Subcouncil 16

Resolution detail

1. 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 abutting Erf 3413 Cape Town (Public Street), situated at Long Street, Cape Town, in extent approximately  25m² (2 floors in total extent 50m²), shown by the hatched figure lettered ABCD, on the Plan 130008301 (Annexure “A”) attached to the report 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;

2. Council approve the granting of in-principle approval for the granting of rights to use and control or manage municipal capital assets by way of granting a building rights servitude over a portion of Unregistered State Land abutting Erf 3413 Cape Town (Public Street), situated at Long Street, Cape Town, in extent approximately  25m² (2 floors, in total extent 50m²), shown by the hatched figure lettered ABCD, on the  Plan 130008301 as Annexure A attached to the report which represents 2 balcony levels, in terms of regulation 5(1)(b)(ii) of the Municipal Asset Transfer Regulations;

3. The granting of rights to use and control or manage municipal capital assets by way of granting a building rights servitude over a portion of Unregistered State Land abutting Erf 3413 Cape Town (Public Street), situated at Long Street, Cape Town, in extent approximately  25m² (2 floors, in total extent 50m²), shown by the hatched figure lettered ABCD, on the Plan 130008301  as Annexure A attached to the report in favour of Erf 3413 Cape Town to: Maverick Property Group (Pty) Ltd, or their successor(s) in title, BE APPROVED, subject to the following conditions, that:

1. A compensation amount of R350 000, excluding VAT be payable;

2. The compensation amount is to escalate at 5% per annum compounded annually on a pro-rata basis commencing 6 months from date of valuation (i.e as from 1 April 2022) until date of registration;

3. That the market value be reassessed if the transaction is not approved within 36 months from date of valuation, i.e. 30 September 2024.

4. The building rights servitude is to be restricted to a maximum building envelope of 50m².

5. Rates and municipal charges, if applicable, be levied.

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