Human settlements delivery in highest gear as new milestones reached

23 March 2023

Various milestones are being reached this week in the City’s R2,8 billion medium-term human settlements delivery programme. 

1. Macassar: Breaking ground for the installation of bulk and internal civil services and electrification. This ultimately leads the way for the construction of 2 469 homes to provide housing opportunities for beneficiaries in the Macassar region. On completion, the project will total approximately R800 million. This project is in an Eskom supply area where there is currently not sufficient bulk electricity supply. The City has thus also made available R91m of grant funding for the commissioning of an electrical substation – that will in fact service the entire area.
2. Pooke se Bos: Moving beneficiaries out of the informal settlement to their new homes in Pooke Se Bos: This is a R45 million project near Gatesville and the beneficiaries are from an informal settlement in the area.
3. New informal settlements and backyarder projects in Philadelphia and Mfuleni moving forward: In Philadelphia, the City is busy obtaining environmental and planning approvals, while the installation of civil services has begun at the new Sondela reblocking project in Mfuleni.
4. Mayoral Committee's support and onward submission to Council of the Integrated Human Settlements Sector Plan (2023/24 Review as updated Annexure to IDP): The sector plan is the Human Settlements Directorate's implementation plan for the next five years towards the creation of housing opportunities and is aligned to all major delivery, developmental plans and objectives of the City and is another important mechanism to enhance delivery. It sketches the reality on the ground and the underlying factors that must be addressed in any delivery plans to assist in crafting an adequate response plan. These realities including, that housing demand will outstrip the supply (by both State and private sector) of formal housing; the necessity in growing affordable rental accommodation; the post Covid-19 decrease in household income/employment; national fiscal decline; growth in informal settlements. In addition, the assumption that national grant funding will continue to shift away from formal subsidised houses towards the upgrading of informal settlements. The strategic response to these realities is embedded within the City's Human Settlements Strategy which is the key informant to the Sector Plan.
   

'I am particularly excited to announce some new milestones achieved this week including the start of work on a new informal settlement upgrade project in Mfuleni that will improve the lives of many of our most vulnerable residents. This week, we have also broken ground with the installation of bulk electrical and civil services at our mega Macassar housing project that will have a project cost of approximately R800 million when completed. I have visited the work being done. The scale of the project is impressive and the commitment from our project team really is exemplary. I also visited our Pooke se Bos project in Gatesville where I saw our beneficiaries who have just moved into their own homes after living in an informal settlement.

'Last week, I sat down with our project leaders and top management of the Human Settlements Directorate. In my conversation with them, I highlighted that we need to push the boundaries and look at greater innovation so that our human settlements projects do not only improve the living conditions of our residents, but that they act as catalysts for meaningful economic growth in our neighbourhoods. Our vulnerable residents must have the chance to live in a dignified, sustainable and opportunity-rich environment.

'We also have some key central Cape Town social housing milestones being reached over the next few weeks. Already, we have three social housing projects under construction currently, with a combined yield of more than 1 300 opportunities. A further estimated 1 600 social housing opportunities will also be unlocked through the release of an additional five City-owned land parcels within the city as part of the Mayor's Accelerated Land Release Programme for Affordable Housing. The City currently has more than 6 500 social housing units in the overall pipeline across 50 land parcels city-wide.

'In the last financial year, the Human Settlements Directorate spent more than 97% of its grant funding for human settlements projects and programmes. I am utterly committed to make sure we continue this high level of expenditure as this is what is improving the lives of our most vulnerable residents. I am confident after having spent time with our project and leadership teams on the ground, we can reach new heights of delivery in Cape Town,' said the City's Acting Mayoral Committee Member for Human Settlements, Alderman James Vos.

Highlights: Projects under way in 2022/23 include:

• R287 million: Public Housing Maintenance
• R762 million: Breaking New Ground, social housing and incremental development projects
• R30 million: Alternative building technology
• R33 million: Backyarder service enhancement
• R296 million: Informal settlements upgrading projects

For more information on the City's Human Settlements Strategy visit:

http://bit.ly/CCT-HSStrategy

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Published by:
City of Cape Town, Media Office