Subcouncil resolution details

Subcouncil 16

Agenda item no

16SUB 14/9/2020

Subject

PROPOSED GRANTING OF RIGHT TO USE, CONTROL USE OR MANAGE MUNICIPAL CAPITAL ASSETS: TRANSFER OF AIR RIGHTS SERVITUDE OVER CITY-OWNED IMMOVABLE PROPERTY BEING A PORTION OF UNREGISTERED STATE LAND SITUATED CORNER OF BREE AND WATERKANT STREETS, CAPE TOWN: GERA INVERSTMENT TRUST

Meeting date

Monday, September 21, 2020

Resolution

Approved

Date closed

Wednesday, September 30, 2020

Resolution detail

RESOLVED to RECOMMEND that:

a)        Council resolve that, in terms of section 14 of the Local Government: Municipal Finance Management Act, Act 56 of 2003, the subject property being a portion of unregistered state land (public street) situated corner of Bree and Waterkant Streets, Cape Town, shown hatched and lettered ABCD on the Plan STC 2268v1 (Annexure “A”) attached to the report, which represents 1 ground level of 38 m²,  is not required to provide the minimum level of basic municipal services; and has considered the fair market value of the asset and the economic and community value to be received in exchange for the asset;

b)        In-principle approval be granted for the granting of rights to use, control and manage municipal capital assets by way of transferring an Air Rights Servitude over a portion of public street being unregistered state land situated corner of Bree and Waterkant Streets, Cape Town, shown hatched and lettered ABCD on the attached Plan STC 2268v1 (Annexure “A”) which represents 1 level at ground of 38 m², in terms of Regulation 5(i)(b)(ii) of the Municipal Asset Transfer Regulations;

c)       The granting of rights to use, control and manage a municipal capital asset by way of transferring an Air Rights Servitude over a portion of public street being Unregistered State Land situated on the corner of Bree and Waterkant Streets, Cape Town, shown hatched and lettered ABCD on the attached Plan STC 2268v1 (Annexure “A”) which represents 1 level at ground of 38 m², in favour of Gera Investment Trust or its sucessors-in-title, be approved subject to the following conditions: subject to:

A purchase price of R105 000.00 excluding VAT be payable;

The purchase price is to be escalated by 5% per annum compounded annually on a pro-rata basis, commencing 6 months from date of valuation, i.e. from 01 April 2020 until date of registration;

The valuation is to be reviewed if the transaction is not implemented within 18 months from date of valuation, i.e. by 01 April 2021;

Rates and municipal charges, if applicable, be levied.

The Mock balcony/ canopy be restricted to an extent of 38m², i.e no access to be permitted to the balcony whatsoever.

Subject to such further conditions to be imposed by the Director: Property Management in terms of her delegated authority, including inter alia the following:

aa)     that all further statutory and land use requirements be complied with;

bb)     that all costs related and incidental to the transaction be borne by the purchaser.

cc)      the applicant will be liable for all costs in connection with this transaction i.e. survey, rezoning, transfer and Impact Assessment.