Question NW45 to the Minister of Human Settlements, Water and Sanitation
16 July 2019 - NW45
Mohlala, Mr M to ask the Minister of Human Settlements, Water and Sanitation
What is the (a) name of each investment company that has invested in land owned by (i) her department and (ii) each entity reporting to her and (b)(i) nature, (ii) monetary value and (iii) duration of each investment?
Reply:
THE DEPARMENT OF HUMAN SETTLEMENTS
The Department of Human Settlements and five of its six entities namely, Community Schemes Ombud Service (CSOS), Estate Agency Affairs Board (EAAB), National Home Builders Registration Council (NHBRC), Social Housing Regulatory Authority (SHRA), Housing and Development Agency (HDA) have advised me that they do not own land and therefore the question is not applicable to these. However, the National Housing Finance Corporation (NHFC) has indicated that it owns various properties and further details are provided below:
A) The President Place which is situated at 78 President Street (Corner of Odendaal Street) in Germiston and that,
- The property is a mixed use building, residential and commercial space, comprising of 320 rental apartments of 1, 2 and 3 bedrooms and 22 shops.
- Investment property in Germiston is worth R102 222 000.
- The duration of the investment is 10 years.
B. Investments in Cape Town and Upington
(a) (ii) The Cape Town Community Housing Company Pty Ltd (CTCHC), a company owned 100% by the NHFC.
(b) (i) CTCHC owns 1006 repossessed institutional subsidy houses, which are still occupied by the original beneficiaries. These houses are located in and around the Khayelitsha and Mitchell’s Plain area, Cape Town. The CTCHC also owns 94 gap-market houses in Upington which are available for sale to qualifying beneficiaries.
(ii) The houses in Khayelitsha and Mitchell’s have an approximate value of R 85 million and the ones in Upington are estimated to be worth R 4.6 million.
(iii) The houses are currently let on short-term rentals.
THE DEPARTMENT OF WATER AND SANITATION:
a) (i) As much as the department owns land, no investment company has invested on the land it owns.
(ii) Refer to the table below for responses from entities.
|
(a)(ii) Entity |
(b)(i) Nature |
(b)(ii) Value |
(b)(iii) Length of each investment |
|
Amatola Water |
None |
None |
None |
|
Bloem Water |
None |
None |
None |
|
Lepelle Northern Water |
None |
None |
None |
|
Magalies Water Mhlathuze |
None |
None |
None |
|
Mhlathuze Water |
None |
None |
None |
|
Rand Water |
None |
None |
None |
|
Sedibeng Water |
None |
None |
None |
|
WRC |
None |
None |
None |
|
TCTA |
None |
None |
None |
|
BGCMA |
None |
None |
None |
|
IUCMA |
None |
None |
None |
|
Overberg Water |
Transnet rent income for access to the servitude land of Overberg Water |
Transnet R45 265.65 pa (annual escalation 8%) |
Transnet: Area 338 hectares - indefinitely based on a five year review basis |
|
Telkom rent income for access to the servitude land of Overberg Water |
Telkom R51 757.49 pa (annual escalation 8%) |
Telkom: Area 224 hectares - indefinitely based on a five year review basis |
|
|
Vodacom rent income for access to the servitude land of Overberg Water |
Vodacom R40 528.38.49 pa (annual escalation 10%) |
Vodacom: Area 262 hectares - indefinitely based on a five year review basis |
|
|
MTN rent income for access to the servitude land of Overberg Water |
MTN R40 528.38.49 pa (annual escalation 12.38%) |
MTN: Area 230.25 hectares - indefinitely based on a five year review basis |
|
|
Umgeni Water |
Brookdale farm in Howick: Cattle Farming |
R 19 835.92 |
200.0408 hectares. 5 Years Lease duration |
|
Doorenhoek farm (Pietermaritzburg): Sugarcane Farming |
R18 163.11 |
297.4926 hectares. 10 Years Lease duration |