R5bn Leratong City project breaks ground in Kagiso township

Construction has officially begun on the R5 billion Leratong City development in Kagiso, marking the start of one of Gauteng’s largest mixed-use township projects.

Located around Leratong Hospital on the West Rand, the long-term development is expected to deliver thousands of mixed-income homes alongside retail, transport, education and community facilities designed to serve residents across Mogale City and neighbouring areas, as stated in Business Report.

R5bn Leratong City Project Begins Construction in Kagiso township, West Rand

The project will include:

🏘️ Thousands of residential homes (mixed-income and affordable housing)
🛍️ A 35,000 m² regional shopping mall with over 100 stores
🧒 Children’s play and entertainment… pic.twitter.com/tLkykxjRSy

Kasi Economy (@KasiEconomy) July 22, 2026

Plans for the development include approximately 15 000 residential units, a 35 000m² regional shopping mall with more than 100 stores, schools, commercial offices, parks, government facilities, public transport infrastructure, water reservoirs and spaces for small businesses and entrepreneurs. A regional taxi rank, weekend market, children’s entertainment facilities and pedestrian-friendly public areas also form part of the master plan.

The shopping centre is expected to serve as the commercial anchor of the broader precinct, which is being developed over several phases. The project aims to create a centralised urban hub where residents can live, work, shop and access essential services closer to home.

Premier Panyaza Lesufi previously confirmed that the development is expected to become a major economic catalyst for the West Rand, adding that construction has already created employment opportunities through local micro, small and medium enterprises. According to the Gauteng government, hundreds of workers are currently employed on site through participating SMMEs.

Kasi Economy described the project as more than a property development, saying it represents a new model for township-led economic growth.

‘Townships have long been viewed as labour reservoirs rather than economic centres. Developments like Leratong City have the potential to shift that narrative by bringing investment, services and opportunities closer to where people live,’ the publication noted.

Once complete, Leratong City is expected to become a key economic and residential hub connecting Kagiso with the broader West Rand region.