CTICC to remain a conference centre if sale proceeds, as Province rules out buying more shares
The future of the Cape Town International Convention Centre (CTICC) remains under review as the City of Cape Town explores the possible sale of its 72.7% shareholding in the landmark facility. The proposal is currently out for public comment, with officials stressing that no final decision has yet been made.
Councillor Siseko Mbandezi, Mayco Member for Finance, confirmed that the process is still exploratory.
“The matter is currently out for public comment, and no decision has been made regarding whether the City will sell or not. At this stage, it remains purely exploratory, as stated in the advert,” Mbandezi said.
He added that if Council were to proceed, the business model would remain unchanged.
“Should Council consider the sale of the CTICC, it will be on the clear understanding that the business model will remain unchanged namely, operating as a conference centre.”
The City disclosed the CTICC’s book value of R885 million (excluding VAT) as required by legislation but emphasised that no deal is currently in place. Officials have argued that a potential sale could unlock fresh capital while allowing the City to redirect funds towards service delivery.
“The people of Cape Town would stand to draw the main benefit from a potential sale as all revenue would be invested in service delivery,” Mbandezi noted.
The Western Cape Government, which holds a 22.2% stake, has also weighed in on the process. Jo-Ann Johnston, Head of the Department of Economic Development and Tourism, said that any change in ownership would need to safeguard the CTICC’s mission and role in the regional economy.
“Any change in ownership will naturally require careful consideration of governance and continuity. The CTICC’s mission to be a world-class conference and events venue that drives inclusive economic growth must remain central,” Johnston said.
The province has confirmed that it has no intention of increasing its shareholding, either independently or with partners.
“The province does not hold the financial reserves to increase its investment, and we believe the time may be right for a private investor with the capital and appetite for further expansion to take the CTICC into its next phase,” Johnston explained.
She emphasised the economic impact already achieved by the centre, citing its role in creating more than 169,000 jobs and contributing over R66.9 billion to GDP since its inception.
Property experts say the City’s proposal reflects a broader trend in commercial real estate. John Jack, CEO of Galetti Corporate Real Estate, believes private capital could accelerate the CTICC’s growth.
“This begs the question: why would the City sell such a thriving centre? The answer lies in fiscal priorities. Local government is recognising that private capital can accelerate infrastructure development in ways that public budgets alone cannot,” Jack said.
“By partnering with private investors, the CTICC can expand, modernise, and generate even greater economic impact, while the City focuses on service delivery and long-term fiscal stability.”
SunWest, which owns the remaining 5.1% stake, has not responded to enquiries about whether it intends to increase its holding should the City proceed with the sale.
Both the City and Province have stressed that the CTICC will remain a conference venue regardless of any ownership changes. The process is being conducted under the Municipal Asset Transfer Regulations, with Council expected to make a final decision once public input and legislative requirements have been concluded.
tracy-lynn.ruiters@inl.co.za