The affordable education loan option
Electricity has been restored at the Middestad building owned by Roux Shabangu’s company, Roux Property Development Africa, after it raised the R2 million demanded by the council to have electricity reconnected.
On Thursday, there was a deadlock between the company and the municipality when it tried to have the municipal services restored.
The city was demanding at least R2m before it would consider reconnecting the services. But Shabangu’s company had difficulties to raise the amount, instead asking to pay R500 000 a month. The building had been without power since last week Monday.
Roux Property Development Africa spokeswoman Percy Shabangu said they had a meeting on Friday with the chief financial officer of the municipality, Andile Dyakala, to try to find an amicable solution that would benefit both parties.
“We were told that we need to come up with the R2 million upfront before they can reconnect. Then we can start negotiating on arrangements to have the rest paid up. We managed to come up with the amount and also reached an agreement regarding the rest,” said Shabangu.
While managers from the company were locked in meetings with council officials, a tenant was preparing to move out of the building. Other businesses were also threatening to vacate the premises while others were refusing to pay the monthly rent.
While some businesses could afford to move out and not have their businesses affected, other tenants said moving was not an option. One business owner said moving out would impact on her business negatively and she would lose clients.