Affordable Social Housing milestone reached: City hosts Open Day for Lansdowne development

27 August 2024

The City’s Human Settlements Directorate held an open day to discuss plans for a new social housing project in the Lansdowne area that will add value to the area. The Mayoral Committee Member for Human Settlements, Councillor Carl Pophaim, and Human Settlements teams provided the community with the information and updates about the planned project.

'We were pleased to share the important updates and feedback about the proposed development concept, the property disposal processes currently in progress and all the required statutory applications that are to be undertaken in the following months. Our teams will keep residents informed as we make more progress. We also emphasised how important these developments are to provide access to more affordable rental opportunities in all urban centres in the metro for those earning between R1 850 and R22 000 per month as well as the great benefit it holds to invigorate and improve neighbourhoods.

'The proposed affordable housing development will yield approximately 308 social housing opportunities for qualifying beneficiaries. We are excited to get the ball rolling so that we can assist more beneficiaries in future.

'Social Housing plays a critical role in addressing housing affordability and provides safe, decent and affordable housing opportunities for families in the city.

'A lot of the City's actions seek to make affordable housing projects more feasible for private sector partners by offering development packaging, land discounts and leveraging municipal land to make projects more viable for private sector partners. Over the past year, through the Accelerated Land Release Programme, which is a Mayoral Priority, we've been making significant interventions in the market. It is yielding fruit with an estimated affordable housing pipeline on well-located land in and near urban centres of up to 10 000 units under way. This is besides Breaking New Ground housing, informal settlement and backyarder upgrades and land reform through title deeds and upgrading of the public housing units that we are focused on.

'We are making steady progress around the metro and we are glad to have already assisted thousands of families at the various developments in the city, including Maitland Mews, the Anchorage in Glenhaven, Bothasig Gardens, Goodwood Station, and the Western Cape Government's Conradie Park development in Pinelands,' said Councillor Pophaim.

Facts about social housing – affordable rental accommodation:

Social housing has the potential to improve property values in an area.
Social housing adds value to vacant pieces of land.
It is not low-income subsidised government housing, such as Breaking New Ground (or the commonly called RDP housing and it is not City Council Rental Units).
It is managed by accredited social housing institutions (SHIs).
SHIs are solely dependent on rental income. They receive no operational grants. They are able to service their debt finance through rental income.
As with any rental contract, tenants formally enter into lease agreements. The landlord is the SHI.
If tenants do not adhere to their lease agreements, the responsible SHI will follow the necessary legal process. Tenants must therefore pay to stay as the rental money is used for the day-to-day operation and upkeep of the complex.
The City has nothing to do with the day-to-day management of SHIs, the rental amount or evictions for not paying.
Before potential beneficiaries can apply for social housing, they are required to register on the City's Housing Needs Register.
Projects are developed on well-located, accessible land in and near urban centres.
It is managed with 24-hour security and access control.
The City may sell City-owned land at a discounted price for social housing developments to make projects economically viable.
Social housing offers improved access to social facilities and other amenities.
A single grant subsidy can benefit on average five households versus one household for Council rental units.

For more information and to apply: https://www.capetown.gov.za/City-Connect/Apply/City-housing-and-properties/Housing-opportunities/Apply-for-social-housing

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Published by:
City of Cape Town, Media Office