POLOKWANE – DA ward councillor Frank Haas asked council during its recent meeting why the termination of the month-to-month rental agreement of Waterland in March was not adhered to.
Haas said the lessee already owed the municipality R102 000 in January. Review also reported on Waterland in September last year when asking questions about the rental amount of R508 a month charged for the premises, which is a municipal property.
The municipality has not yet answered Review’s questions.
A leasehold valuation done by a valuer in the city based on a market-related rental showed the property should be rented out at R22 000 per month with a yearly escalation of 9,5%.
The previous lease expired in December 2003 and the lessee requested the renewal of the lease for a period of 25 years. The property was then advertised several times without success. A tender bid advertised in 2007 was not awarded: bid amounts of between R5 000 and R21 680 were offered.
In 2012, in a letter by the then lessee, he offered to review the lease agreement, but the municipality had then advertised the property for a development proposal and the lease would be terminated upon appointment of the service provider. The lease has been on a month-to-month basis ever since. In May 2014 the possibility of establishing a township was mentioned but no subdivision was done.
A fire and safety inspection in September 2013 found the existing safety measures not in compliance with national standards, with several issues needing attention.
Polokwane municipal spokesperson Tidimalo Chuene confirmed that an eviction letter was served in March of this year and that there is a legal process on the eviction unfolding. She confirmed that there was money owed to the municipality but she said the financial department was still checking on the account to confirm the monies owed and that she would update on the full amount at a later stage.
