The DA-led multi-party administration will tomorrow, 31 August 2017, table a report on the proposed sale of the Mayoral Mansion for consideration during the monthly Council sitting.
The property was previously used as a Mayoral residential house. It was recently decided by the DA-led multi-party administration that the property is no longer required for this purpose and that it be sold in pursuant to section 14(2) of the Municipal Finance Management Act (Act 56 of 2003) and Regulations.
During his inaugural State of the Capital Address, Executive Mayor of Tshwane, Solly Msimanga, announced that the proceeds made from the subject property, measuring 2 478 m² in extent, will be used to build houses for previously disadvantaged individuals.
The latest valuation report indicates that the property can be sold for a minimum amount of R5 00 000.00, this despite the R12 million misused on dodgy renovations by the previous ANC administration.
“Given the market value of the property, it is unlikely that we will recoup the money wasted on exorbitant questionable renovations. However, the Mayoral Mansion is no longer needed for municipal purposes, the sale will generate income for the city that can be utilised to augment other basic municipal services such as decent housing opportunities and improve our financial sustainability”.
“We reassure our residents that this proposed sale is being dealt with in accordance with the legislative framework and that it is being done with the consideration of the economic and community value to be received in exchange for the property.” said Msimanga.
In determining the market value of the property, the City appointed an independent valuations services company which used direct comparison to determine the value of the property. Direct comparison is the usage of recent indicative market transactions in the subject area as guidelines to establish a market related value for the subject property. The company researched a number of residential property sales in the area and the surrounding neighbourhood and suburbs.
The property is single residential dwelling accommodating a total of five bedrooms, two ensuite bathrooms, two additional full bathrooms, two separate guest toilets, entrance foyer, dining room, lounge, tv room, family room, scullery, pantry and a fully fitted kitchen with built-in cupboards throughout. There is also a study on the ground floor with two outside staff rooms.
The Msimanga administration is pleased to be getting rid of this Mayoral Mansion and free up the much needed funds to deliver better services and housing opportunities to our VIPs.