The City of Cape Town and partners’ Glenhaven social housing project is progressing well and is already 50% tenanted. The first of its units were handed over toward the end of last year and occupation is expected to be completed by mid-2021, if all goes according to plan. This well-located Bellville South project compromises several different types of housing opportunities. The City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi, was there today, Tuesday 23 February 2021, to check on the project’s progress.
The City’s Glenhaven project is comprised of 512 social housing opportunities as well as 253 Gap rental housing units. The City expenditure on this partnership project of R67 million includes money allocated for the earthworks; internal civil engineering services for the provision of water, sanitation and roads; electricity reticulation; street lighting and the rental units.
Councillor Booi was joined by dignitaries to check on the progress. The construction of the top structures for the social housing opportunities commenced in October 2018 and its Phase One is now complete. Phase Two is currently under way. The construction of the Gap rental housing units was completed in February 2019 and half of the total number of units available are already tenanted.
Through the development process, the City has assisted the Non Profit Organisation (NPO) social housing institution Urban Status Rentals with all the funding and statutory applications to enable the successful delivery of the housing units in this estimated R190 million project.
The City’s commitment to enabling more affordable housing opportunities, especially through the social housing model, is clear. The City is currently driving the construction phase of more than 2 000 affordable housing opportunities in and near urban centres across the metro in order to develop greater spatial equality in Cape Town.
Social housing is rental or co-operative housing for low and lower income households earning between R1 501 and R15 000 per month, with the proviso that the applicant is willing to and undertakes to pay monthly rental. Gap housing is for households which earn between R3 501 and R22 000 per month, and do not qualify for a full State-housing subsidy. However, these households are eligible for a range of partial housing subsidies and programmes.
The selection of beneficiaries for all City housing projects is done in accordance with the City’s Allocation Policy and the City’s Housing Needs Register to ensure that housing opportunities are allocated to qualifying beneficiaries in a fair and equitable manner. Applicants for social housing opportunities are also required to be registered on the Register.
‘When compared to what I saw when I visited a year ago, the progress is truly remarkable. It is exciting to see the Glenhaven social housing project progressing well and that occupation of the units to qualifying beneficiaries has already started. This means that we are one step closer to seeing the plans for this project become a reality.
‘This project is an example of how we can contribute to improving the lives of our beneficiaries and what we can achieve for them. Thank you to the teams for their hard work and dedication to get this project completed for our beneficiaries.
‘The accommodation need in Cape Town is pronounced and we will only succeed by following a systematic approach of first come, first served without queue-jumping. We must safeguard the integrity of our housing delivery programmes, despite the great pressure from urbanisation, unlawful land occupations and the diminishing national grants for human settlement developments. And we must ensure that our projects are increasingly well-located, near transport hubs and urban centres.
‘We know that just one type of housing will not address the need for housing in the metro. This is why we are exploring other types of opportunities and this project is the perfect example of that. We are going to have to explore all options if we are to cater to the growing accommodation need in our city. We are committed to service delivery through the provision of several different types of housing opportunities, including affordable social and Gap housing opportunities, to some of our more vulnerable residents. We encourage all relevant private sector players to partner with us and to support us to make Cape Town an even greater and more resilient city. Thank you to all our existing partners and I hope we can continue along this path of collaboration,’ said Councillor Booi.
Information about social housing:
- It is managed by accredited social housing institutions (SHIs).
- SHIs are solely dependent on rental income. They receive no operational grants. They are able to service their debt finance through rental income.
- As with any rental contract, tenants formally enter into lease agreements. The landlord is the SHI.
- If tenants do not adhere to their lease agreements, the responsible SHI will follow the necessary legal process. Tenants must therefore pay to stay as the rental money is used for the day-to-day operation and upkeep of the complex.
- The City has nothing to do with the day-to-day management of SHIs, the rental amount or evictions for not paying.
- Before potential beneficiaries can apply for social housing, they are required to register on the City’s Housing Needs Register.
- Projects are developed on well-located, accessible land in and near urban centres.
- It is not low-income subsidised government housing, such as Breaking New Ground (or the commonly called RDP housing and it is not City Council Rental Units).
- It is managed with 24-hour security and access control.
- The City may sell City-owned land at a discounted price for social housing developments to make projects economically viable.
- Social housing offers improved access to social facilities and other amenities.
- A single grant subsidy can benefit on average five households versus one household for Council rental units.
- Social housing adds value to vacant pieces of land.
- Social housing has the potential to improve property prices in an area.