CHANGE

for the greater good

Project nutshell

The gatehouse of Circa Illovo residential development is sited on Chaplin Road, with its two apartment blocks straddling the land between Oxford and Rudd in the prime location of Illovo, Gauteng. Globally, Covid had impacted negatively on commercial office space, and in this case, opened the door for International Housing Solutions (IHS) to explore this entity’s potential for a residential conversion – one which aligned with their affordable housing mandate. Having recently completed a very similar project in Lynnwood, Pretoria, IHS drew from the learnings and success of that office-to-residential conversion for Circa Illovo.

The recipient of a Platinum Award for Affordable Housing Development of the Year 2025 at the Reside Awards, Circa Illovo also secured an EDGE Preliminary (Excellence in Design for Greater Efficiencies) certification. IHS group’s technical specialist Blake Bowden expands: “EDGE celebrates its tenth year this year, and in 2015, IHS was the first to achieve an EDGE design-certified development in Africa. We’re considered pioneers in this space, and have, post-construction, certified over 6 850 units across sub Saharan Africa, with an additional 2 300 units design certified and 4 000 units registered. We are fully committed to developing all our new builds as EDGE compliant.” The elements comprising EDGE certification come with significant benefits for tenants, owners and developers alike.

WINNING WITH EDGE

As the EDGE Expert on the project, Yvonne Pelser of Inside Out Consulting compiled Circa Illovo’s submission for accreditation: “EDGE makes it easy to certify a building. The EDGE app is intuitive and helps guide the project team and the client on targeting and achieving EDGE measures.

“From the base-case building, Level 1: EDGE certified requires a 20% saving on electricity, water and embodied carbon in materials, which directly translates into lower utility bills and a smaller environmental footprint for the occupants.” Circa Illovo exceeded in each category.

Moreover, purchase of an EDGE-certified apartment also provides prospective homeowners with access to green bonds or mortgages from the four big South African banks. “The buyer can benefit from lower interest rates on loan facilities – in some cases, up to 0.25 basis points lower – increased resale value and prices, FNB ebucks and other benefits,” says Bowden.

“On the development side, IHS received a green bond ‘cashback incentive’ on the development finance facility from Nedbank, in partnership with the International Finance Corporation (IFC) and the blended financing solution channelled by a UK government-sponsored programme called the Market Accelerator for Green Construction (MAGC). Among others, Circa Illovo was one of the developments to receive this first green bond issued by a commercial bank in Africa, which focused on green residential housing developments in the low- to middle-income category.”

IHS has calculated the direct benefit to the homeowner: with reduced utility bills, it’s a saving of one month’s bond repayment over the period of 12 months. In the affordable housing market, this is significant. Similarly, a tenant would save one month’s rent over a 12-month period at Circa Illovo.

A HOST OF OFFERINGS

Circa Illovo offers studio, one-bedroom and two-bedroom apartments (each with one bathroom), and some with patios. Affordable housing in an ideal location is not the norm, and Circa Illovo offers considerably more than just position. Designed on a hybrid model, there are both rental and open-market ownership (sectional title units) options: 166 units for sale, 207 for rental. Both blocks are complete, with a phased approach to lease-up. IHS’ research investigated accommodation in the surrounding areas, where starting prices were in the region of R1.5 million, and at Circa Illovo, sales began at R760 000 per unit.

IHS conducted extensive research to pinpoint the target market and tenant profile, identified as young professional creatives. The development’s closeness to work premises, sports amenities such as padel courts and clubs such as Wanderers, and proximity to the Gautrain, restaurants and night life ticked all boxes. On site, too, there are numerous leisure and exercise facilities, such as a swimming pool, deck and braai areas, as well as a yoga studio and gym. Each unit has free fibre-optic connection, and the business centre offers Wi-Fi, Zoom pods and a boardroom with TVs. The estate also has a generator to be used in the public areas when required.

THE ART OF REUSE

For Bowden, “The highest form of sustainability is reuse, which made this building really exciting. With this project being a conversion, close on 70% of the development consists of reused office space. The floor and roof slabs were reused, as were the existing exterior walls, and likewise, existing aluminium window frames and glazing.” By reusing the existing building structure and external walls, Circa Illovo’s EDGE Preliminary certification achieved 60% less embodied carbon in the materials and associated greenhouse gas (GHG) emissions category during the construction process.

Pelser elaborates: “For existing buildings older than five years, the reuse of existing materials is encouraged, which reduces the embodied carbon emissions related to the manufacturing of new materials. This is in addition to other benefits based on the reuse of existing infrastructure in well-located neighbourhoods.

The energy saving of 24% was achieved with a reduced window-to-wall ratio, insulated roof and exterior walls, and an efficient water heating system. A 30% water saving was secured with water-efficient shower heads, water efficient taps in bathrooms and kitchens, and efficient dual-flush toilets.

ENERGY-EFFICIENT WALLING

Construction that went beyond the existing structure included the interior walls. The majority of the interior walls used new construction materials. Pelser says the material used was Iso Concrete, a lightweight concrete product. The company diverts polystyrene waste from landfill to be used in energy-efficient walling – over 70 000 tons of polystyrene, most of which ends up in landfill, is used as packaging in South Africa every year. Any form of expanded polystyrene can be successfully used to manufacture lightweight concrete, making Iso Concrete a highly sustainable building solution.

“Securing an EDGE certification is part of the fabric of IHS solutions,” says Bowden. “We are working to combat climate change and to deliver impact. We want to be that developer. We put money back into the pockets of the homeowner or tenant, and that underpins sustainability – it’s not only about climate change; it’s also about social and economic sustainability. It’s becoming part and parcel of who we are.

“When a tenant sees the savings because of the EDGE components, it creates a demand for EDGE-certified accommodation and buildings, as in ‘I only want to live in an EDGE-certified development.’ It’s educational. People can understand, start measuring and thinking about their consumption and their behaviour when it comes to electricity and water. It changes mindsets.