Objectives

The primary objective of this tender is to procure services for conducting comprehensive commercial due diligence in the property development and multi-tenanted retail property investment industry. The aim is to support the KZN Growth Fund Agency (KZNGFA) in assessing potential investments, ensuring thorough analysis of market viability, technical feasibility, legal compliance, financial stability, environmental and social impact, and overall risk management related to property transactions.

Scope

The scope encompasses a wide-ranging due diligence process, including but not limited to:

• Market outlook, socio-economic impact, catchment and competitive analysis, tenant mix, mall positioning, and digital marketing strategies.
• Technical assessment of site agreements, traffic impact, project specifications, constructability, and quality of materials and workmanship.
• Evaluation of project schedules, land use approvals, zoning, land ownership, utility rights, and compliance with municipal and environmental regulations.
• Financial analysis covering revenue drivers, funding instruments, long-term lease viability, financial statements, tax compliance, and project valuation.
• Legal review of corporate documentation, contractual obligations, permits, licenses, land titles, and potential liabilities.
• Assessment of project promoters, management team, safety procedures, insurance policies, and project management processes.
• Environmental and social impact analysis, including environmental management policies, waste management, community engagement, and human rights considerations.
• Evaluation of industry, market, competitive environment, supply chain sustainability, and technological infrastructure.

Technical Requirements

The technical requirements include:

• Preparation of detailed due diligence questionnaires supported by comprehensive reports.
• Site visits and technical inspections of agreements, specifications, and construction plans.
• Review of infrastructure capacity, equipment specifications, and compliance with municipal and environmental standards.
• Analysis of intellectual property rights, legal disputes, and regulatory compliance.
• Development of independent financial models and viability assessments.
• Provision of detailed reports on project risks, mitigation strategies, and recommendations for investment decisions.

Skills Requirements

The successful service provider must demonstrate:

• Proven expertise in commercial property development, retail industry analysis, and investment due diligence.
• Strong technical knowledge of construction, engineering, and infrastructure assessments.
• Legal proficiency in corporate law, land use, permits, and contractual review.
• Financial analysis skills, including financial modeling, valuation, and risk assessment.
• Environmental and social impact assessment capabilities, with understanding of compliance standards.
• Experience in project management, stakeholder engagement, and ethical business practices.
• Ability to prepare detailed reports, methodologies, and project plans with clear milestones and evaluation mechanisms.
• Relevant professional affiliations and certifications in real estate, engineering, legal, or financial sectors.