How Shopping Centers Drive Economic Development: Safland’s Grove Mall Success Story

How Safland Property Group’s Grove Mall generated N$18 billion in turnover, created 1,576 jobs, and transformed Windhoek’s fastest-growing suburb
Published: October 13, 2025 | Author: Safland Property Group | Read Time: 8 minutes | Category: Commercial Development

Grove Mall: Namibia’s first regional shopping center transformed Kleine Kuppe from undeveloped land into Windhoek’s fastest-growing suburb.

For property investors and developers across Africa, the question isn’t whether retail development drives economic growth—it’s how to maximize that impact. The Grove Mall in Windhoek, Namibia, developed by Safland Property Group in partnership with Atterbury Property and Demushuwa Property Developers, provides a compelling case study in transformative retail development that generated over N$18 billion in turnover over its first decade while fundamentally reshaping an entire urban node.

The Economic Multiplier Effect of Major Retail Development

Windhoek’s skyline has been climbing since Grove Mall opened the floodgates—new apartments and family homes are sprouting in Kleine Kuppe, restaurants popping up in every corner, and the capital is finally stepping into its stride with the energy and ambition it’s always deserved.
Mall Stats Section
Initial Investment
N$1B
Total development cost for the 52,000 sqm mall
Direct Employment
1,576
Permanent jobs created across mall operations
Decade Turnover
N$18B+
Total reported turnover in first 10 years
Customer Traffic
63M+
Visitors through the doors since 2014

Beyond the Mall: The Ripple Effect

The Grove’s economic impact extends far beyond its 52,000 square meters of retail space. The development anchored the 220,000 sqm Hilltop mixed-use estate, which now includes:

  • Lady Pohamba Private Hospital – Namibia’s first private hospital in the south, bringing healthcare infrastructure to an underserved area
  • Virgin Active Kleine Kuppe – Namibia’s second Virgin Active branch, expanding wellness facilities
  • Town Lodge Hotel – Part of City Lodge Hotel Group, providing accommodation for business travelers and tourists
  • The Steps Development – Additional commercial and office space developed by Safland
  • Residential apartments – Creating live-work-play integration

“The Grove has transformed not just how Namibians shop, but how they live, work, and interact with their city. It created a node where previously there was empty land.”
— Charles Fourie, Safland Property Group

The Infrastructure Development Catalyst

Major retail developments don’t just occupy space—they necessitate and fund critical infrastructure improvements that benefit entire communities. Grove Mall’s development triggered:

Infrastructure Investment Highlight: Before construction could begin, the City of Windhoek awarded the tender for the Kleine Kuppe area development to Demushuwa Property Developers in 2009. This included bulk earthworks completed in 2011 and the construction of a new irrigation reservoir for the city—infrastructure that serves far beyond the mall itself.
The N$1 billion development created immediate construction employment for 700 people and generated permanent employment for 1,200-1,500 people upon opening—jobs that circulate income through the broader Namibian economy.

The Retail Access Revolution

Before Grove Mall’s October 2014 opening, Namibian consumers faced limited access to international retail brands. The mall introduced 28 brands new to Namibia, including Zara, Dis-Chem, and Sportsmans Warehouse, alongside Namibia’s 9th Woolworths store and the country’s first Ster-Kinekor cinema complex.

This wasn’t just about convenience—it was about economic sovereignty. Previously, many Namibian consumers traveled to South Africa for shopping, creating capital flight. Grove Mall retained that spending within Namibia’s borders.

Investment Returns: The Financial Case

For property investors, retail development offers compelling returns when executed strategically. Grove Mall’s performance demonstrates why:

  • Occupancy rates: 90% of gross lettable area secured before opening, reaching near-100% capacity
  • Traffic performance: 19 million vehicles entered parking facilities over the first decade
  • Tenant mix optimization: Strategic placement of anchors (Game, Checkers, Woolworths, Edgars, Spar) drives foot traffic to specialty retailers
  • Premium positioning: As Namibia’s first regional mall, Grove commanded market-leading rental rates

Investor Insight: Atterbury Property, recognizing Grove’s exceptional performance, acquired 100% ownership in 2018, exercising pre-emptive rights to buy out partners Attacq Limited and others. The mall was recently described as “one of the best performing shopping centres” in Atterbury’s entire portfolio.

Interactive ROI Calculator: Estimate Your Retail Development Impact

Use this tool to estimate the potential economic impact of a similar retail development in your market:

Lessons from Grove: Strategic Insights for Developers

1. Location Selection: The Growth Node Strategy

Safland identified Kleine Kuppe as “Windhoek’s fastest-growing node” before development began. The area offered:

  • Easy access from all major Windhoek suburbs
  • Proximity to both international airports
  • Room for mixed-use expansion
  • Lower land costs than established commercial areas

Investor takeaway: Leading growth rather than following it allows developers to acquire land at pre-appreciation prices while creating the destination that drives that growth.

2. Tenant Mix Sophistication

Grove’s success stemmed from meticulous tenant curation:

  • Multiple anchors (5 major tenants) rather than relying on a single draw
  • International debuts creating destination appeal
  • Entertainment integration (8-screen Ster-Kinekor) extending dwell time
  • Dining variety with outdoor seating capitalizing on Windhoek’s climate

3. Architectural Differentiation

Howard & Chamberlain Architects and Boogertman & Partners created “sand dune-inspired, organically curved walkways and ceilings” that reflected Namibia’s desert environment. This wasn’t just aesthetics—it created a distinctive experience that built brand loyalty.

“There has never been anything on this scale in Namibia. We are talking about 55,000 square metres of high-end mall with attention to detail and tenant mix that is a first for the territory.”
— Stoffel van der Beek, Development Manager, Atterbury Property

4. Mixed-Use Integration

The Hilltop Estate’s integration of retail, medical, hospitality, fitness, and residential created multiple revenue streams and reduced single-use risk. Residents become daily customers; hospital visitors need accommodation; hotel guests shop and dine.

Standing at Lady Pohamba Hospital, you can see how Grove Mall sparked the transformation of Kleine Kuppe—over 120 retail stores from Woolworths to Dis-Chem to Ster Kinekor cinemas  opened first in 2014, and the 120-bed state-of-the-art hospital followed in 2016 Lady Pohamba, joined by restaurants, medical suites, and hotels and fitness centers OnSiteIMS that have turned eastern Windhoek into the city’s most complete mixed-use destination.

The Namibian Context: Retail as Nation-Building

In emerging markets like Namibia, major retail development carries nation-building implications beyond pure commerce. Grove Mall’s impact includes:

Impact Cards Section
Skills Development
1,576 permanent positions required training in retail operations, customer service, and management—transferable skills that elevate the workforce.
Tax Revenue
N$18 billion in turnover generates substantial VAT and corporate tax revenues funding public services.
Capital Retention
Reducing cross-border shopping keeps consumer spending circulating within the Namibian economy.
Real Estate Appreciation
Property values in Kleine Kuppe and surrounding areas increased dramatically, building household wealth.

Beyond Grove: Safland’s Retail Development Portfolio

Grove Mall wasn’t an isolated success. Safland applied the same development principles across Namibia:

  • Gwashamba Mall, Ondangwa – Completed May 2013, housing 46 tenants valued at N$160 million, transforming retail access in Northern Namibia
  • The Dunes Mall, Walvis Bay – Co-developed with Atterbury, serving Namibia’s coastal region
  • Rundu Mall – Bringing modern retail to northern Namibia
  • Otjiwarongo Town Square – Central Namibia retail hub
  • Megacenter, Windhoek – Lifestyle center opposite Grove Mall
  • Gobabis Mall – Eastern Namibia retail development

Safland’s Total Impact: Since relocating to Namibia in 2011, Safland has completed 11 property developments valued at approximately N$3 billion, fundamentally reshaping Namibia’s retail landscape.

The Investment Case for African Retail Development

Grove Mall’s success illuminates why retail development represents a compelling opportunity across African markets:

Demographic Tailwinds

Supply-Demand Imbalance

  • Many African cities remain dramatically under-retailed compared to developed markets
  • International brands seeking African entry points need quality real estate partners
  • First-mover advantages remain available in secondary cities

Government Support

  • Infrastructure development often prioritized around major retail anchors
  • Job creation aligns with national employment priorities
  • Tax revenues from successful malls benefit local authorities

Challenges and Risk Mitigation

Grove Mall’s development faced significant obstacles that investors should consider:

  • Construction delays: Originally scheduled for September 2014, opening pushed to October due to South African metalworkers’ strikes
  • Economic headwinds: Development occurred during uncertain economic periods
  • COVID-19 impact: The pandemic challenged operations, though Grove emerged stronger
  • Market education: Namibian consumers needed time to adapt to regional mall shopping patterns

Success factors that mitigated risks:

  • Strong partnership structure (Atterbury, Safland, Demushuwa) sharing risk and expertise
  • Pre-leasing strategy securing 90% occupancy before opening
  • Anchor tenant diversification (five major anchors)
  • Professional property management from day one

The Future of Retail Development in Namibia

Safland’s continued investment demonstrates confidence in Namibia’s retail future. The upcoming Goreangab Mall (N$270 million, opening May 2026) applies lessons learned from Grove while serving underserved communities in Windhoek’s northern suburbs.

Key innovations include:

  • Integrated public transport hub connecting taxi ranks directly to retail
  • Edge green certification for environmental sustainability
  • Community-first approach serving high-density residential areas
  • 82% pre-leased with Shoprite as anchor tenant
  • Creating 700 jobs (340 construction, 360 permanent operational roles)
Goreangab Mall: Safland’s next-generation approach integrating sustainability and community accessibility.

Conclusion: Retail as Economic Infrastructure

Grove Mall’s decade of performance proves that properly executed retail development functions as economic infrastructure—not merely commercial real estate. The mall’s N$18 billion in turnover, 1,576 permanent jobs, and catalytic effect on Kleine Kuppe’s transformation demonstrate returns that extend far beyond the property line.

For property investors and developers across Africa, the lessons are clear:

  • Think beyond the building – The real opportunity is creating nodes, not just structures
  • Partner strategically – Safland’s collaboration with Atterbury and others combined local knowledge with international expertise
  • Lead growth – Don’t wait for markets to mature; create the destination that defines maturity
  • Design for integration – Mixed-use development creates resilience and multiple revenue streams
  • Measure total impact – Success includes employment, infrastructure, and community transformation, not just financial returns

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