Subcouncil resolution details

Subcouncil 3

Agenda item no

03SUB 19/8/2022

Subject

PROPOSED LEASE OF A PORTION OF CITY OWNED LAND (PUBLIC OPEN SPACE), BEING A PORTION OF ERF 18206 GOODWOOD, SITUATED AT EDGEMEAD DRIVE, EDGEMEAD FOR SPORTING PURPOSES: EDGEMEAD TENNIS CLUB

Meeting date

Thursday, August 25, 2022

Resolution

Recommend

Date closed

Wednesday, September 07, 2022

Resolution detail

It was recommended that the lease of a portion of City owned land (Public Open Space), being a portion of Erf 18206 Goodwood and buildings situated thereon, situated at Edgemead Drive, Edgemead, Goodwood and as shown hatched and lettered ABCDEFGHJKLMN on the attached Plan No 130008534 and marked annexure A, in extent approximately 8 255 m², to Edgemead Tennis Club or its successors in title, be approved subject to inter alia the following conditions:

A tariff rental of R1 039,13 per annum, excluding VAT calculated at the rate applicable at the time of transaction be payable. Rates not applicable;

The lease will endure for a period of ten years;

The rental will be adjusted annually in terms of the rental tariff structure as approved by Council;

The property may be used for sporting purposes only;

Subject to such further conditions to be imposed by the Director: Property Management in terms of her delegated authority;

Subject to compliance with any other statutory requirements;

No compensation will be payable for any improvement made to the property;

The tariff rental assumes that the applicant will be responsible for all maintenance to the property;

On termination of the lease, the entire leased area must be reinstated at the Lessee’s expense to a condition acceptable to the City of Cape Town;

The primary use of all Recreation and Parks managed sporting grounds/ facility precincts remain as community sporting related activities/use. Any non-sporting commercial activity will be subject to the submission and approval of a formal development/land use/building plan application to and from the controlling authorities including approval from the lessor;

The responsibility of maintaining the tennis court and the club house and the rest of the leased area will be for the cost of the lessee;

Income generated on the facility will be used for the management and maintenance of the improvements including the sports facility, local community sports and recreation programmes;

Any proceeds generated from a commercial activity ancillary to the sporting code requires consent from the Lessor. Such activities may be supported subject to the proceeds being invested into the facility to the benefit of the City and local community;

The lessee shall provide the City with annual audited financial statements upon request;

The Lessee will undertake any capital expenditure with the written permission of the Lessor only. The purpose of the capital expenditure is to repair, improve the City asset to the benefit of the community. The improvements must be of a permanent nature and must form part of the City asset (i.e. not removable) which will increase the asset value (economic/social value) for the City;

It is the responsibility of the lessee to provide adequate security in order to secure its facilities;

A record of maintenance plan must be developed, i.e. a proposed schedule of repairs and maintenance must be maintained by the Lessee and be submitted to the lessor upon request so that due diligence checks can be timeously undertaken;

The lessee shall make provision of at least 2 hours per day for the general public use free of charge between 08:00am to 17:00pm;

s) The area identified for lease is situated on the Usage Area captured in IPARA as accountable for by Recreation & Parks. The accountability for the currently defined Usage Area, notwithstanding the proposed lease, will remain entrenched with Recreation & Parks.