZAR BILLION

Gauteng

2.3 ZAR BILLION

WHERE IS THEATLANTIS SEZ?

ATLANTIS

WESTERN CAPE

NORTHERN CAPE

CAPE TOWN

CONTACT:For further information or assistance, contact:

GREENCAPE: Jarrod Lyons, Investment Facilitation Officer: jarrod@greencape.co.za, phone (+27 21 811 0250) or mobile (+27 76 710 4290). www.green-cape.co.za

CITY OF CAPE TOWN: Tim Hadingham, Head of Investment, City of Cape Town: Timothy.Hadingham@capetown.gov.za, phone (+27 21 417 0518), or mobile (+27 84 583 9510). www.investcapetown.com

THE SEZ WELCOMES GREENTECH MANUFACTURERS

WHAT IS GREENTECH?

Green technologies (greentech) reduce or reverse the impact of people on the planet. Wind turbines, solar panels, insulation, biofuels, electric vehicles, materials recycling and green building materials are all examples of greentech.

WHY INVEST IN THE SEZ?

1. There are strong and growing South African and African markets for greentech.• The South African greentech manufacturing market is worth at least R30bn; with a growing greentech market in the neighbouring countries.• South Africa has opportunities in energy, waste, agriculture, transport and other sectors.

2. Atlantis is a great location and development ready.• Industrially-zoned land (93ha of zoned City of Cape Town land is available for leasing to investors) with environmental approvals.• Bulk infrastructure is in place, including fibre.• Public transport and shipping links.• Atlantis is close to major ports, roads, universities and greentech markets.

3. Investors have access to extensive investment support through the Invest SA One Stop Shop, Wesgro, GreenCape and the City of Cape Town.

4. Investors and tenants are accessing attractive incentives including:• Tax relief and allowances.• Employment tax incentives.• Fast-tracked development approvals.• Fee exemptions.• Electricity tariff subsidies.

5. Attractive, wide-ranging skills base to recruit from.• 5 universities and a locally based vocational training facility.• A large range of unskilled, semi-skilled, technical and professional candidates.

INCENTIVES

National SEZ incentives include:• Preferential 15% Corporate Tax and Tax Relief. • Building allowance and Tax Relief. • Employment Tax Incentives. • Customs Controlled Area Tax Relief. • The 12I Tax Allowance which supports capital investment and training.

City of Cape Town incentives: • Attractive land lease arrangements for green field sites with environmental authorisations in place.• Dedicated one-stop-shop investment facilitation services.• A quick, clear, transparent application process for business sites.• Fast-tracked development approvals for land use and building plan applications. • Fee exemptions for land use and building plan application fees and development contribution deferrals. • A municipal electricity tariff subsidy.• Broadband line rental holidays.

ECOSYSTEM SUPPORT

Institutions that will support investors:

Business networks:• Atlantis Industrial Initiative (AII).• Business Western Cape. • Black Management Forum. • Cape Chamber of Commerce.

CHARLES MATTHEWS STREET

THO

MAS

WIL

LIA

MS

CRES

CEN

T

JOHN DREYERSTREET

CHRISTOPHER STARKE STREET

LOUWT J IE

ROTHM A NSTREET

KERRIA AVENUE

DE KORTECLOSE

MISSION EXPRESSWAY

NORMAN MURRAY STREET

DAVIDSON

STREET

TOM

HEN

SHIL

WO

OD

STR

EET

PERKINSSTREET

CHAREL UYS DRIVE

AUGUST

KOTZENBERG

WILLIAM GOURLAY STREET

JOSI

AS

BLA

NCK

ENBE

RG

STR

EET

GERWYN OWEN STREET

PIETER VAN

ECK STREET

JOHANHEYNS

STREET

CHARLES PIERS STREET

GIDEON

BASSON ROAD

JOHNST LEG

ER

DASSENBERG STREET

JOH

NVA

NN

IEKER

KSTR

EET

NEILHARE ROAD

IVAN HAMPSHIR

E

PLACE

HARRYALEXANDER ST

REET

3

2

1

4

277-RE

62-RE

246

254

245

70

179

74-RE73

6961

171-RE

171-RE

277-RE

Project

Scale

Rev No:

City Of Cape Town Metropolitan MunicipalityProperty Management: GIS and Surveys Civic CenterCape Town8001

Private Bag X298Cape Town8300

Subcouncil 1

Ward 32

Ward 29A T L A N T I SA T L A N T I S

C A P EC A P EF A R M SF A R M S

Tel: +27 (0) 21 400 2226Email: mashudu.mudau@capetown.gov.za

0

1)

2)

3)

4)

5)

Legend:

Notes:

RailwaysProposed SEZ ZonesSG Approved Property

Date: 18 July 2018

Document Path: Q:\users\Andile\GIS_Projects\General\Sally Chambers\GEN_180711_AtlantisIndustrial_SEZ\GEN_180711_AtlantisIndustrial_SEZ_2.mxd

ATLANTIS SEZPROPERTIES

0 140 280 420 560 700 840 980 1 12070Meters

City of Cape TownMetropolitan

Overview

Ward Number: 32, Subcouncil: 1

1:156 343

User Name: azigoxo

ZONE OLD ERF NUMBER NEW ERF NUMBER SIZE (ha)Portion Remainder CA1183 Ptn of Rem of 171 22.1CA1547 61 7.8CA4-93-RE RE Ptn of 62 0.7CA4-113 70 4.5CA4-128 69 2.3CA4-212 73 5.3CA4-120-RE 74-RE 1.2CA1183-4 Ptn of Rem of 277 9.6CA1183-45 246 4.0CA1183-122 254 3.0CA1183-0 Ptn of Rem of 171 16.0CA1183-72 245 2.8

3 Portion CA1183-4-RE Ptn of Rem of 277 38.74 CA1183-51 179 0.7

118.6

1

TOTAL HECTARES

2