City of Cape Town accused of not using vacant land worth R240m

“The site forms part of the Climate Leadership Group (C40) Reinventing Cities Programme. The city advertised its intent to participate in the C40 programme but we have not yet decided on any disposal of land or any development proposals,” mayoral committee member for transport and urban development Brett Herron said.

“The site forms part of the Climate Leadership Group (C40) Reinventing Cities Programme. The city advertised its intent to participate in the C40 programme but we have not yet decided on any disposal of land or any development proposals,” mayoral committee member for transport and urban development Brett Herron said.

Published Oct 19, 2018

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Cape Town - The future of city-owned land earmarked for social housing in Heathfield, close to Diep River, remains unclear after plans to develop it were put on hold, due to the City of Cape Town’s participation in a Climate Leadership Group (C40) Reinventing Cities Programme.

Two erven, erf 78772 and the remainder of erf 78792, constituting 2.7 hectares of municipal land, along the M4 (Main Road) were to be used for the development of social housing. But earlier this year, it was proposed in council that the land be made available for economic opportunities that would benefit the community.

The land, known as Moquet Farm, is flanked by Main Road, Kendal Road, Myburg Road and Greenfields Road, and is situated close to Bergvliet, Elfindale and Retreat.

In 2015, the land was valued at R55 million. Three-and-a-half years later, mayoral committee member for facilities and asset management Stuart Diamond, says the land is now worth a whopping R240m.

Civic associations are demanding the land be used for housing, to address the human settlements crisis, which sparked violent protests this year.

“The number of backyard dwellers in our area is growing dramatically and it’s astonishing that the city has not utilised that land and does not know what exactly to do with it,” the Greater Cape Town Civic Alliance chairperson Philip Bam said.

He said the need for housing in the Retreat area was dire.

“It’s shocking that they are not getting ahead of the need for housing for the people of the area.”

According to the city’s valuation report, the total allowable bulk for the site is indicated as 138 395m2.

A 2015 report to council motivated the disposal of the erven at R55m, excluding VAT. The report suggest a R2000/m2 bulk price is consistent for the area, but the sale price motivated to council was less than R400/m2 of the allowable bulk.

Council put plans to dispose of the land on ice however, to conduct an evaluation of other potential uses for the site.

This year, the council proposed the land be used for a mixed-use housing development.

The valuation was revised up to R240m.

“The city’s latest valuation is as at March 2018, whereas the previous valuation was as at December 2014 - that is roughly a three-and-a-half year time difference over which period, prices and appetite for development land have increased.

“Our initial valuation was based on an assumed density of 110 residential units per hectare, whereas our latest valuation was based on a much higher density of 440 residential units per hectare.”

The city, however, is sitting on the development of the land, pending the outcome of the C40 programme, a global competition which gets the private sector and communities to devise carbon-neutral development solutions and designs for underutilised publicly-owned sites in C40 member cities.

“The site forms part of the Climate Leadership Group (C40) Reinventing Cities Programme. The city advertised its intent to participate in the C40 programme but we have not yet decided on any disposal of land or any development proposals,” mayoral committee member for transport and urban development Brett Herron said.

But, the calls to address the housing crisis in the southern suburbs continue.

“Housing is something everyone has been asking for - decent affordable housing - for years, residents have been asking for it,” said chairperson of the Retreat and Steenberg Civic Association Mark Solomons.

He said he was aware of a number of sites being earmarked for housing in the area.

“Housing is one of the biggest challenges we are currently dealing with in our area, and we have to address it.”

Earlier this year, seven vacant plots had reportedly been identified as “possible sites for social and affordable housing” in Cape Town.

Parkwood residents, many of them backyard dwellers, took to the streets in protest against the lack of housing in May.

Their violent protest resulted in the regular closing off of the M5 highway, where clashes between authorities and more than 1000 residents took place.

@MarvinCharles17

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Cape Argus

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