SA shoppers unfazed by terror alerts?

Consumers are flocking to malls despite alerts issued by the US, the UK and Australia of possible terror attacks in Cape Town and Johannesburg.

Johannesburg - It appears to be shopping as usual for South African consumers despite the alerts issued by the US, Britain and Australia of possible terror attacks at Johannesburg and Cape Town shopping malls.

Listed property funds Hyprop, Growthpoint and Redefine reported on Friday that they had not been able to pick up any change in consumer behaviour.

Pieter Prinsloo, the chief executive of Hyprop, confirmed that they had a few telephone calls from customers raising their concerns and were “dealing” with those inquiries. He said security at Hyprop’s malls had been placed on high alert, particularly for any suspicious packages and behaviour, but it had not picked up any slowdown in trading in its malls.

Hyprop’s malls include Canal Walk in Cape Town and Rosebank Mall, Clearwater Mall and Hyde Park Corner in Johannesburg.

Ensure safety

Estienne de Klerk, the managing director of Growthpoint Properties, said there was insufficient time since the alerts to get any credible feedback about any change in the behaviour of shoppers.

But De Klerk stressed that Growthpoint took the alerts very seriously and had, for instance, called a special board meeting of the Victoria & Alfred (V&A) Waterfront investment company to ensure they were satisfied with the measures taken to ensure patron and shopper safety. Growthpoint owns 50 percent of the V&A Waterfront, with the Public Investment Corporation owning the balance.

De Klerk said across the board Growthpoint had contingency plans in place and had introduced additional security. “It’s not something we can or should ignore and is clearly another headwind for the industry that we don’t welcome. South African shopping centres are part of the urban fabric and a place of pleasure for families and nobody wants to see anything go wrong.”

Growthpoint owns 58 retail properties valued at about R28.2 billion.

Hard to gauge

Andrew Konig, the chief executive of Redefine, said there had not been any noticeable slowdown in trading at its retail centres, but it was something that was hard to gauge.

“I can’t say we’re anticipating any significant change to shopping behaviour as a consequence of the alerts. As a responsible owner of retail properties we have a duty to take reasonable measures to protect shoppers and tenants. We are proactive in this regard and liaising with the relevant authorities and our own security,” he said.

Cynthia Harvey, a US embassy spokeswoman, said last week that the US government had received information terrorist groups were planning to carry out near-term attacks against places where US citizens congregated in South Africa, such as upscale shopping areas and malls in Johannesburg and Cape Town.

Shortly after the alerts shoppers at the Pavilion Mall in Durban had to flee when armed criminals robbed a jewellery store and shots were fired as they made their escape.

Armed robbers have in recent times targeted both jewellery and cellphone stores in shopping malls.

BUSINESS REPORT