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The long-standing valuation disputes between the City of Cape Town and two of Cape Town’s major sporting bodies is one step closer to being resolved.
City officials have had a meeting with the Western Province Rugby Football Union in a bid to resolve the dispute around the valuation of its Newlands grounds.
And this month officials are due to meet the Western Province Cricket Association in connection with another valuation query regarding Newlands Cricket Stadium.
Sam Pienaar, a member of the city’s finance portfolio committee, told the committee this month that the rugby union owed the city about R1 million in arrears.
He said the dispute stemmed from the union’s objection to the valuation of the stadium.
Last month chairman of the portfolio committee Johannes van der Merwe told the meeting that city officials would be meeting the two sporting bodies in June to “bring to finalisation the long-standing valuation matters”.
During the finance committee’s most recent meeting, Pienaar said the rugby union could pay R500 000, and would then owe R480 000.
Christopher Gavor, the city’s director for valuations, told the Cape Argus that the stadium was valued at just more than R324m. In 2010 the union had submitted a “valid objection” to the general valuation of the stadium conducted in 2009.
“The basic point in the objector’s submission was to seek a valuation on the rental paid by Western Province Rugby, the occupier of the stadium, to the rugby union, the owner. This still has to go through an appeal process to finalise the matter,” said Gavor.
The city could not release further details on the case, he said.
“Usually the objector would include details from the objection to strengthen the case at the valuations appeal board hearing. For this reason, we cannot make the details public as it may prejudice the objector.”
Theuns Roodman, the chief executive of the rugby union, confirmed the R500 000 had been paid. However, he said the union would be waiting to hear the outcome of the appeal’s board hearing.
During last week’s finance portfolio committee meeting, Pienaar said city officials would also be meeting representatives from the Western Province Cricket Association.
Andre Odendaal, the association’s CEO, said it had first submitted an objection to the valuation in 2005.
Odendaal confirmed that the association would be having another meeting with city officials to discuss the matter.
“We have been talking about facilities for our different clubs. And also the costs of running Newlands, with very high rates,” said Odendaal.
He said the association was having “very positive talks” with the city.