Well-known South African township is getting a R5-billion smart city and a shopping mall

A R5-billion smart city is under development in Kagiso, a township with a rich history, and it will feature advanced digital infrastructure and renewable energy generation.

The first major component of the smart city, dubbed the Leratong Smart City, has already launched: the Leratong City Shopping Centre.

Located in the West Rand of Gauteng, Kagiso was established in 1920 by former miners and squatters from Luipaardsvlei.

It sits just 25km from the Cradle of Humankind, a UNESCO World Heritage site. The township is famous for its traditional music, culinary arts, and cultural events.

Plans for the Leratong Mega City first surfaced in 2010, with its initial framework rooted in South Africa’s Township Regeneration Strategy.

The plans gained traction when McCormick Property Development, Calgro M3, and Sasuka Logistics Services announced a joint venture to build 15,000 homes and a mall.

While it was initially planned as a “Mega City”, it shifted towards its current Smart City status around 2019, with President Cyril Ramaphosa’s 2019 SONA.

“Has the time not arrived to build a new smart city founded on the technologies of the Fourth Industrial Revolution?” Ramaphosa said.

He added that he’d like to invite South Africans to begin imagining the prospect, directly inspiring development of the Leratong Smart Mega City.

The site for the smart city is situated beside the Leratong Hospital, built in the 1970s, and the neighbouring Chamdor precinct.

Gauteng Premier Panyaza Lesufi described the Leratong Smart Mega City as a “new post-apartheid city”, promising that it would provide new opportunities for residents.

Despite references to a smart city in Mogale City’s Integrated Development Plan (IDP) for 2021/22 to 2025/26, there is little evidence that it will be one.

The municipality’s IDP said phase one of the Leratong Smart City aimed to establish 1,900 housing units.

Phase two aims to deliver 13,000 housing units and other commercial units. However, the plans appear to have shifted.

No details on smart city infrastructure

Mogale City’s IDP for the 2026/27 financial year specifies a slightly different approach to the development.

“Leratong Smart City has potential for 16,000 housing units,” it said, adding that phase one would deliver 5,000 housing units and a regional shopping centre.

Neither of the plans provided details on ICT or other infrastructure that would qualify Leratong as a smart city.

The Leratong Smart Mega City forms part of Gauteng’s efforts to address housing backlogs by building cities with bulk infrastructure.

These developments, set to be located along major transport corridors, have been named “Mega Cities” and are intended to be self-sufficient.

Speaking at the launch of the Leratong Civic Centre, Mogale City Executive Mayor Lucky Sele said he wanted to see cranes rising across the city centre.

“I want to see old buildings renovated, underutilised properties redeveloped and new commercial spaces taking shape,” he said.

The development’s mall, the Leratong City Shopping Centre, was completed and launched in late October 2026.

The 42,000m2 mall is the centrepiece of the Leratong Smart Mega City project, and the developer that built it aims to deliver 3,500 homes by the end of 2027.

“Leratong City Mall has officially opened its doors,” Sele said. “Beyond the mall, the broader Leratong City development forms part of a vision to create a vibrant urban hub.”

He explained that the city will be designed so that residents can access amenities and services closer to home.

“As the project progresses, it presents an opportunity to transform the area and create new possibilities for the people of Mogale City,” Sele said.


Photos of Leratong Smart Mega City and the Leratong City Shopping Centre

Kagiso Township
The Leratong Smart Mega City site is near the Leratong Hospital
Gauteng Premier Panyaza Lesufi at the groundbreaking ceremony
Lucky Sele, Mogale City Executive Mayor, spoke at the official opening of the Leratong City Shopping Centre
Leratong City Shopping Centre opening
Leratong City Shopping Centre launch
The Leratong City Shopping Centre
The Leratong City Shopping Centre
The Leratong City Shopping Centre
The Leratong City Shopping Centre
The Leratong City Shopping Centre
Fast food outlets at the Leratong City Shopping Centre
Absa branch at the Leratong City Shopping Centre

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