New data shows strong residential demand on the back of Coega and Ngqura growth
GQEBERHA, JUNE 2026 - Despite its service delivery issues, Gqeberha’s residential property market is thriving thanks to the multi-billion-rand industrial growth within its Coega and Ngqura industrial zones.
“The Friendly City’s underlying economy is telling us a much more positive story than the headlines would suggest, and it’s visible in residential real estate demand and investor confidence,” asserts Andrea Stevens, Franchisee of Just Property Port Elizabeth. “When industry expands, people follow the work, and when they arrive, they need somewhere to live. Despite service delivery challenges, the base drivers of property value - jobs, logistics, infrastructure investment, and steady demand - are firmly in place.”
According to Stevens, the Coega Special Economic Zone (SEZ) is one of the Metro’s strongest economic engines. Official data from the Statistics South Africa Coega SEZ Census Report supports this, revealing that Coega now comprises 57 active operations with a workforce of 11,243 employees - marking a record-breaking year-on-year increase of 14.2%.
Deals worth billions
Growth, she says, is being driven by automotive manufacturing, technology, large-scale e-commerce warehousing, and major green energy investments. This includes the massive US$5.8-billion Coega Green Ammonia Project, one of the largest clean energy export developments in Africa. Now entering its final development stage, it hit a major milestone when project developers officially awarded Danish clean-tech firm Topsoe a US$1 billion equipment and technology package. As outlined by Ammonia Energy Association Industry Tracking, the massive facility features 1,430 MW of solar power and 1,499 MW of wind capacity, aiming to produce 1 million tonnes of green ammonia annually by 2030.
Along with a R22-billion liquefied natural gas (LNG) terminal deal signed at the Port of Ngqura that’s set to generate over 3,500 MW of power for data centres and local industries, Stevens says clean energy momentum is creating hundreds of corporate engineering and technical roles, which is in turn driving demand for middle-market housing.
“This echoes the optimism of the latest Absa Homeowner Sentiment Index Summary, which puts overall market optimism at a record 88% high, and which we’re experiencing first-hand. Plus, long-term capital growth is excellent: properties in good areas that were valued at R1 million 10 years ago are now worth around R1.5 million, representing an excellent 50% capital gain.”
Port performance on the rise
Port performance is surging alongside the industrial boom, she continues, pointing to the World Bank Container Port Performance Index Report, which shows that South African container terminals - including Durban, Ngqura, and Port Elizabeth - are among the strongest year-on-year global improvers in terms of performance. And the South African Association of Freight Forwarders Port Analysis confirms this positive trajectory.
“Along with Transnet’s ongoing infrastructure upgrades, the R2.2 billion Liquid Bulk Terminal expansion, and the multi-billion-rand relocation of the regional manganese facility to increase capacity to 16 million tonnes, these are all significant, long-term economic anchors,” she says.
High-demand properties
Stevens says the properties currently most in demand by newcomer buyers and tenants are townhouses and cluster homes in Walmer, Lorraine, and surrounding suburbs. Citing deeds office data in Property24’s Trends Dashboard, she says sectional title units are leading market activity at an average selling price of R875,000.
And on the leasing side, she says rentals for corporate-class townhouses have climbed above R11,000 a month.
“With rental demand this strong, well-located, secure units are being snapped up almost immediately. The result is a shortage of good housing, which is keeping both sales and rental values firm - music to an investor’s ears!”
No longer the “10-minute city” it once was, Stevens acknowledges that traffic volumes have increased as the city has expanded, but maintains that they’re still far lighter than in other coastal metros.
Her assertion is borne out by recent global congestion metrics from the INRIX Global Traffic Scorecard Summary, which highlights Cape Town as the 6th most congested city globally.” Gqeberha is a far less stressful alternative for daily commuters. For many incoming professionals, being able to drive across town without spending hours in traffic is a huge quality of life factor," she states.
Affordable semigration
Last but not least, Stevens says Gqeberha’s evergreen status as a coastal lifestyle destination is behind a steady influx of semigrants.
“People are increasingly realising that they can enjoy a similar coastal lifestyle to the Cape and KwaZulu-Natal for less. Our seaside suburbs offer easy access to beaches, nature reserves and excellent schools, good bricks-and-mortar value, and a calmer pace of life without paying massive price premiums. Hybrid work professionals are also choosing Gqeberha because our international airport is conveniently positioned in the heart of Walmer rather than miles away on the outskirts.”
PE: A tale of two cities
Stevens attributes the city’s resilience to its economic fundamentals:
- A diversified industrial base
- Globally improving port performance metrics
- A growing logistics and renewable energy sector
- Steady demand for middle-market housing
- A fast-moving rental market
“Yes, one side of the city is struggling with local administration. But the other side - the industrial, logistics, and residential engine - is booming,” she notes. “Industrial expansion is long-term, not cyclical. Port performance is recovering well. Housing stock is tight, which supports value growth. Rental demand is exceptionally strong, and middle-market buyers are active and highly motivated, so the case for property investment is stronger than it has been in years.”
