By Samantha Enslin

Durban - The new airport to be built north of Durban is expected to lift property prices in surrounding areas, but some affected residents are expected to resist the development due to noise pollution.

Clive Greene, the owner of the Pam Golding Ballito franchise, said yesterday: "The new airport will encourage a lot of secondary businesses. Employees of these companies will need homes and we are likely to see the development of more affordable properties priced at about R1 million."

Ballito, which is 10km from the new airport, is an up-market holiday spot.

Property prices in the area had increased between 20 and 30 percent each year for the last two years, Greene said.

A three-bedroomed house with sea views costs more than R2.5 million.

"Currently prices are levelling off due to uncertainty over interest rates which I expect to continue until the end of the year. Next year prices are expected to rise by 15 percent due to opportunities from the new airport," Greene said.

The Airports Company South Africa recently agreed to build, operate and own the new R2 billion airport at La Mercy.

The Dube Tradeport will develop cargo handling facilities, warehouses and light manufacturing nearby.

The new airport, 30km north of Durban, will replace the existing airport south of Durban by 2010.

The existing airport site could be developed into a dugout harbour.

"Over the next 18 months property prices should increase 30 percent as people working on the new airport will need homes," said Mark Taylor, the managing director of eLan, which is developing residential estates on the north coast.

Keith Wakefield, the chief executive of Wakefields, said now that there was finality, there would be huge spin-offs.

The environmental scoping report, which will be released for comment soon, will enable affected residents to gauge the airport's impact.

Affected areas include Ballito, Tongaat, Verulam, Umdloti and Mount Moreland.

Terry Bengis, La Mercy airport's environmental committee chairman, said: "It is only a proposed airport because it still is subject to an environmental impact assessment. That is one piece of legislation that gives the little man the opportunity to stop or alter a project."

Noise pollution levels will be determined by frequency of flights, flight paths, types of aircraft and flight times.

Mount Moreland, a small village about 2km from the planned runway, will bear the brunt of aircraft noise.