A growing family
South AfricaÔÇÖs Louis Group is now one of the countryÔÇÖs most successful property and investment enterprises, with a wide range of interests and activities.
In just four yearsÔÇÖ time, Louis Group will be celebrating 100 years of operation in South Africa. The company was founded by Salim and Michel Louis, who emigrated from Lebanon in 1914 and set themselves up as general wholesale merchants. It continued in that line of business until 1959, by which time it had become one of the largest wholesale merchants in the country. In that year, the companyÔÇöled by SalimÔÇÖs son, Colia LouisÔÇöacquired its first commercial property. When the next generation came into the group its focus turned towards expanding its property, investment and administration activities. Still family-owned, the group has been headquartered in Cape Town since 1994, although it retains its original base, an historic building in Bloemfontein.
Louis Group today has a disciplined corporate structure and has grown to become one of the largest privately-owned property, hotel, financial services and technology companies in South Africa. It owns five luxury hotels and is one of the largest landlords in the country, with office blocks, shopping centres, residential and mixed-use buildings in its portfolio. As a developer, Louis Group Property Development offers co-investment opportunities through strategic partnerships in both commercial and residential sectors.
The first Louis Group hotel, the Devon Valley Hotel in the Stellenbosch winelands, was acquired in 2003. It can be the case that a fresh eye and ownership can result in new standards and this has certainly been the case with Devon Valley. Louis Group undertook major refurbishment and renovation and its approach was recognised with rising occupancy rates and increased demandÔÇöso much so that it was expanded in 2008 and now offers 50 rooms. Its renovated Flavours Restaurant can now accommodate up to 150 people, served by a brand new kitchen that is twice the size of its predecessor. The improvements have been achieved without sacrificing the hotelÔÇÖs historical legacy; it still retains the welcoming and comfortable feel of a boutique country house. It has now won the Accommodation category in the Best of Wine Tourism Awards three timesÔÇöin 2006, 2007 and 2009ÔÇöwith the judges highlighting both the continuous cosmetic upgrading as well as its excellent service standards.
The Erinvale Estate Hotel and Spa in Somerset West, south of Stellenbosch and south-east of Cape Town, has a traditional Cape Dutch-style appearance, a range of suites and rooms and holds memberships at the neighbouring Gary Player-designed Erinvale golf course. It is the only hotel in South Africa to hold Leading Golf Hotels of the World membership. The Fairways on the Bay, at Camps Bay in Cape Town, offers a range of rooms and suites and is handy for business or sightseeing in the city itself. These two Louis Group hotels are among the first in Africa to become part of the Preferred Hotel Group, an international association of independent hotels. Among the advantages is the facility to connect to other hotels across the world, with the confidence of high standards of hospitality wherever you go.
Property investments remain at the core of Louis Group in South Africa. Among its portfolio is The Paddocks, a new retail development in Cape Town, which is being offered as a fully-tenanted investment opportunity. Louis Group Properties will continue to provide management services, as it does with two retail developments on Strand Street, Cape Town; Bellville Mall, Bellville; and the mixed-use retail and offices Belvedere Square in Claremont, among others. It operates some tenanted developments itself and is also a real estate agent in commercial, retail, office and residential sales and letting. With all that activity, itÔÇÖs entirely natural that Louis Group should have become established as a leading brokerage in the commercial and industrial property market and is able to provide the full range of traditional marketing services, covering investment sales, leasing, property management and property development.
ItÔÇÖs also natural that the companyÔÇÖs need for effective communications would lead it to invest in high-quality IT. What may come as a surprise is that it decided to take its investment to the ultimate lengths and establish its own company in the marketÔÇöLouis Group (Africa) Technology. It is actually made up of three businesses: SmartSurv Wireless; AV Alliance; and iCAT.
SmartSurv Wireless is, essentially, an asset management company. Its primary activity is the production and management of cellular network wireless solutions for vehicle surveillance and tracking, although it can be applied to pretty much any asset class. Its services are backed up by a call centre for constant monitoring, alert of tampering and, if necessary, recovery. AV Alliance was originally established to support the audio-visual infrastructure of the Cape Town International Convention Centre (CTICC). It also supplies the International Conference Centre at Durban and is now recognised as a leading specialist in the supply and management of IT services for conferences, industry and events. iCAT is an integrated communications provider to industry and commerce, offering network design and support, including satellite and security systems. It has been managing the IT infrastructure of the Sports Science Institute of South Africa for some time.
One of the needs of the new South Africa is skills. The company has risen to the challenge, with the establishment of the Louis Group Business Academy. It offers an internationally accredited, wholly-sponsored business programme in association with the University of Stellenbosch Business School. Its focus is on equipping individuals to start and manage their own business or to work more effectively within their current roles.
Raising economic involvement is also a priority. KeHa Holdings is a Black Economic Empowerment (BEE) entity, with 60 per cent of the shareholding held by previously disadvantaged individuals (PDIs) and the balance by Louis Group (Africa). The group is involved in agriculture, through Komsberg Farming.
The extent of Louis GroupÔÇÖs holdings in property, business services, hospitality, training and economic empowerment demonstrate that it is an organisation committed to the new South Africa
