The City of Cape Town and partners’ Conradie Park housing project reached a significant milestone today, 4 February 2022, when its first tenants moved in. The City, Western Cape Government (WCG), Social Housing Regulatory Authority (SHRA) and Concor Developments, with its social housing partner, Own Haven Housing Association, welcome the tenants of the affordable housing project at the old Conradie Hospital site in Pinelands. Read more below:
Conradie Park, a mega mixed income, mixed-use project, has been made possible through strong partnerships. This project is part of the City and partners’ plans to develop affordable housing opportunities in and near urban centres across the metro to enable greater spatial equality. It comprises affordable subsidy rental and mortgage housing units. It also contains 530 financed-linked individual subsidy (FLISP) funded units – a subsidy for first-time homeowners that is administered by the WCG, working with the banking sector. This project contains South Africa’s first vertical FLISP development.
The first phase of the social housing blocks comprising 432 units will be fully tenanted in due course and the second phase comprising 659 units is earmarked to begin construction from approximately March 2022, if all goes to plan. This well-located development consists of 3 600 residential units, including social and affordable market units with schools, a retail centre and retail shops on the ground-floor of several of the social housing blocks.
‘This project is a prime example of our vision for Cape Town – an inclusive space where the City, government, private sector and beneficiaries work together to create well-located, mixed income and mixed use developments that break the spatial inequalities created by the apartheid government. Access to well-located affordable housing in Cape Town is critically important.
‘We need to do more and we need to do it faster. We need to do it together and this R3 billion project shows that we can do that. A municipality on its own cannot solve the human settlements crisis in South Africa. We need greater partnerships and innovation to tackle this. The City thanks our partners for their invaluable work in making this project a reality,’ said the City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi.
Facts about social housing:
- It is managed by accredited social housing institutions (SHIs).
- SHIs are solely dependent on rental income. They receive no operational grants. They are able to service their debt finance through rental income.
- As with any rental contract, tenants formally enter into lease agreements. The landlord is the SHI.
- If tenants do not adhere to their lease agreements, the responsible SHI will follow the necessary legal process. Tenants must therefore pay to stay as the rental money is used for the day-to-day operation and upkeep of the complex.
- The City has nothing to do with the day-to-day management of SHIs, the rental amount or evictions for not paying.
- Before potential beneficiaries can apply for social housing, they are required to register on the City’s Housing Needs Register.
- Projects are developed on well-located, accessible land in and near urban centres.
- It is not low-income subsidised government housing, such as Breaking New Ground (or the commonly called RDP housing and it is not City Council Rental Units).
- It is managed with 24-hour security and access control.
- The City may sell City-owned land at a discounted price for social housing developments to make projects economically viable.
- Social housing offers improved access to social facilities and other amenities.
- A single grant subsidy can benefit on average five households versus one household for Council rental units.
- Social housing adds value to vacant pieces of land.
- Social housing has the potential to improve property values in an area.
For more information and to apply:
SOURCE: City of Cape Town