Gqeberha’s beachfront has received another significant private investment, with City Lodge Hotels spending approximately R70 million refurbishing the four-star Courtyard Hotel Gqeberha.
The project is not a new hotel development. Instead, City Lodge has comprehensively modernised an existing beachfront property, upgrading its 91 rooms, restaurant, conferencing facilities, boardroom, lobby and other public areas. Work began in July 2025 and was substantially completed in April 2026, followed by final snagging work.
On its own, one hotel refurbishment does not transform a precinct.
But when viewed alongside other recent hospitality investment in Summerstrand and the wider beachfront, it provides another indication that established operators are prepared to commit capital to Gqeberha’s tourism and business travel offering.
What has changed at the Courtyard Hotel Gqeberha?
Located opposite Humewood Beach with views across Algoa Bay and towards Shark Rock Pier, the Courtyard Hotel has been redesigned around its coastal setting.
The refurbishment includes all 91 rooms, comprising 80 studios and 11 one-bedroom suites, as well as the restaurant, lobby, conferencing areas, boardroom and other shared spaces. City Lodge Hotels
The hotel has also introduced a new co-working lounge, while its restaurant has been redesigned and renamed 25° East. Its meeting facilities include three rooms accommodating between 10 and 80 people individually, with a combined cocktail-style capacity of up to 120 guests.
City Lodge chief operating officer Lindiwe Sangweni-Siddo said the intention was to retain the familiarity of the existing property while repositioning it as a more distinctive coastal destination catering to business, leisure and blended business-and-leisure travel.
For an established hotel that first opened in 2000, this represents a substantial reinvestment in the property rather than a cosmetic refresh.
Why does a R70 million refurbishment matter?
The significance lies partly in the decision to invest.
Businesses generally don’t commit tens of millions of rand to an existing property without expecting it to remain commercially relevant.
City Lodge Hotels operates five properties across Gqeberha, with four situated in the Summerstrand beachfront area. The group has also confirmed that refurbishment work is underway at Road Lodge Gqeberha, while Town Lodge Gqeberha is scheduled for refurbishment during its 2027 financial year.
The Courtyard refurbishment has also resulted in approximately seven additional permanent positions, according to hotel general manager Erich Oberhauser. He said the group’s decision to reinvest reflected its view that there remains growth potential in Gqeberha’s tourism and hospitality market.
Seven jobs alone are modest in the context of Nelson Mandela Bay’s employment challenges. The more relevant point is that this investment forms part of a broader pattern of capital being committed to the city’s hospitality infrastructure.
It isn’t the only recent beachfront investment
The Courtyard Hotel refurbishment becomes more interesting when considered alongside another major hospitality investment only a short distance away.
In April 2026, The Capital Boardwalk opened within the Boardwalk precinct in Summerstrand.
The R270 million development introduced 145 hotel rooms and apartments, a restaurant and bar, co-working facilities, conference space and other amenities. It also marked The Capital Hotel Group’s first entry into Gqeberha.
The development also created new employment opportunities, with contemporary reports placing permanent jobs at approximately 200 to 250.
The two projects are different.
The Capital Boardwalk was a new R270 million development, while Courtyard Hotel Gqeberha is a R70 million refurbishment of an existing property.
Together, however, they represent approximately R340 million in recently reported hotel investment around Gqeberha’s beachfront.
That doesn’t prove that the entire tourism market is booming, nor does it guarantee that further projects will follow.
It does show that two established hospitality groups have recently been prepared to invest substantial capital in the area.
Gqeberha’s beachfront serves more than the leisure market
It is easy to think about beachfront hotels purely in terms of holidaymakers.
Gqeberha’s hospitality market also serves corporate travellers, conferences, sporting events, long-stay visitors and people travelling to the city for work.
That helps explain why both recent projects have invested in more than bedrooms.
The Courtyard refurbishment includes conferencing facilities and a co-working lounge, while The Capital Boardwalk combines accommodation with a co-working hub and conference facilities. The latter can accommodate events of up to 400 delegates.
City Lodge has specifically positioned its Gqeberha properties around the combination of business and leisure travel, while The Capital has similarly promoted its Boardwalk development to corporate, conference and longer-stay guests.
This matters because a stronger beachfront economy cannot depend exclusively on the December holiday season.
Hotels, restaurants and other tourism businesses benefit when visitors have reasons to travel to Gqeberha throughout the year.
Continued investment helps an established precinct remain relevant
From a property perspective, one of the more important aspects of refurbishment is that it prevents established areas from standing still.
Buildings age. Consumer expectations change. New competitors enter the market.
An established hotel that is continually maintained and modernised contributes differently to its surroundings than one that is allowed to deteriorate.
The same principle applies more broadly to shopping centres, offices, public spaces and residential properties.
Continued investment can help an established precinct remain competitive.
In Summerstrand and along Gqeberha’s beachfront, the Courtyard refurbishment now sits alongside The Capital Boardwalk and other ongoing efforts to maintain and improve the area’s tourism and hospitality offering.
That does not mean every part of the beachfront is performing equally well or that the area is without challenges.
But private capital being reinvested in existing properties is still worth paying attention to.
What could the hotel refurbishment mean for Summerstrand property?
This is where the distinction between investment in an area and property value growth becomes important.
A R70 million hotel refurbishment does not automatically make nearby houses, apartments or sectional title properties more valuable.
Residential property values are influenced by comparable sales, buyer demand, affordability, interest rates, property condition, security, views, location within the suburb, available stock and numerous other factors.
For homeowners considering selling, a Comparative Market Analysis provides a more reliable starting point than assuming that nearby commercial investment has increased their property’s value. It considers recent comparable sales, competing properties and the individual characteristics of the home.
Commercial and hospitality investment can nevertheless contribute to the broader appeal and functionality of a location.
For some buyers, proximity to an active beachfront, restaurants, hotels, entertainment, beaches and other amenities is part of Summerstrand’s appeal.
For others, traffic, noise, density or proximity to busy commercial areas may be less desirable.
That is why we would never apply a general development announcement directly to the value of an individual property.
Investment forms part of the location story. It does not replace comparable market evidence.
Why the wider beachfront still matters to Gqeberha
Gqeberha has something many South African metros would struggle to recreate: an established urban beachfront immediately connected to residential neighbourhoods, tourism facilities, restaurants, entertainment, sporting events and a major university.
The municipality itself identifies its beaches and events as important components of attracting tourists and investment, with Humewood, Kings Beach and Hobie Beach forming part of its Blue Flag programme.
Making better use of existing assets is also a wider development consideration for the city, as explored in our article on Nelson Mandela Bay’s municipal land and its potential to support future investment and regeneration.
And with City Lodge also refurbishing its Road Lodge Gqeberha property and planning work at Town Lodge Gqeberha, the group’s investment in the city is continuing beyond this single project.
What Does This Mean for Gqeberha’s Beachfront?
The R70 million Courtyard Hotel refurbishment is another example of private investment in Gqeberha’s established beachfront.
Alongside The Capital Boardwalk development and further planned hotel upgrades, it demonstrates that hospitality operators are continuing to invest in the area’s accommodation and business travel offering.
For the wider property market, these developments provide useful context, but they should not be mistaken for evidence of rising residential property values.
What matters is that existing properties and facilities are being maintained, modernised and positioned for continued use.
For Gqeberha, making better use of its established beachfront assets is an important part of supporting a functional and attractive coastal destination.
