Subcouncil 18

Resolution detail

RESOLVED
 
                               It is recommended that:
 

1.  Council resolve in terms of regulation 20(1)(f)(i) of the Municipal Asset Transfer Regulations that Erven 137783 and 137884 Cape Town, shown lettered ABCDEFGH on the attached plan 130003377 marked Annexure A is not required for the provision of any minimum level of basic municipal services and is surplus to the requirements of the Municipality.

 

2.  Council confirm, in terms of regulation 20(1)(f)(ii) of the Municipal Asset Transfer Regulations, that the property indicated by the figure ABCDEFGH on the attached Plan 130003377, marked annexure A be transferred for less than fair market value,

 

3.  Council confirm, per the motivation in this report, that the consideration factors of regulation 20(1)(f)(ii)(aa)-(ii) of the Municipal Asset Transfer Regulations, which are triggered by the proposed less than market value transfer of the subject property, have been taken into consideration;

 

4.  The transfer of erven 137783 and 137784 Cape Town, located at Retreat, and shown lettered ABCDEFGH on the attached sketch plan 130003377 marked Annexure A, in extent 6160m², to the Provincial Government Western Cape (Department of Health), or its successor(s) in title, be approved, subject inter alia to the following conditions, that:

 

1. A 25% of market-related purchase price being R2 025 000 (two million and twenty-five thousand rand) excluding VAT calculated at the rate applicable at the time of transaction, where applicable, be payable;

 
ii)   The purchase price is to be adjusted by 5% per annum compounded annually on a pro rata basis, commencing from six months after the date of valuation i.e. from 2022-06-01, until the date of registration;
 
iii)  The valuation is to be reviewed if not implemented within 36 months from date of valuation, i.e. by 30 November 2024;
 
iv)  Rates and municipal charges, if applicable, be levied;
 
v)  The City to ensure that an appropriate reversionary clause is inserted on the title deed that limits the use of the subject property to community health clinic purposes;
 
vi)  Subject to such further conditions imposed by the Director: Property Management in terms of his delegated authority, including inter alia the following:
 
aa) That all further statutory and land use requirements be complied with;
 
bb) The Water and Sanitation Services Department requires adherence to the requirements of the City of Cape Town’s Water By-law, with reference to:
 

• Clauses 9; 10; 11; 13; 19; 24; 25; 28;
• Metering of Water Supplied;
• Chapter 3 and;
• Schedule 1.

 
No liability for any vehicle damage due to existing infrastructure failure of repair.
 
                                  cc)  The Electricity Generation and Distribution Department has no objections to the proposal subject to the following conditions:
 

• Any alterations or deviations to electricity services necessary as a consequence of the proposal, or requested by the applicant, will be carried out at the applicant’s cost.

 

• The area applied for must exclude this Department’s existing electricity substation.

 

• The site occupied by the electricity substation must be subdivided clear of Erf 137784 and transferred to the Energy and Climate Change Directorate.

 

• Electricity infrastructure may exist on the property or in its vicinity.

 

• A wayleave shall be obtained from the Electricity Generation and Distribution Department before any excavation work may commence.

 
                                         dd)      No Telkom services are known to exist within the proposed lease area but the following conditions are to apply:
 

• It is the responsibility of the applicant to notify Telkom immediately should the applicant locate any Telkom plant, which might not be indicated on the plan.

 

• It must be made known to the applicant that Telkom requires access to carry out maintenance or upgrade existing plants at all times.

 
                                         ee)      The Environmental Management Department has no objection but the following will apply:
 

• The only biophysical aspect, which needs to be taken into account, would be the concrete canal, which is located at the back of the above-mentioned erven.  In terms of the Floodplain and River Corridor Management and River Corridor Management Policy, this canal would have a minimum ecological buffer of 10 meters.

 

• The Department reserves the right to revise its comments based on any information received.

 
                                         ff)       The Catchment and Stormwater Management Branch is not able to accurately comment on this application with regards to the flood lines as there is no flood line information available.  It is recommended that before any development takes place, a suitably qualified professional evaluate the potential impact of flood lines on this property due to its close proximity to the Sand River Canal.  It must be noted that the Sand River Canal has experience isolated nuisance flooding in the past.  It is also confirmed that an environmental buffer exists along this reach of the Sand River Canal which measures 10m outwards from the top of the canal wall and this can be discussed with the City’s Environmental and Resource Management Branch.  Lastly, in accordance with Sustainable Urban Drainage Systems (SuDS) principles are encouraged such as routing of stormwater into rain gardens (not limited to but as an example) to limit the effect of surface runoff and associated impacts due to the increased impervious areas.
 
                                         gg)      That all costs related and incidental to the transaction be borne by the purchaser.