Many cannot be ‘regularised’ – report.

Doomed? Kleinfontein is not among those that can be formalised through the provision of ‘services and infrastructure’ as it falls outside the urban edge. Picture: Kleinfontein Facebook page
One of the options in addressing illegal developments in the City of Tshwane is to demolish these structures, according to a special sub-committee appointed by mayor Dr Nasiphi Moya to deal with the growing problem.
These developments mostly comprise luxury houses built on properties that have not been correctly zoned and subdivided, no township establishment has taken place, and building plans have not been approved by the local authority.
According to a report by the sub-committee served before the mayoral committee on 18 June, which Moneyweb has seen, more than 10 000 houses may have to be demolished, as they are situated outside the nine “developments” that the committee says are capable of being regularised.
The regularising of the nine “developments”, which collectively have 8 431 illegal structures on them, is still dependent on the availability of engineering services for water, electricity, and other municipal services – and is therefore not a given.
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Financial means
Whether the City of Tshwane, with its known financial restraints, will have the necessary funds to install such services remains to be seen.
The sub-committee hopes to take its proposals to the full city council at the end of July.
It was established “to formulate a standard and fair approach to addressing illegal developments”.
Moneyweb earlier reported that multi-million-rand houses are being built in several such “developments” spread over the city. In one of the Leeuwfontein “developments” north of Pretoria, plots are openly being sold for as much as R600 000 each, and since last year a new phase has been opened in Haakdoornboom which already boasts several houses.
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‘Illegal properties undermine investments’
The South African Property Owners Association (Sapoa) called for action “against the growing issue of illegal multi-million-rand property developments in Tshwane” late last year.
Neil Gopal, CEO of Sapoa, stated: “Illegal developments undermine the investments of compliant property owners, who face a range of negative impacts – from declining property values to increased crime rates and service interruptions. We are particularly alarmed at the normalisation of flouting development regulations, which ultimately decreases oversight in property development.”
The Tshwane sub-committee identified 17 such developments, including the “Boere-Afrikaner” community of Kleinfontein, which has been in existence for decades. It comprises at least 600 houses, an old age home, a school and shopping centre.
Last year disgruntled residents obtained a high court order that compelled the metro to enforce town planning legislation in Kleinfontein.
According to the board that runs Kleinfontein, its applications have been with the council for an extended period with no feedback. The sub-committee, however, reports that it could only find an “old DFA [Development Facilitation Act] application that they wish to resuscitate”.
Kleinfontein is not among those that may be regularised as it falls outside the urban edge, the committee found.
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Allowing vs erecting
The committee distinguishes between those “developments” where the property owners themselves erect illegal structures and those, such as Kleinfontein and Leeuwfontein, where the owners allow others to erect structures.
The illegal structures total almost 20 000 collectively – with only Haakdoornboom, Leeuwfontein 1, 2 and 3, Marula View, Mooikloof, Mashate Gardens, Onderstepoort and one near Prestige College outside Hammanskraal possibly capable of being regularised.
Only three of these currently have provision for water and only one for sewerage.
Two of these structures can get electricity from Tshwane substations and four are situated in Eskom supply areas. The three Leeuwfontein “developments” have no bulk services for electricity, but form part of the planned future Roodeplaat primary supply area, according to the report.
The sub-committee sets out six options for dealing with the illegal developments:
- Obtain an eviction order;
- Application to court for the demolition of illegal structures, which comes with a warning that “once an order for the demolition of the structures is granted by the court, the municipality does not have a discretion on whether or not to act on that order”;
- Regularising, which “would involve formalising the township by providing essential services and infrastructure, and integrating it into the municipal planning framework”;
- Conducting inspections and issuing compliance notices;
- Penalties and fines, which “can serve as a deterrent to prevent future illegal settlements”; and
- Community engagement “to understand their needs and [work] towards providing legal housing solutions”.
ALSO READ: Exclusive Afrikaner township defends legality after court orders Tshwane to enforce bylaws
Increase in rates bill
The report mentions the possibility of recategorising the properties where owners themselves erect illegal structures as “non-permitted use” for the purposes of levying property rates. That comes with a drastic increase in their rates bill.
Currently these “developments” are mostly categorised for agricultural purposes or “undetermined” with massive underrecovery of rates compared to even residential rates that are payable by compliant home owners.
Where owners allow others to erect illegal structures, the city is currently pursuing the criminal prosecution of the “owners” and applying for interdicts and demolition and the adjustment of their rates, according to the report.
It however states that “challenges are experienced with regard to determining valuations based on illegal land use and the non-permitted use rating”.
The report does not expand on the nature of these challenges. Legislation clearly provides for such properties to be valued as if compliant. Tshwane, for example, adjusted the categorisation of some Kleinfontein properties last year, which resulted in the total rates bill for the community increasing from R5 230 in August to R126 148 in September.
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The board has declared a dispute in this regard.
Four of the 17 illegal developments are situated partially or completely on land belonging to the City of Tshwane, three on land belonging to national government, and the rest on private land.
The report does not address ways of streamlining and expediting own planning approvals for compliant developers.
Dawie Malan, who developed Mooikloof Estates, previously told Moneyweb that established developers don’t want to trade in Tshwane any longer due to the difficulty in dealing with the metro and officials whose conduct he describes as obstructive.
This article was republished from Moneyweb. Read the original here.