top of page

Philippi Highest and Best Use Market Study

Demacon Market Studies conducted comprehensive research for Pedi to assess the optimal use of a proposed mixed-use development in the Philippi area, particularly Philippi East. The goal was to inform strategic planning, investment, and marketing decisions.

The Market Potential Analysis focused on identifying industrial and manufacturing opportunities in Philippi to attract investors, expand the manufacturing sector, and connect Philippi industrial with the Airport industrial area.

Two growth scenarios were analyzed: a baseline scenario predicting growth based on historical trends and an optimistic scenario assuming positive growth with significant improvements in factors like visibility, accessibility, infrastructure, and security. These improvements would increase the area's appeal to potential investors.

The analysis also explored non-manufacturing development potential in Philippi, including residential, retail, and office markets, which often offer better investment returns compared to the slower, more complex industrial market. Additionally, brief analysis was conducted on markets like agri-processing and the fresh produce market.

Highlights from the report:

  • Philippi's strategic location makes it an ideal hub for agri-processing. It sits adjacent to the rail link, right by the N2 highway, and in close proximity to the airport. Furthermore, there's a direct link to the port and a connection to the produce developing areas in the Winelands, all of which benefit agri-processing.

  • The agricultural potential in Philippi is vast and will enhance the area's value. Additionally, Philippi will play a pivotal role in the development of the recently approved Integrated Rapid Transport (IRT) Systems, fostering downstream growth, value addition, and local opportunities.

  • Philippi has the capacity to significantly contribute to the transportation and manufacturing sectors, including transportation equipment, related manufacturing, engines, parts, repairs, servicing, logistics, and more.

  • Based on the study findings, it's evident that agri-processing is feasible and economically advantageous for the area, pending a comprehensive feasibility analysis of the agricultural sector and market.

  • Throughout this study, numerous valuable assets in Philippi that make it an ideal location for diverse development projects were identified. However, it's crucial to support coordination, networking, and interaction among various stakeholders. Currently, certain functions and programs appear misaligned among these associations.

View and download:


8 views0 comments


bottom of page