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The developers of the stylish Ashanti Hotel
and DoGon in the inner city, will not rest on their Halala Award laurels;
rather they plan to keep doing good.
IN the recent past, the Johannesburg city
centre has had to come to terms with urban deterioration, the flight to the
suburbs of business, and a rapid influx of indigent immigrants and local vagrants,
and who either occupied the abandoned and derelict tenements, or vandalised
them.
Potlako Gasennelwe of Leungo Investments
Gentrification has been mooted as an answer
to ending such behaviour, and as good for urban renewal because it takes into
account the needs of well-heeled people and the City's regeneration mandate;
however, it has also been criticised for displacing poorer residents of the inner
city.
Potlako Gasennelwe, the executive director
of Leungo Investments, counters this, noting that her company is committed to
gentrification and regenerating the Johannesburg
inner city in accordance with the City's regeneration mandate.
"We are committed to gentrification," Gasennelwe
says earnestly. She concedes that the standard of the Joburg city centre had
deteriorated over the years because of a variety of issues, including crime and
grime, but says recent interventions by the metropolitan council and its
auxiliary companies to restore it "seem to be bearing fruit".
A joint venture between Hollard Insurance and
PHAB Holdings, a black women's investment group owned by Basetsana Khumalo and Gasennelwe,
Leungo Investments recently won a highly coveted Halala Joburg Award, under the
category Living Joburg, for its efforts to gentrify the western end of the inner
city.
On announcing the winners, the Johannesburg
Development Agency (JDA) said that Leungo won its award for providing "progressive,
social inclusionary and affordable accommodation that address the needs of ...
residents grounded in the phrase ‘Not houses but homes'".
The Halala Joburg Awards are held annually
to recognise extraordinary efforts made by developers, investors, communities
and individuals in the inner city. They are organised by the JDA, the
municipal-owned entity tasked with bringing about economic growth through the
development and promotion of efficient business environments in the city.
Creating a gentrified air in the inner city
The awards have various categories,
including Believing in Joburg, and Working and Buying in Joburg, to mention a
few. The Colosseum Award, which recognises the restoration and
preservation of inner city buildings, and Sustaining Joburg are two new
categories. Sustaining Joburg is designed to recognise heritage, innovative
approaches to sustain biodiversity and the maintenance of clean and green
public spaces; its theme is "Past, present and future".
This year the agency received about 82
nominations for the awards, the second time they were held; this was up from
the 32 it received for the five categories in the inaugural year. Nominations
closed in March and adjudication was done in May. Award winners were announced
at a gala evening at the Constitution Hill Round House on 11 June.
Criteria
During the nominations period, the JDA said the criteria for the awards ranged
from innovative investment to social sustainability, and entrepreneurial
eateries to self-guided techno tourism. "The variety and scale of nominations
for the Halala Joburg Awards 2009 reflect the vibrancy and diversity that the Johannesburg inner city
lifestyle has to offer," the agency said.
And while Leungo Investments met the
criteria, Gasennelwe says she and her partners were surprised to be nominated
and weren't expecting to walk home with a Halala that night, "especially under
the category in which we were chosen".
"Quite the contrary," she says when asked if
Leungo had expected its work to be acknowledged in this way. "We were surprised
when we were requested to participate because in our view we are trying to
fulfil a gap in the market and we are providing solutions, but we are not here
to say ‘Here we are.' We are just answering a demand we believe is out there."
Halala is a well-known, coined phrase that can
be loosely translated as "praise to the one who has achieved great success".
The awards give recognition to new urban regeneration projects, building
improvements, innovative building management, maintenance programmes and
initiatives, "all of which speak to an enhanced quality of life for inner city
residents", says the agency.
Offering the business traveller vibey African culture
Subcategories include upper, middle,
affordable and entry level residential projects.
"For us the award is a cherry on top and
just confirms that we are on the right track; but we were surprised to receive it
because we are newcomers in the industry and our solution to urban renewal is
very different from what everybody else is doing," she emphasises.
Gentrifying the Johannesburg city centre and getting back its
earlier, world-class status, Gasennelwe concedes, "is a challenge because we lack
resources".
However, she and her partners are
undeterred because when they started a little under three years ago, they had envisaged
becoming a venture that would respond to the rising demand for functional,
versatile and stylish inner city accommodation - something she says they
haven't attained yet.
Solution
"The notion to establish this kind of a business was sparked by the fact that
there is a need to provide luxury accommodation that is answering the needs of
South Africans. We want to offer a solution that is dignified to society."
In providing the kind of "solution" that
Gasennelwe envisions, Leungo Investments bought a derelict building on the
western edge of the city centre, overhauled and refurbished it, and then turned
it into a luxury hotel and a single rental condominium - Ashanti Hotel and
DoGon accommodation.
There is a swimming pool on the roof, which
overlooks Jozi's skyline, filled as it is with old buildings and modern
skyscrapers. The pool, they say, caters for "those seeking a bit of exercise or
relaxation".
It has conference and meeting facilities,
secure underground parking, full-time perimeter access control and CCTV
cameras. Nearby attractions and cultural hotspots, owners say, include Gold Reef City, the Market Theatre, Soweto
and the newly rejuvenated Newtown
precinct.
Living space in the inner city
Ashanti
has 70 fully furnished single and two-bedroom apartments, with four duplex
penthouses on the upper floors, all fully furnished with modern designer décor,
spacious lounges, plasma satellite television, en-suite bathrooms and
kitchenettes, as well as Wi-Fi internet access.
Its built-in eatery, Darkie Café, is
contemporary in design and offers an assortment of food, including sumptuous African
cuisine. It is complete with modern chandeliers, a roundabout white-leather
settee, outside tables, a cocktail bar and a secluded spot for lounging.
Ashanti
Ashanti, at number 10 Anderson
Street, in Marshalltown
was originally the headquarters of Reunert and Lenz, a telecommunications,
electronics and electrical engineering company. An abandoned building, it was
slowly sliding into decay when it was bought by Leungo.
Its brochure reads: "Its ideal location is
perfect for the business traveller wishing to soak up some vibey African
culture. The trendy, stylish and hip designer apartments at Ashanti all offer
self-catering facilities and guests therefore have a choice to enjoy a quiet
meal in or try out the unique, fantastic and modern on-site restaurant."
Proud of the renovation, the owners say the
Ashanti side of the building
"reflects the marble and brass so beloved of [the] Johannesburg design at the height of the CBD's
20th century popularity".
DoGon, the more contemporary side of the
building, borders on Ntemi Piliso
Street, on the intersection with Anderson Street. It
offers a variety of one and two-bedroomed flats, adding to its three fully
furnished duplex penthouses. Both sides of the building share a spa, a laundrette,
an entertainment area on the roof and basement parking.
"DoGon honours, in name and design
influence, an ancient Malian civilisation rooted in science and astrology that
had a close affinity to the star Sirius. This is clearly visible in the interiors
of the building," reads the brochure.
The building falls under the South Western
Improvement District, which offers supplementary security and street
maintenance services; "for investors there is the added benefit from the [urban
development zone] tax incentive which allows 30 percent of the value of the
property to be written off over a five-year period".
Leungo's mission, Gasennelwe explains, is "to
provide South Africans with quality homes that draw on the design excellence of
Africa instead of foreign European and Eastern
influences that are so prolific today".
The JDA says the Halala Award recognises
the impact of Ashanti
and DoGon on development in the broader precinct and salutes the initiative and
commitment of the investors.
Awards
According to the agency,
the Halala Joburg Awards are tailored to encourage efforts that break new
ground in urban regeneration, advance sustainable economic growth and build
community wellbeing. They reward innovative projects "initiated by audacious
thinkers whose passion has opened new horizons in decaying areas".
The awards' hallmark is "originality". They
seek to reward the commitment of those who deliver services which foster
meaningful long-term partnerships, initiate joint programmes and catalyse
sustainable development in urbanised areas, the agency says.
On handing out the awards, Lael Bethlehem, the
JDA's chief executive officer, said "this recognition of extraordinary efforts ...
serves the dual purpose of acknowledging the phenomenal work done to support
and sustain the inner city ... [and] brings to the attention of every resident
the high degree of urban regeneration and development that has taken place".
For Leungo, achieving such great success
wasn't easy, because there were countless challenges, such as finance,
Gasennelwe notes. When the group's countless loan requests to banks were
rejected, there was only one option - Hollard.
"I think we were lucky that fortunately
when I came up with this concept, Hollard was willing to listen. [It]
understood because [it is] entrepreneurially orientated. Unlike the banks that
thought we were crazy because they thought ‘Why would anyone want to live in
the city?' But we had researched and done our analyses and it worked and I
think it's still working, but there is a long way to go," she says.
In business success terms, Leungo is a
rapidly growing infant, Gasennelwe believes. It should not rest on its laurels
not that it has bagged the award. Talking about the road to success, she notes:
"I don't think we've had our journey to success completed, rather I think we
are working through the process."
She explains: "I am really struggling with
this achievement\success ideology because I think we are at the beginning and
we are still finding our way because our way of doing things is not necessarily
the mainstream. It's a unique solution that is African," she says, adding that
the company still has a long way to go before it can claim success.
"Success is relative in my view." Winning
the Halala Award was "just the beginning for us".
Growth
While on a personal level she has recently completed her master of science
(MSc) thesis in built environment, with a particular focus on gentrification, she
says that in business one can never be satisfied with existing achievements; there
is always room for growth.
"We still have a lot to learn and we are
doing the best we can to make our mark in a business that is very white male
controlled, historically. We are positioning ourselves as black women
developers who are [introducing] solutions that speak to a majority of South
Africans."
The route from inception to the Halala Award
has endured its fair share of difficulties and limitations, experiences from
which the company is learning.
Gasennelwe believes that a tough economic
climate is required to test whether an enterprise or business is sustainable or
strongly entrenched in the market. "Tough economic times always affect
everybody; it's just a matter of managing them. You need these kinds of
situations to make you stronger in business because when it's good it is really
good, but when it's bad it gets worse and then you have to prove yourself."
If your business survives the economic
downturn, "it means you are doing something right and so far we are fine, but
this is just the beginning", she emphasises, adding that Leungo is doing "very
well and we are content but we can always do better".
Future plans already tabled include
expanding the business to other areas in the country. "It will take us time but
we want to be focused as far as the Joburg CBD is concerned and later maybe
move into other regions like Durban and Cape Town; for now we want to be known
as credible developers that provide quality solutions that are sustainable."
Halala Joburg Awards are open to
individuals and projects, including companies, consortiums and non-governmental
organisations. Nominated projects must be located within the inner city, Region
F, and the projects must have made a substantial difference to the City's
regeneration mandate.
Individuals can also nominate themselves.
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