INOSPACE has acquired the historic Telkom building at 15 Lower Long Street, Cape Town, strategically expanding in a strategic move to expand its urban logistics and last-mile delivery network into the heart of the central business district.
This high-profile building, which has been a fixture on the Cape Town Foreshore since the early 1970s, is set to be transformed into one of Inospace’s flagship logistics and business storage hubs.
Built in the early 1970s on reclaimed land in the Foreshore district, the building initially served as a central telephone exchange for the South African Post and Telecommunications (SAPT), which managed postal and telecommunications services under one umbrella. This iconic structure stood alone in the area for years, surrounded only by parking lots and the nearby Imperial Cold Storage facility.
It also housed the Roggebaai Post Office, making it a central hub for postal and telephonic communication services.
In 1991 SAPT separated into two entities, creating Telkom to focus on telecommunications services and leaving postal operations under the newly formed SAPO.
By 2004, the post office had been relocated, and the building had been renovated to function solely as a telephone data centre for Telkom.
Over the years, Telkom invested more than R200-million into the building to suit its specialised needs. However, as telecommunications technology evolved and needs shifted, the building eventually became redundant and was put up for sale.
The building spans nine levels, including underground parking, retail, and office spaces on the lower floors and five floors with 6-metre-high floor plates—perfect for business storage or urban logistics. The top floor offers premium office space with stunning views of Cape Town and the V&A Waterfront, adding an element of prestige to this dynamic building.
This property’s incredible load-bearing capacity and power availability make it exceptional. With 2 500 KVA of power and state-of-the-art generators (valued at over R25-million), the building is fully equipped to meet high-energy demands, making it ideal for conversion into a logistics hub. Its robust design, specialised concrete cladding, and GB6 zoning allow for flexibility in its future use for logistics, storage, retail, or commercial projects.
This property presents an unparalleled opportunity for revitalisation. Inospace is set to invest significantly in upgrading and repurposing the building to suit the city’s growing demand for storage and urban logistics solutions. The 13 500 square metres of space will be offered at a highly competitive cost compared to other B-grade industrial buildings, delivering unmatched value for businesses seeking to establish a presence in Cape Town’s CBD.
With its strategic location, the site will offer premium storage and urban logistics solutions, meeting the needs of both businesses and individuals. Bordered by four streets and directly opposite the Cape Town International Convention Centre, the building boasts high visibility and excellent connectivity to major transport routes, ensuring swift access to last-mile delivery services.
Inospace, a leader in last-mile logistics real estate said despite challenges such as high interest rates, municipal hurdles, and political uncertainty in May, the company experienced a significant post-election recovery, achieving a 12.2% overall rent roll increase for the financial year, with 7.2% growth on a like-for-like basis.
The privately-owned company, which operates an R1,3-billion joint venture with Fortress Real Estate, marked its seventh consecutive year of over 10% like-for-like rent roll growth. Inospace maintained a robust cash collection rate above 95% for the quarter, showcasing its operational resilience.
