Johannesburg’s proposed new housing laws

February 2018 saw the city of Johannesburg propose new housing laws, relating to affordable housing in central suburbs across the city. The inclusionary housing policy, has already received public comment, both for and against it, and is in its final draft stages. The city hopes to have it ready and passed before the year ends.

After public comment and edits thereafter, the policy requests the following: developers of residential complexes of 20 units or more are required to allocate a minimum of 20% of the units for low and low-middle income tenants. These units can be rented out for a maximum of R2100 per month. Previously the policy stated that developers of complexes with 10 units or more must allocate 20% of the units to low and low-middle income tenants. The new draft policy however does state that complexes with 10 units may allocate the 20% to these tenants if they wish to do so.

“Partnering with the private sector to provide lasting solutions in the delivery of affordable housing is critical in the City’s approach to transform Johannesburg into a more spatially just, sustainable, and efficient urban form,” says Reuben Masango, MMC for Development Planning. While the city’s intentions are positive, some developers are worried that this mandatory policy will discourage future residential property developers from building in Johannesburg.

The units dedicated to lower income households have various requirements developers need to meet, such as:

• They must each measure at least 18 square metres.
• Look the same on the outside as all the other units in the complex
• Have equal access to all common spaces and facilities.
• Have a separate and private bathroom in each unit.

Rental property in central suburbs of Johannesburg such as Sandton, have been largely unaffordable for low to middle income families. This policy proposal seeks to allow lower income families to find accommodation in central suburbs and make the city’s housing more inclusive from 2018.