• That the CBD was starting to show signs of decay
• That parking was inadequatehat traffic flow patterns had become outdated resulting in congestion
• That anchor tenants could no longer expand their businesses to meet the growing need of shoppers
• That informal traders were creating further problems with regard to traffic, security and the lack of control over parking.

These factors resulted in a decline in tourism to Paarl and local shoppers choosing to spend their money elsewhere. (The property owners cited a survey that showed some 74% of shoppers from the upper income bracket who shop outside Paarl.)

In their proposal the property owners called for land owned by Council and the National and Provincial Governments to be incorporated into the plans for urban renewal so that both the trading and parking areas could be increased.

Details of the Proposed Development

The project calls for the renewal of a section of the CBD in Paarl that would entail creating a new concentrated shopping mall, albeit not under a single roof.  The mall is, however, distinguished from suburban shopping complexes in that shoppers will not be dependent on private motor vehicles for access.  It is envisaged that this development should facilitate the eventual link-up with the business areas across the Berg River into Paarl East to develop into a single, continuous and linear CBD. The Berg River should be given due cognizance so as to avoid any primary or secondary negative impacts on the river system

The anticipated/expected benefits of the proposed development?

• It will generate economic growth, both within the local economy as well as for the municipality in terms of the anticipated higher returns on rates and taxes.
• This will broaden the funds base for public investment and addressing community needs.
• Short term job opportunities will be created during the development phase of the project and additional permanent job opportunities resulting either directly or indirectly from such new business ventures 
• In terms of the expected economic vitality, the potential contribution to social equality is real and enduring
• 15 000m² of new retail bulk will be created in the CBD which will generate an additional income in new rates and taxes
• A large area of the CBD will be upgraded and made to form part of the bigger development
• The project is seen as the first of several phases of development and thus marks the beginning of a planned approach to urban renewal for Paarl in particular and Drakenstein in general
• This development will also ensure that property values of the existing CBD are enhanced 
• The parking ratio in the CBD will, inclusive of the extensions, be more than double the current ratio
• The safety and security of patrons to Lady Grey Street will be addressed
• Tourists will be drawn into the new upgraded area
• It should address most of the issues around the informal trading in Lady Grey Street
• Developments on the east and west of the river can take place simultaneously, but Council support is needed in this regard to help identify the correct project