eThekwini Municipality has opened about 34 leasing opportunities for redevelopment as well as development of its properties that are not required to provide a basic Municipal service across the Municipality.
In a statement they said this includes three key properties on the beachfront, namely the properties where Mini Town, The Joint, and California Dreaming once stood.
Head of real estate, Thapelo Mmusinyane, said this is part of the municipality’s Proactive Land Release Strategy which seeks to ensure that the municipality does not have to wait for an application to be submitted in order to alienate surplus land.
“The municipality is now proactive in that process thus avoiding a scenario where municipal land, which is not required for municipal purposes, is occupied illegally and development opportunities are lost.
“This assists the municipality to achieve its developmental objectives and stimulate economic activity through the use of its surplus properties and also enables its residents to gain equitable access to land as prescribed by section 25(5) of the Constitution,” he said.
He said there are eight properties with either leases that expired or about to expire and 26 new properties altogether. The lease opportunities on offer include three properties on the beachfront, which need to be redeveloped or refurbished, vacant land portions across the city with development potential for residential, commercial, industrial, base telecommunications stations (cellular masts) and mixed-use developments.
Mmusiyane said this release opens business opportunities for both established developers and emerging first-time developers.
Mmusinyane the the total extent covered by properties which have been issued for leasing opportunities amounts to 123 284 m². These leasing opportunities allow the municipality to drive the development of priority development corridors, unlocking certain properties in terms of value and economic activity and attracting investment into the municipality. It also opens up the market for new entrants to enable the public to gain access to land on an equitable basis.
“The primary lease term ranges between a period of five to 50 years, depending on the type of development and alignment with the Municipality’ Spatial Development Framework (and the Spatial Planning and Land use Management Act read together with the eThekwini Municipal: Planning and Land Use By- Law (2016). The minimum / reserve rental amount per month ranges from the lowest of R2 916.67 up to R315 000 being the highest.
The RFP documents will be issued on September 13 with submissions closing on December 13 at 11am.
“There will be two non-compulsory briefing sessions on September 26 and November 14, which will be attended by funding institutions who will clarify their funding requirements and consideration.”
The Mercury