Founded by some of South Africa’s foremost property professionals and investors, Divercity invests exclusively in inner-city precincts.
These precincts are well-located, affordable housing weighted, amenity-rich neighbourhoods that offer low and middle income households the opportunity to live in wholesome urban environments, close to where they work and with access to all the essential amenities required to get ahead in life.
This model is in stark contrast to the current dominant mode of affordable housing delivery in South Africa and most developing contexts, where lower income households are confined to the urban periphery – far from opportunities and essential services.
Divercity’s approach enables the fund to create pockets of urban excellence which support stable income yields and long term capital growth – thus creating an ideal asset class for long-term investors such as pension funds who require stable, inflation hedged investments. In addition to the strong commercial investment case, investments in Divercity Precincts also deliver significant socio-economic returns, as highlighted above.
In the South African context, Divercity firmly believes in the importance of undoing the Apartheid Era spatial divides that, to this day, segregate our cities by race and class. By developing integrated neighborhoods in centrally located areas, Divercity is bringing histrionic marginalized households that are typically pushed out to the urban edge, far from opportunity, into the urban core. This is by far the most meaningful and significantly transformative aspect of Divercity’s business model.