South Africa

Public Works properties worth R800 million standing empty

The Department of Public Works has revealed the value of the vacant residential properties on its books.

Minister Dean Macpherson was responding to questions posed by Economic Freedom Fighters parliamentarian Vuyani Pambo on the vacancy, values, and intentions for the properties.

The department is the de facto owner of all government properties and has previously been mandated with procuring homes for ministers and their deputies, among others.

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Multi-million rand properties empty

The minister’s written parliamentary reply stated that the department had 193 vacant residential properties across all nine provinces, with a combined value of R792,929,182.

Gauteng, the province that is home to the administrative capital Tshwane, leads the way with 56 properties, while Eastern and Western Cape were next with 26 and 34, respectively.

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In the Western Cape, a R6.3 million home in Langebaan and two properties in the region of R35 million each in undisclosed locations in Cape Town top the valuation list.

In Johannesburg, the department lists four properties between R3 million and R4.8 million, two of which will be handed over to the Department of Social Development with two being advertised for revenue generation.

Some of the pricier properties in other provinces include a R2 million property in Amatola Row in King Williams Town, a R6.8 million farm in Weenan in KwaZulu-Natal and two R9 million farms in KwaDukuza.

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Alternative occupants to be found

The department stressed that the values of the properties were based on their municipal rate category and not their potential market value.

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Additionally, the number of properties listed does not include those which have been illegally occupied.

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Macpherson’s written response sent on 9 September also outlined how the department plans to deal with these vacancies.  

At least 22 have been earmarked for ‘disposal’, either via tender or permanently.

Just under 50 have been earmarked for lease and the remained are to be repurposed for other departments or advertised to potential investors for revenue generation.

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By Jarryd Westerdale