R5-Billion Kagiso Smart City Project Launches First Mall
“Has the time not arrived to build a new smart city founded on the technologies of the Fourth Industrial Revolution?” President Cyril Ramaphosa asked when plans for the project gained traction.
A R5-billion smart city development is underway in Kagiso, a West Rand township in Gauteng, bringing renewable energy generation and digital infrastructure to the area, Newsday reported. The first major component of the project opened in late October 2026 with the launch of the Leratong City Shopping Centre.
Established in 1920 by former miners and squatters from Luipaardsvlei, Kagiso sits 25km from the Cradle of Humankind UNESCO World Heritage site. The township is known for its cultural events, traditional music, and culinary arts.
Evolution From Mega City to Smart Hub
Plans for the Leratong Mega City first surfaced in 2010 under South Africa’s Township Regeneration Strategy. McCormick Property Development, Calgro M3, and Sasuka Logistics Services later formed a joint venture to build 15,000 homes and a regional mall.
The concept shifted toward a smart city following Ramaphosa’s 2019 State of the Nation Address. The development site sits beside the 1970s-built Leratong Hospital and the Chamdor precinct.
Gauteng Premier Panyaza Lesufi described the project as a “new post-apartheid city,” promising new opportunities for local residents.
Mogale City Revises Housing Unit Targets
Mogale City’s Integrated Development Plan for the 2021/22 to 2025/26 financial years aimed to establish 1,900 housing units in phase one. Phase two aimed to deliver 13,000 housing units alongside commercial spaces.
The municipality’s IDP for the 2026/27 financial year revised those figures, stating the Leratong Smart City has potential for 16,000 housing units. Phase one is now slated to deliver 5,000 housing units alongside the regional shopping centre.
Neither municipal plan provided specific details on information and communications technology or other infrastructure required to qualify the settlement as a smart city.
New Retail Space Opens in West Rand
The 42,000m² Leratong City Shopping Centre anchors the smart city project, with developers aiming to complete 3,500 homes by the end of 2027.
“Leratong City Mall has officially opened its doors,” said Mogale City Executive Mayor Lucky Sele at the launch of the Leratong Civic Centre. “Beyond the mall, the broader Leratong City development forms part of a vision to create a vibrant urban hub.”
Sele added that he wants to see cranes rising across the city centre, underutilised properties redeveloped, and new commercial spaces taking shape.
Frequently Asked Questions About Leratong Smart City
When was Kagiso established?
Kagiso was established in 1920 by former miners and squatters from Luipaardsvlei.
Who is developing the Leratong project?
The development is a joint venture involving McCormick Property Development, Calgro M3, and Sasuka Logistics Services.
When did the first shopping centre open?
The Leratong City Shopping Centre completed construction and opened in late October 2026.
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