Will Cape Town ever host the prestigious Formula 1 Grand Prix?

Plans to bring the Formula 1 Grand Prix to Cape Town may have been scuppered by Minister of Sport, Arts and Culture Gayton McKenzie who seem to favour Kyalami racing circuit.

This as those hoping to submit a proposal to the Formula 1 Bid Steering Committee (BSC) have been given more time after the Department of Sport, Arts and Culture announced an extension until March 18.

This extension aims to give stakeholders additional time to submit comprehensive, well-structured proposals in line with RFEOI requirements.

McKenzie emphasised the bid’s significance: “Hosting a Formula 1 Grand Prix would boost our economy, tourism, and development while showcasing South Africa as a premier global sporting destination. This extension ensures bidders have the time to prepare exceptional proposals.”

According to Bloomberg, McKenzie said there has been discussions with the Formula 1 organisers during the week, and that the country will be submitting its bid in May to host the motor racing event in 2027. Talks with potential sponsors, such as Heineken and Red Bull among others, to help raise the capital needed to enter the bid are already under way, he said.

Seven-times world champion Lewis Hamilton said last year the time was right for a race in Africa.

“It is clear that people want to invest in this,” said McKenzie. “We have also gotten some promising news that Holland is not coming back so we might be getting that space in 2027.”

The F1 Bid Steering Committee welcomed the announcement saying that since the publishing of the RFEQI document, the bid committee has observed the interest and positive sentiment in the country around the F1 Bidding process.

Bakang Lethoko, F1 Bid Steering Committee chairperson, said: “Our priority as the committee is to ensure that the country presents before F1 a comprehensive, sustainable, and financially viable case for the F1 Grand Prix’s return to South Africa.”

Lethoko said engagements with prospective bidders in the process indicate that there is great enthusiasm among various interested parties and stakeholders in the F1, and the committee is committed to ensuring that the process is competitive, fair, and transparent.

Since the start of January, Cape Town Grand Prix SA (CTGPSA) has already been proactive in voicing its intention to submit its bid.

CTGPSA has been the longest-standing and resilient promoter bidding to host an F1 street race in the Green Point Sport Tourism Precinct in Cape Town, home to the DHL Stadium, which is proposed to form part of the 5.7km street circuit.

CTGPSA said that their biggest risk is that history will repeat itself by “opportunistic promoters taking our original street circuit concept, (Registration No. 2005/01144) and unveiled in the media in 2011, and formulating their F1 bid around it”.

Our concept aligns with the global appeal of F1 street circuits, combining thrilling motorsport with Cape Town’s iconic urban and natural landscapes to deliver a world-class event that showcases our city, province, and country on the African continent.

“We have fondly coined our location the ‘African Riviera’ as it is set against the spectacular backdrop of the Atlantic seaboard with breathtaking panoramic vistas of world-renowned tourism sites,” they said.

CTGPSA CEO, Igshaan Amlay, voiced his concerns with the process, however, stating that there has been no transparency until the media announcement of the Bid Steering Committee (BSC) on December 18, 2024.

“Kyalami has been clearly favoured and given a significant head start over other parties interested in participating in the bidding process, especially with the minister having announced the bid committee during a media briefing held at Kyalami Grand Prix Circuit in Midrand, strategically positioning Kyalami as the favourable circuit and backed by the minister’s consistent focus on Kyalami during all media engagements to date,” Amlay said.

“The RFEOI requirements address Kyalami, which is a purpose-built circuit and not a street circuit, meaning that from the outset, the RFEOI was customised to exclude a promoter such as Cape Town Grand Prix SA, whose bid is for an economically more viable street race that will be upgraded to Formula 1 standard with ongoing maintenance, and to return to regular road use and become a tourist destination alongside the 2010 Soccer World Cup legacy DHL Cape Town Stadium, Fan Walk, Urban Park, and more.”

The BSC documents explain that through the RFEOI, they seek to obtain an Expression of Interest (“EOI”) from reputable entities in connection with the hosting/promoting of an F1 Race annually in South Africa commencing in 2026 or 2027 on a 10-year term.

Interested parties and potential promoters will be required to make payment of a refundable deposit into the Section 86(4) trust account of attorneys appointed by and representing the BSC, to the value of R10 million.

In the event that an interested party is unsuccessful in the EOI stage and is not selected to move forward into the closed RFP process, the deposit will be refunded with relevant interest accrued.

Amlay expressed concerns that interested parties and potential promoters are required to pay a deposit of R10 million.

When explaining why he wanted to get involved, Amlay said he had conceptualised a bid in 1999 already while he was working on Robben Island.

“We know that we have the winning bid… CTGPSA’s public and private stakeholder engagement, built on a deep understanding of motorsport events and event planning, began in 2005 and has since resulted in several key milestones that showcase our unique intellectual property.

“This wealth of experience and proprietary knowledge includes valuable insights into securing high-level governmental support, international stakeholder engagements, and potential management of such complex event logistics,” Amlay said.

“Additionally, our collaboration with F1 Circuit Designers & Consultants, including renowned expert Herman Tilke, and the support from local and international partners, underlines the value of the intellectual property we’ve cultivated over the years.

“This intellectual capital is not just a collection of relationships but a strong framework for delivering world-class motorsport events, making us a unique and trusted partner in this arena.”

He added that interested parties are yet to be presented with the detailed F1 requirements as promised.

The BSC has yet to respond directly to some of the concerns raised by CTGPSA.

After the submissions period closes, shortlisted organisations will be informed by email, indicatively within five working days from the closing date.

The announcement date will be determined based on the evaluation process.