August 7, 2002
By Bongani Majola
THE City's housing department will call for proposals in September from individuals, tenants and private developers interested in investing in buildings identified as "derelict". The invitations are part of the Better Buildings Programme, aimed at regenerating the inner city by attracting private sector investment in refurbishing buildings.
In a "back to back" arrangement, the City undertakes to buy the buildings and cancel the arrears due. The City then invites interested parties to put in money to refurbish, then manage the buildings. "This way," says programme manager for institutional housing, Skhumbuzo Ndumndum, "the council avoids the route of litigation."
The Stock Conditions Survey, commissioned by the City in November last year to identify buildings that posed a health and safety risk in the city, has produced a database of 81 dwellings, including hotels and flat blocks. From the database, the City can determine which buildings need extensive repairs, minor improvements, or need to be demolished.
"We want to recover outstanding arrears from some of these buildings, and at the same time promote investment in residential property," says City of Johannesburg media liaison officer Nthatisi Modingoane. No matter what arrears are due, Modingoane says, the city will undertake to write the debt off. Prospective investors will be required to make significant investment in refurbishment, and will have the option of buying the buildings over a period of up to 10 years.
Modingoane says the programme is also open to tenants who are able to mobilise the resources to buy, repair and manage the buildings in the long term.
The 81 buildings are located mostly in the inner city and the surrounding Hillbrow, Yeoville, Doornfontein, Berea and Jeppestown areas. They include the previously infamous home of drug dealers and prostitutes,the Europa Hotel in Hillbrow, now a shelter for the homeless, the Mark and the Sands Hotel in Berea, an alleged source of drugs; and the Harley Chambers in central town, erstwhile home of some of the city's best doctors. Other buildings that might ring a bell in old memories include the Chelsea Hotel, Cosa Nostra, Olympia Mansions and Stone Acres.
In the second phase of the inner city regeneration, the City has identified another 75 buildings for inspection by a professional team who are expected to report by the end of the month. It is hoped, says Modingoane, that the inspection will assist the City in determining which buildings are to be demolished. The 75 buildings stand between Wolmarans and Hancock in the city centre, and Claim and Wanderers near the Noord taxi rank, encompassing most of Joubert Park.
During repairs, it is anticipated that tenants will have to temporarily relocate to other buildings, and may return to the refurbished buildings under new management, and on new terms and conditions.
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