Subcouncil 19

Resolution detail

The Subcouncil supported and recommended that, (a)Council resolve that, in terms of section 14 of the Local Government: Municipal Finance Management Act, Act 56 of 2003, that the portion of ERF 420 Simon’s Town, situated off Main Road, Simon’s Town, in extent approximately 2 275m2 and shown by the figure ABCDEFGHJKLM on the Plan No 1656/2016 attached and marked annexure B, is not needed to provide the minimum level of basic municipal services; and has not considered the fair market value of the asset and the economic and community value to be received in exchange for the asset. (b)Council approve the granting of in-principle approval for disposal of a portion of erf 420 Simon’s Town, situated off Main Road, Simons Town, in extent approximately 2 275 m2 and as shown by the Figure ABCDEFGHJKLM on the Plan No LT 1364v0 attached and marked Annexure A and further indicated on the diagram SG No 1656/2016 attached and marked annexure B, to Southern Palace Investment (Pty) Ltd or its successors in title, subject inter Alia to the following conditions, that: (i)A market-related purchase price of R2 800 000 such amount to be offset against the market value of the portion of unregistered Erf 5260 Simon’s Town, indicated by the figure NPQR on Plan No LT 1364v0 attached and marked Annexure A, which will be transferred to the City of Cape Town, such value being R1 550 000.00 must be paid. The net sale price to be paid by Southern Palace Investments 112 (Pty) Ltd to the City of Cape Town is thus R 1 250 000.00 excluding VAT of 14%, being R175000 (in total 1 425 000); (ii)The purchase price set/-off amount is to be escalated by 6% per annum compounded annually on a pro rata basis commencing 6 months from date of valuation until date of transfer. Accordingly the above recommended purchase price/set-off amount is to be adjusted as from 2017-02-01; (iii)Subject to such further conditions to be imposed by the Director: Property Management in the exercise of her delegated authority; (iv)Subject to compliance with any other statutory requirements; (v)All costs related to the transaction be borne by the applicants; (vi)Subject to the registration of a Right of Way and Services servitude in favour of the City of Cape Town, free of the payment of ant consideration, as indicated by the figure PSTUV on the Plane No LT 1364v0 attached and marked annexure A. This servitude will be subject to the following conditions: •No trees may be planted over the servitude area •No excavation or filling may be carried out within this area without prior consent of council •Council shall have the right of access at all times for the purpose of maintaining and repairing the services. (vii)Subject to the rezoning of the property to an appropriate zoning, if necessary (viii)Electricity services exist within the area and the following conditions will apply; •Any alteration to services necessary as a consequence of the proposal or requested by the applicant will be carried out at the cost of the applicant •No excavation is to take place on the site until the requirements of the occupational Health and safety Act No 85 of 1993 and section 141(1) of the Municipal Ordinance has been adhered to. Action: Wilson Baartman