Industrial and Warehouse Space in Atlantic Hills: What Tenants Need to Know
Atlantic Hills Business Park is located in the Durbanville area of Cape Town's Northern Suburbs, situated on the Potsdam interchange with direct access onto the M12 and M13 and immediate access onto the N7. This location provides easy access to Cape Town Harbour, Montague Gardens, Killarney Gardens, Atlantis, Durbanville, Parklands and Plattekloof. Both the Cape Town Harbour and Cape Town International Airport are within a 22 km radius, giving businesses in the park access to the city's primary freight infrastructure without the congestion and pricing pressures associated with more central industrial nodes.
The N7 connects directly to the N1 northward toward Paarl and the Winelands, and southward toward the Cape Town CBD and the Foreshore. For businesses with distribution requirements that extend across the Western Cape , servicing the West Coast, the Winelands corridor and the Cape Town metro simultaneously, Atlantic Hills offers a highway position that few other Northern Suburbs parks can match.
Current rental rates at Atlantic Hills range from R110 per square meter for new A-grade warehouse units, with entry-level older stock available from R72 per square meter. A standard 977 square meter unit at the current asking rate comprises approximately 850 square meters of clear-span warehouse and 126 square meters of integrated office space at R107,470 per month excluding VAT. Standard specifications in current new-build units include a 6-metre eave height, full-size roller shutter doors, a fire sprinkler system, 80-amp three-phase power supply, LED lighting, fibre-ready internet connectivity, a kitchenette, ample ablutions, an exclusive yard with dedicated parking bays. These specifications meet the requirements of most logistics, distribution, light manufacturing and e-commerce operations without the need for costly tenant upgrades.
The Atlantic Hills Investment Case: What Landlords and Investors Should Know
Atlantic Hills represents the most significant greenfield industrial investment opportunity in Cape Town's Northern Suburbs and sits within South Africa's top-performing commercial property sector at a stage in its development cycle that offers genuine early-mover advantage for investors.
Atlantic Hills is a rapidly growing industrial precinct catering to a diverse mix of businesses, from logistics and manufacturing to distribution and e-commerce, and its proximity to major arterial roads and public transport options makes it an attractive choice for businesses seeking a balance between convenience and cost. This combination of location quality, new-build specification and competitive rental rates relative to established nodes positions Atlantic Hills as the most credible alternative to Montague Gardens for businesses entering the Northern Suburbs industrial market.
The national context strongly supports industrial investment in Cape Town. Cape Town's industrial vacancy rates have remained exceptionally low at approximately 3.7% to 3.8%, with rental growth consistently outperforming inflation. Demand driven by logistics, warehousing and last-mile distribution continues to grow, and capacity constraints in established nodes such as Montague Gardens are reinforcing landlord pricing power. Atlantic Hills directly addresses this supply constraint by bringing new, purpose-built industrial stock to a Northern Suburbs location that established parks cannot supply. For investors, this means a development pipeline that is being absorbed into a genuinely undersupplied market rather than adding to excess capacity
Atlantic Hills Business Park attracts leading logistics companies, manufacturing firms and distribution centres, with customisable spaces and flexible leasing options that appeal to businesses seeking growth and operational efficiency. The park's phased development model means that new stock enters the market in measured tranches aligned with demand, which reduces the risk of oversupply and supports consistent rental performance across all completed phases.
Atlantic Hills: A Complete Industrial Property Guide
Atlantic Hills Business Park is Cape Town's most active new industrial development and one of the most significant commercial property projects currently completing in the Western Cape. It occupies a strategic position at the Potsdam interchange in the Northern Suburbs, sits within Cape Town's strongest performing commercial property sector, and offers a scale and specification of new-build industrial space that the established metro nodes cannot currently provide. This guide gives you a factual view of the park — its location, its infrastructure, its unit types, its rental market and what to expect whether you are leasing, buying or investing here.
Location and Geographic Boundaries
Atlantic Hills Business Park is situated at the Potsdam interchange in the Durbanville area of Cape Town's Northern Suburbs, with direct access onto the M12 and M13 and immediate access onto the N7. The N7 provides the primary highway connection, running north toward Atlantis and the West Coast and south toward the CBD via the N1 interchange. The M12 connects directly to Milnerton, Montague Gardens and Killarney Gardens, and the M13 provides access toward Parklands, Table View and the coastal Northern Suburbs. Via these routes, Atlantic Hills provides direct access to Montague Gardens, Epping, Durbanville, Cape Town Harbour and Cape Town International Airport, with both the harbour and the airport within a 22 km radius
The Development and Its Phases
Atlantic Hills Business Park covers 72 hectares in total, of which 45 hectares have been earmarked for light industrial business. The park is being developed in phases, with significant bulk infrastructure including roads, power reticulation and services already completed across the earlier phases, and new phases delivering additional stock on a demand-led basis.
Rennie Knight Frank operates across the full Cape Town CBD market. We give you direct access to available listings, market intelligence and professional advisory support backed by the global Knight Frank network. Contact our Cape Town team to discuss your requirements.
The park's completed phases contain a range of completed warehouse and light industrial units across Bommelhoek Road, Atlantic Drive and Potsdam Road, with ongoing new phases including Site C delivering additional units. The phased development model is deliberately measured, new stock enters the market in tranches aligned with absorption rates, which keeps vacancy low and supports rental performance across the full park.
Building Specifications and Unit Types
Atlantic Hills has established a consistent and modern specification standard across its completed phases. Current new-build units feature 6-metre eave heights, clear-span warehouse layouts, full roller shutter door access, fire sprinkler systems, 80-amp three-phase power connections, LED lighting throughout, fibre-ready internet connectivity and integrated office components with kitchenette and ablution facilities. Exclusive yards, dedicated parking and street-facing display windows are included in unit designs across the current and recent phases.
Rental Rates and Market Positioning
Current asking rentals at Atlantic Hills range from R110 per square meter for new A-grade warehouse units, with entry-level stock available from R72 per square meter. At R110 per square meter, Atlantic Hills sits at a premium to older stock in Montague Gardens and Epping, which reflects the new-build specification, modern infrastructure and purpose-built environment of the park. However, this premium is modest relative to the operational benefits that new-build specification delivers, lower maintenance costs, better power infrastructure, modern roller door configurations and purpose-designed loading arrangements reduce operational friction in ways that older stock often cannot.
Transport and Labour Access
Atlantic Hills is fully integrated into the City of Cape Town's Integrated Transport System, with MyCiTi bus services providing public transport access from Milnerton, Parklands, Plattekloof and Durbanville. The transport network connects these Northern Suburbs communities to the broader Cape Town metro transit system, giving businesses in Atlantic Hills access to a workforce from a wide geographic radius without requiring employer-provided transport. The surrounding residential areas of Parklands, Blouberg, Table View, Durbanville and Edgemead supply a large and growing Northern Suburbs workforce. The Durbanville Hills residential corridor has been one of Cape Town's fastest-growing residential areas over the past decade, and the growing population in this corridor directly increases the labour pool available to businesses operating in Atlantic Hills without the commuting distances that affect more centrally located industrial nodes.
For road freight, the N7, M12 and M13 provide multiple direct routes to all major freight destinations in the Cape Town metro and beyond. All roads and transport infrastructure in and around Atlantic Hills are being upgraded, which reflects the City of Cape Town's recognition of the precinct as a significant new industrial node requiring investment in access infrastructure.
Content accurate as at June 2026. Market data sourced from publicly available commercial property research.
Cnr Malibongwe Drive & Contermanskloof Road, Atlantic Hills, West Coast
Please enter your email address below. Once submitted, you will receive your requested report as an attachment via email.
Call us to discuss your requirements - we're awaiting your call.
Search Knight Frank SA: You can't beat local passion backed by global support.