Prasa Opens New Student Housing Facility In Johannesburg Supporting Education And City Revitalisation

The launch of the facility through Prasa’s subsidiary Intersite, marks a significant milestone in the agency’s efforts to leverage its property portfolio for socioeconomic development and sustainable rail operations.

The Lab Building Student Accommodation was established after the redevelopment of an underused office building owned by Prasa was transformed into a vibrant student accommodation hub.

The 12-storey building houses students from surrounding institutions of higher learning that are located in close proximity to Johannesburg’s integrated public transport network as well as the retail precinct at Prasa-owned Johannesburg Park Station, ensuring access to mobility.

Prasa’s secondary mandate, led by Intersite, is to generate income from the exploitation of its acquired assets, including its vast property portfolio and real estate.

The role of Intersite is to utilise Prasa’s non-rail assets to generate additional revenue for long-term sustainability of the business. The project is a co-development between Intersite and Elevated Fund.

“Through Intersite, we are reimagining the role of transport-linked properties as catalysts for social and economic progress. This project embodies that commitment, transforming underutilised buildings into a space that provides safe, affordable, and dignified accommodation for students who represent the future of our country,” Prasa Board Chair Nosizwe Nokwe-Macamo said on Tuesday.

The Prasa’s Rail + Property strategy aims to grow revenue to R2.5bn by 2035.

These are underpinned by Intersite’s execution in property development, co-investments, lease buybacks, and station precinct modernisation, among other initiatives, for future financial sustainability, renewable energy, and fibre optics to create lucrative revenues for future sustainability.

“Our task as the Board is to ensure that Intersite operates with commercial discipline, strategic agility, and developmental purpose, providing a true example of how State-owned entities can deliver both profit and public value,” Intersite Board Chair Ayanda Peter said.