Subcouncil 16

Resolution detail

UNANIMOUSLY RESOLVED to RECOMMEND that;

1. Council resolve that, in terms of section 14 of the Local Government:  Municipal Finance Management Act, Act 56 of 2003, the subject property being a portion of Erf 14676 Cape Town (public street) situated on Albert Street, Cape Town, shown hatched an lettered ABCDEF on the Plan STC 3222, Annexure A attached to the report, which represents 2 basement levels of 415 m², is not required 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;
2. Council approve the granting of in-principle approval for the granting of rights to use and control or manage municipal capital assets by way of transferring a building right servitude over a portion of Erf 14676 Cape Town situated at Albert Street, Cape Town, shown hatched and lettered ABCDEF, on the Plan STC 3222, Annexure A attached to the report, which represents 2 basement levels of 415 m², subject to:

1. A purchase price of R2 200 000 excluding VAT be payable;
2. The purchase price is to be escalated by 8% per annum compounded annually on a pro-rata basis, commencing 6 months from date of valuation, i.e. from 1 May 2019 until date of registration;
3. The valuation is to be reviewed if the transaction is not implemented within 18 months from date of valuation, i.e. by 1 May 2020;
4. The sale is to be subject to a condition restricting the bulk to a floor area factor of 2.0 i.e. a building envelope of 830 m², which represents 2 basements levels of 415 m² each;
5. An occupational rental of 9% per annum equating to R16 500/month (excluding VAT) shall be payable form date of occupation, escalating at 8% per annum, until date of registration;
6. Rates and municipal charges, if applicable, be levied.
7. Subject to such further conditions to be imposed by the Director:  Property Management in terms of her delegated authority, including inter alia the following: