IFC Invests ZAR 1 Billion in Balwin to Deliver 16,000+ Green Homes in SA

The investment will specifically fund the development of Mooikloof City, a large-scale residential project located in the east of Pretoria, about 40 kilometers from Johannesburg.

In a major boost for affordable and sustainable housing in South Africa, the International Finance Corporation (IFC), a member of the World Bank Group, has announced a ZAR 1 billion (approximately $58 million) investment in Balwin Properties. The funding will support the construction of more than 16,000 housing units aimed at low- and middle-income buyers, helping address the country’s significant housing shortfall while promoting green building standards and local economic growth.

The investment will specifically fund the development of Mooikloof City, a large-scale residential project located in the east of Pretoria, about 40 kilometers from Johannesburg. Once completed, the project will deliver a total of 16,468 housing units, contributing significantly to the expansion of affordable housing stock in Gauteng, South Africa’s most populous province.

Driving Sustainable and Inclusive Urban Growth

The Mooikloof City development has been designed with sustainability at its core. Each housing unit will be constructed to high environmental standards and certified under IFC’s Excellence in Design for Greater Efficiencies (EDGE) program. This certification ensures homes are built with energy-efficient appliances, water-saving systems, and insulation that reduces energy use for heating and cooling. These features will not only lower the environmental impact but also significantly cut monthly utility bills for homeowners.

Balwin Properties, known for pioneering green building in the residential sector, is currently the world’s largest developer of EDGE Advanced certified apartments, which deliver at least 40% energy savings, 20% water savings, and reduced embodied energy in construction materials. These efficiencies support South Africa’s broader transition to a low-carbon economy and enhance the affordability of homes through both reduced living costs and access to Green Bonds, which can offer more favorable mortgage rates.

Job Creation, Economic Impact, and National Development Alignment

The benefits of the IFC investment extend beyond housing. The Mooikloof City development is expected to stimulate local economic activity, create jobs, and strengthen supply chains in surrounding communities. With construction poised to support employment across various sectors—from skilled labor to materials supply—this project contributes to national objectives under South Africa’s National Development Plan (NDP).

“IFC's strategic investment in Balwin underscores our commitment to expanding access to quality housing for low- to middle-income households, directly supporting South Africa’s National Development Plan,” said Cláudia Conceição, IFC's Regional Director for Southern Africa. “Housing is a catalyst for individual well-being, strong communities, and overall economic growth, making it a key priority for IFC.”

South Africa’s urban population currently accounts for 66% of the national total, and this is projected to grow to 71% by 2030. The pressure on urban infrastructure, particularly affordable housing, is mounting. Public resources alone cannot meet the scale of demand, making private sector involvement critical to bridging the gap.

Balwin’s Vision for Greener Living

Balwin Properties CEO Steve Brookes emphasized the company’s mission to not only deliver affordable housing but to do so in a way that is sustainable and future-focused. “The support from IFC not only enables us to expand the availability of affordable housing but also reinforces our dedication to green building practices,” Brookes said. “Homeowners benefit from long-term savings on utilities and, through our collaboration with major banks, can access Green Bonds that reduce borrowing costs.”

Brookes also noted Balwin’s plans to further its sustainability goals by pursuing Green Star Precinct Ratings from the Green Building Council of South Africa for its Mooikloof and Riverwalk developments in Tshwane. This additional certification recognizes environmentally sustainable urban design across entire precincts, not just individual buildings.

A Model for the Future

IFC’s investment is part of a broader World Bank Group strategy to harness private capital in addressing South Africa’s infrastructure backlogs. By focusing on social infrastructure like housing, the IFC aims to improve the quality of life for millions while bolstering long-term economic resilience.

The Mooikloof City project stands as a blueprint for how private sector collaboration, sustainable building practices, and inclusive development can converge to meet South Africa’s most pressing needs. With the population continuing to urbanize and the housing deficit growing, investments like these are not just timely—they’re transformative.