Unlocking opportunities: How the Three Anchor Bay land sale could transform affordable housing

In a move that could reshape the landscape of Three Anchor Bay,(Erf 2187, Green Point) the City of Cape Town is inviting public comments on the sale of a valuable 4.5-hectare site, valued at R700 million. 

The land, set to be developed into a mixed-use space that includes affordable housing, has sparked interest from private developers eager to participate in the competitive bidding process.

Details of those earmarked for interest in the sale have yet to be revealed.

This sale aims to generate revenue, create jobs, and stimulate economic growth through mixed-use development, which will include affordable housing according to a detailed profile released by the City recently, which was shared with the Cape Argus.

As the City aims to stimulate economic growth and address pressing community needs, residents are urged to voice their opinions on the future of this prime location, which also promises to retain key public amenities like the Colin Eglin Library and Civic Hall.

The project will look at the Atlantic Seaboard's public transport system and its impact including, boosting the City's rates.

Issues such as traffic congestion and sanitation infrastructure will be addressed through assessments.

"Mixed-Use" signifies combined land uses for functional integration and economic activity which has its prospects set on  affordable housing which will be market-related, the City stated.

The site will be rezoned with a development framework.

The public engagement process has four phases: This which include Phase 2 (25 Jul – 25 Aug 2025, which is currently underway: Statutory Process for public comments, Phase 3 (From Jul 2025): Concept Development & Design Engagement, Phase 4 (From Feb 2026): Statutory Approvals & Market Testing (up to 24 months).

The City said the reasons for selling the land was the following: “The City’s intent is to dispose of the site, which is surplus to municipal service requirements, to the open market in order to achieve the market value of the land. Thereby contributing to the City maximising the socio-economic value of its immovable property asset portfolio.”

The City also addressed the issue of the project moving towards affordable housing delivery: “The future development’s contribution to affordable housing delivery will be market related and relevant to the needs of the receiving context. Potential to accommodate  affordable housing will be guided by the detailed socio-economic and property market studies, which will help inform the best development plan for the site that resonates with  the market, while advancing the City’s socio-economic objectives.”

They said further details will be shared via public notices, the City's website, and public meetings.

The Green Point Ratepayers & Residents Association GPRRA) Management Committee views the proposed plan positively, welcoming the inclusion of mixed housing with an affordable component. 

“The GPRRA Management Committee believes that the proposed plan for 3 Anchor Bay is a positive step for the neighbourhood. We welcome the inclusion of mixed housing with an affordable component,” said the GPRRA.

“However, we urge a reduction in density compared to existing developments along the Atlantic Seaboard, and we recommend the implementation of a height restriction.

“It is reassuring that the Colin Eglin Library and Civic Centre will be retained, but both require a complete upgrade.

"We will lobby for the gardens to be preserved as this open space is also vital for visitors—particularly children living nearby.

“Equally important is ensuring that space is provided for Pinocchio Crèche so it can continue supporting the many children of people working in the community.

“Traffic congestion concerns must also be addressed.”

“Finally, we will advocate for a dedicated recreation area and for the retention of all existing trees.”

Local Development Engineer, Gareth Ramsay, also has his sights on the land.

He hopes that the public will voice his vision of it forming part of his proposed Cape Town Sky Train.

In May, the Cape Argus shared the story of  the proposed 6km train line which would connect key areas like the City Centre and the Waterfront in under `10 minutes and integrate with the existing PRASA network.

Ramsay via his social media pages is asking residents to be part of the process and include their comments about  his proposal.

“Enter the Cape Town Sky Train proposal which proposes that a portion of this Three Anchor Bay Mixed-use Development site be used for a train terminus connecting an elevated train line from Woodstock to Sea Point via the unfinished foreshore freeways, with new train stations at the Cape Town International Convention Center and Cape Town Stadium," he said.

Cape Argus