Major investment spurring economic growth in Khayelitsha and Mitchells Plain

07 Sep 2022 in Where We Govern

The City of Cape Town is making exceptional strides in promoting private and public investment in Khayelitsha and Mitchells Plain. The estimated value of the building work associated with the building plans that the City approved for these suburbs in the past financial year is R1,7 billion. Together with the City’s investment in public transport infrastructure to extend the MyCiTi service to the metro-south east, this is a major boost for the local construction industry in this area, and job seekers.

‘The City’s Development Management Department approved 3 379 building plans for flats, residential houses, alterations, minor works and non-residential buildings for Mitchells Plain and Khayelitsha from 1 July 2021 to 30 June 2022.

‘Up to 1 918 building plans are for new houses alone, meaning, Khayelitsha and Mitchells Plain come out tops with the highest number of approved residential building plans in Cape Town for 2021/2022.

‘Together, the approved building plans for new residential houses, flats, alterations, minor works and non-residential buildings cover a floor area of at least 273 891m² and the estimated value of the building work associated with these plans is R1,7 billion.

‘R1,7 billion is a major injection for the local economies of Khayelitsha and Mitchells Plain. With every building plan that the City approves, more jobs are available for those involved in the construction industry – from tilers, to plumbers, builders and the like. It means there is more work for local construction companies, which spurs the demand for local labour, goods and services.

‘Also, the more houses we can build – be it by private land owners or the City – the bigger the supply of housing opportunities. The demand for affordable housing in Cape Town is one of our biggest challenges. The City is playing a vital role in stimulating this sector as we strive to assess and approve building plans that are compliant with the Municipal Planning By-law and the National Building Regulations as soon as possible and within a reasonable time,’ said the City’s Deputy Mayor and Mayoral Committee Member for Spatial Planning and Environment, Alderman Eddie Andrews.

The City is also spending R667 million on new infrastructure for the roll-out of the MyCiTi service in the metro-south east this financial year.

‘Coming with this investment, are temporary employment and training opportunities for local jobseekers. All of the contracts between the City and the main construction companies set targets for the number of temporary employment opportunities that must be provided. The same applies to the contracting of local subcontractors to supply goods and services as part of the construction project. The main contractor is obliged to meet these targets. Thus, our local communities will have the opportunity to earn an income and benefit from subcontracting while the construction of infrastructure for the roll-out of the next phase of the MyCiTi service is ongoing,’ said the City’s Mayoral Committee Member for Urban Mobility, Councillor Rob Quintas.

A number of projects related to the roll-out of the MyCiTi service are currently under way, or in the planning phase:

  • The construction of the new MyCiTi bus depots on the corner of Mew Way and Spine Road has started already
  • Nolungile – the existing public transport interchange will be upgraded to improve commuting and make it easier for residents to change between the different modes of transport (minibus-taxi, train, MyCiTi bus service). The project is currently in the planning phase
  • Vuyani – a new public transport facility to improve commuting and make it easier for residents to change between the different modes of transport is in the planning phase.

‘These projects will transform and rejuvenate the affected areas. This is a major capital investment in the metro-south east, its residents, and broader business communities. We are excited to be working with all stakeholders in realising this mammoth project to expand the MyCiTi service offering to these parts of the city,’ said Councillor Quintas.