The Sunday News
Vusumuzi Dube, Senior Municipal Reporter
BULAWAYO is faced with a housing delivery crisis with details emerging that more than 3 000 stands that were being developed by private developers have been left uncompleted with the local authority forced to take legal action to resolve the impasse.
The local authority has had an on and off relationship with private developers having at one point been forced to set aside their engagement in housing projects instead opting for a pre-sale strategy where they sell off stands to beneficiaries and then use the money to develop the stands.
It has, however, since emerged that the local authority whose housing waiting list stands at 125 207 has had close to 50 percent of its housing projects being put on hold owing to disagreement between the local authority and the developers leading to the matter being referred for arbitration.
Some of the projects affected included Emganwini 367 stands, Tshabalala (44), Magwegwe West (390), Woodville (144) and Emhlangeni Phase two (502).
In one of the affected projects — Emhlangeni Phase Two which was allocated to Stelix Private Limited — the contract has been terminated with the local authority taking over the project.
Presenting a BCC service delivery update, deputy director in the department of engineering services, Engineer Sikhumbuzo Ncube revealed that six out of 15 projects have been put on hold, with four being referred for arbitration, one taken over by council and the other having the tender being withdrawn totally.
He revealed that the outstanding projects had to date cost the local authority $7 228 136. Most of the affected projects have incomplete water, sewer and road works.
“We have six projects that are complete but the others are at various stages of completion, but we are really pushing so that we complete all the said projects,” said Eng Ncube.
Commenting on the issue, engineering services director, Eng Simela Dube said the hanging projects were largely affecting their efforts to reduce the housing backlog.
“It is honestly putting us in a difficult situation as it affects service delivery, our wish is that these projects are all completed and we avail these stands to the beneficiaries,” said Eng Dube.
Projects that have been affected are Emganwini Phase two, Tshabalala, Magwegwe West, Woodville, Emhlangeni Phase two, Magwegwe Extension and Pumula South two. Projects that have been completed are Emganwini Phase one, Magwegwe North, Luveve Five, Mahatshula, Emhlangeni Phase One and Pumula South Phase One.
Last year the local authority revealed that they were adopting a new housing development policy that will see land developers not selling stands to home seekers, as this would be the sole responsibility of the local authority.
In the new policy, private developers no longer buy virgin land and sell undeveloped stands to residents but are expected to service the land with water, sewer and tarred roads first.
Meanwhile, the local authority last Wednesday resolved to repossess a number of town houses, shopping centres and medical centre stands that have gone for years without being developed by the beneficiaries.
According to the latest council report these stands, located in the suburbs of Ilanda, Suburbs, Parklands and Selborne Park have gone for between nine and 24 years without being developed.
“In the month of May 2020, some sites development progress inspections were undertaken on non-residential stands allocated for development in the suburbs of Ilanda, Suburbs, Parklands and Selborne Park. The inspections were conducted on the level of development in compliance with the terms and conditions of the Agreement of Sale of the stands. The inspection revealed that a total of 24 stands sold between 1996 and 2015 are non-compliant.
“It is worthwhile noting that non-compliance letters were written to all beneficiaries of non-compliant stands during the month of May 2020.
“The beneficiaries were given an opportunity to show cause within 30 days of the date of the letter, why council cannot proceed with the cancellation of agreement due to non-development,” reads the report.
According to the report, 19 of the stands will be repossessed and five have been granted an extended building period of 24 months after paying an extension fee of US$500.
In July the local authority also resolved to repossess 179 stands in Cowdray Park, Entumbane and Pumula after the owners failed to develop them.
Some of these property owners had gone for 22 years without making any meaningful development of their stands after having been allocated in 1998.
