Phase 3 of the City of Cape Town and Communicare’s Bothasig Gardens affordable social housing project was launched on 28th July 2021. An online launch was held by Communicare to safely commemorate this significant milestone in the project amid the resurgence of Covid-19 and amended lockdown regulations. The City is committed to driving greater partnership-based and innovative accommodation options like this to address the growing demand for affordable housing opportunities for those earning below R15 000 per month.
Phase 3 of Bothasig Gardens will provide 314 affordable social housing opportunities, and is expected to be completed toward the end of this year. Social housing is a key pillar of the City’s commitment to deliver more affordable social housing projects, situated in well-located areas. 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.
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The City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi said that this project’s proximity to Century City as well as the Cape Town city centre is an indication of the City’s commitment to affordable housing in and near urban centres.
“Our projects are easily accessible to a number of amenities including job opportunities, education institutions, healthcare facilities and public transport. We are closer to seeing this project become a reality and for our qualifying beneficiaries to move into their new homes. It is also a good example of how we must build and expand on partnerships to tackle the demand for more affordable housing in Cape Town, and other parts of the country.”
He further confirmed that they were well aware of the acute housing need that exists across the metro and the impact that housing can have on the lives of our residents. According to him, the City is committed to service delivery through the provision of several different types of opportunities, including affordable rental housing such as this project provides. He called upon all relevant private sector players to partner with the and give support to make Cape Town a greater and more resilient city.
“It takes hard work and dedication to see these projects to completion and we thank City staff and all our partners, including Communicare, the Social Housing Regulatory Authority, as well as our communities and civic representatives, who are working with us to see the goal of a more spatially integrated city, with greater access to affordable housing, become a reality. I hope we can continue on this path of collaboration,” said Councillor Booi.
The selection of beneficiaries for all City housing projects, including social housing, is done in accordance with the City’s Allocation Policy and Housing Needs Register.
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 prices in an area.
