NEGOTIATIONS are underway to establish a multi-billion Rand film studio on vacant land near Dries Niemandt Park.
RSA Studios have applied to the Ekurhuleni Metropolitan Municipality to lease two pieces of land, totalling 80,86ha, over the long term.
The development, which is foreseen to include restaurants, hotels, theme parks and a film hub, will be funded by way of international investments, said Zweli Dlamini, the metro spokesman.
The initial estimated investment, as per the application, will be between R8-billion and R12-billion.
The creation of small businesses and additional future complimentary developments are also envisaged.
According to the applicant, the development will provide between 8 000 and 50 000 job opportunities.
Dlamini made it clear that everything is still in its baby shoes.
“The lease agreement will only commence on the date of signing of the agreement and after council has made a resolution on the matter. The lease agreement will be for 30 years, with an option to renew it,” he said.
“It must be borne in mind that a public participation process must follow after council has taken a resolution on the matter.
”Furthermore, various other processes must also follow, such as town planning and an environmental impact assessment, which is expected to take about two years to complete.
”Only once these conditions have been met, will the lease agreement become effective.”
RSA Studios will run the project, which will cater for national and international markets and most of the facilities will be accessible to the public.
The proposed development links with the metro’s aerotropolis objectives and is supported by DTI, SARS and the National Department of Arts and Culture, in Gauteng.
According to valuations received for the two properties, an estimated income of more than R6-million a year will be derived from the lease of the properties. This will be subject to annual escalation equal to CPIX.
