City launches Mitchells Plain social housing project with partners

17 Mar 2021 in Where We Govern

The City of Cape Town and its partners’ Regent Villas social housing project in Weltevreden Valley, Mitchells Plain, was officially launched yesterday, Tuesday, 16 March 2021, with a tenanting ceremony. The City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi, the Western Cape Government’s Human Settlements MEC, Tertuis Simmers and other dignitaries, celebrated with the tenants. Regent Villas is comprised of 104 social housing opportunities. Government expenditure on this partnership project is R41 million.

Range of unit types
Phase One of the project has been completed. Tenanting of the units, which range from studios to three-bedroom flats, commenced in December 2020 with 77 of the completed Social Housing units currently occupied.

The City offered incentives in the form of discounts on development contributions and plan scrutiny fees. The City also assisted with development facilitation for planning applications. 

More affordable housing opportunities
‘The City is currently driving or enabling the construction phase of more than 2 000 affordable housing opportunities in and near urban centres across the metro to develop greater spatial equality in Cape Town. Social housing projects are typically developed on well-located, accessible land in and near urban centres. This project, located in Mitchells Plain, is an example of that commitment, given its convenient location to amenities, healthcare facilities and public transport.

‘This project is an example of how, by working together, we can contribute to improving the lives of our beneficiaries. Thank you to the partners and teams for their hard work and dedication to get this project completed for our beneficiaries.

‘We know that the accommodation need in Cape Town is pronounced. We will only succeed by following a systematic, partnership-driven 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.

‘We encourage all relevant private sector players to partner with us and to support us to make Cape Town an even more resilient city,’ said Councillor Booi.

Fairness key in housing allocation 
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 on the Register.

Information about social housing:

  • It offers affordable rental units for families with a combined monthly income of between R1 501 and R15 000.
  • It is situated in well-located areas on suitable land constructed and managed by the City’s social housing partners or social housing institutions.
  • 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.
  • It 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.
  • It adds value to vacant pieces of land.
  • It has the potential to improve property prices in an area.

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