Subcouncil 7

Resolution detail

RESOLVED TO RECOMMEND Not Delegated: Final decision Council and noting by Subcouncil 7 a) Council resolve that, in terms of section 14 of the Local Government Municipal Finance Management Act 56 of 2003, that the subject property, being a portion of Erf 762 Durbanville, in extent approximately 740 m² as shown cross-hatched and lettered ABCDE on Plan TA 728v0 (Annexure “A”), is not needed 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) Council grants in-principle approval in terms of regulation 5(1)(b)(ii) of the Municipal Asset Transfer Regulations for the disposal of a portion of Erf 762 Durbanville, in extent approximately 740 m² as shown cross-hatched and lettered ABCDE on Plan TA 728v0 (Annexure “A”); c) Council, in terms of section 4 of the City of Cape Town Immovable Property By-law, 2015, approve the closure of a portion of a Public Place, being a portion of Erf 762 Durbanville, in extent approximately 740 m² as shown cross-hatched and lettered ABCDE on Plan TA 728v0 (Annexure “A”); d) That the disposal of a portion of Erf 762 Durbanville, in extent approximately 740 m² as shown cross-hatched and lettered ABCDE on Plan TA 728v0 (Annexure “A”) to Richelieu 21 Trust, or their successor(s) in title, be approved, subject to the following conditions, that: xii) A purchase price of R900 000 excluding VAT of 15% where applicable, being R135 000 (in total R1 035 000), be payable, which valuation is to be reviewed if not implemented within 18 months from date of valuation. xiii) The purchase price is to be escalated by 6% per annum compounded annually on a pro-rata basis, commencing 6 months from date of valuation, i.e. from 01 July 2018. xiv) Rates and municipal charges, if applicable, be levied. xv) 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 the subject portion of Erf 762 Durbanville be utilized for parking purposes only, and be notarial tied to the purchaser’s Erf 2313 Durbanville, cc) that a service servitude be registered over the underground electrical services and sewer line traversing the subject property. Should any alterations or deviations to the underground electrical services be required, it will need to be carried out at the applicant’s cost. dd) The current lease agreement be terminated on date of registration; and ee) that all costs related and incidental to the transaction be borne by the purchaser. ACTION: PIETER STRUMPHER