Business confidence in Cape Town’s inner city is at its highest since 2020, says the Cape Town Central City Improvement District (CCID).
The CCID says its Business Confidence Survey in the first quarter of 2025 – based on responses from 293 businesses in its inner-city footprint – show an approval rating of almost 95%.
Small businesses have played “a critical role in boosting growth in Cape Town”.
“Owner-led businesses are reshaping the CBD by introducing new offerings, reviving underused spaces, boosting job creation and diversifying the local business landscape,” the CCID says.
It notes that the number of businesses in the city centre grew from 3 116 in 2022 to 3 302 in 2023, meaning 186 new businesses were established in a year – from clothing stores to coffee shops, art galleries, legal and medical practices and artists’ studios.
“This groundswell of entrepreneurial activity is especially significant given the challenges the CBD faced during the COVID-19 pandemic, which tested many small businesses and ultimately paved the way for a remarkable recovery.”
A CCID report quotes Colette MacLennan, owner of the eatery The General Store in Bree Street, as saying: “It was hardcore … we hung on for dear life. If you can get through that, you can pretty much do anything.”
She adds: “We started as a team of four and now, after 10 years, there are 12 of us.”
[Image: Colette MacLennan. CCID]
Central to the success of her business, she says, is the success of the inner city, where “the buzz of ‘town’ is irresistible”, coupled with the work of the CCID itself in promoting a secure, clean and desirable city centre.
Richard Lemkus, owner of iconic St George’s Mall sneaker store Lemkus (formerly Jack Lemkus, a sports shop dating back to 1935), says of business conditions today: “We believe in the future of the inner city, not just as a business location, but as a cultural and creative hub.”
Lemkus adds: “The CCID plays an important role in creating a functional foundation for businesses like ours. Clean streets, visible security and responsive urban management make it easier for us to focus on building meaningful experiences.”
Casey Augoustides, a co-developer of The Barracks building on the corner of Strand and Bree streets, says: “The energy of innovation and creativity you find in the inner city attracts many niche commercial business owners who are like-minded. They’re all trying to do something exciting and different with their businesses in a prime location and we really love this.”
[Image: The Barracks building. CCID]
The ground floor of this part-heritage development incorporates elements of a 1764 warehouse. The building has apartments on the upper floors, together with commercial tenants, including restaurants, a sports store, a high-end kitchen appliance shop, a shoe store and a rooftop wellness centre.
[Image: CCID-Ryan Warneke]