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City of Cape Town halts auction of municipal homes in CBD after public outcry

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City of Cape Town halts auction of municipal homes in CBD after public outcry

20th November 2023

By: News24Wire

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The City of Cape Town halted the auction of city-owned rental housing in Maynard Street, Gardens, at the eleventh hour on Friday. 

The City informed tenants last week that it would no longer be proceeding with the looming auction of their homes, which was set for later this week, following a public outcry and concern over dwindling public housing in the inner city. 

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Tamara-Kay McLachlan and her family have been living in the rental properties in Maynard Street for the past 37 years.

Last month, the City informed her that the property would soon be auctioned off to the private sector.

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At the time, it said it intended auctioning off several prime pieces of property, which was aimed at "boosting the economy".

The City will be having its last property auction for the year on Thursday.

McLachlan expressed her happiness that the auction had been cancelled.

"While I am very happy that the auction has been called off, I am still confused about why they would want to sell our home after so many decades. I am also still very concerned about our future and whether the City is committed to public housing," she said. 

Housing lobby group Ndifuna Ukwazi said housing in Cape Town was predominantly treated as a financial asset, rather than a societal good, especially in well-located areas.

"This perspective restricts access to a privileged minority, exacerbating wealth inequality and spatial segregation in the city. Beyond being a mere shelter, well-located public housing serves as a catalyst for positive transformation," it said.

"The sale of well-located public housing would represent a considerable loss, jeopardising the preservation of exclusivity in an inner city that is already exclusive and unaffordable."

We look forward to 'more fruitful engagement'

Ndifuna Ukwazi's attorney, Dr Jonty Cogger, said: "We all need good news."

"As a housing activist organisation, we are often approached by members of the public in distressing circumstances and in urgent need of our assistance. It is wonderful to hear that the City has called off the auction, and we look forward to a more fruitful engagement with the City to ensure that it preserves as much public housing as possible," he added.

James Vos, the mayoral committee member for economic growth, said two City-owned properties in Maynard Street had been listed for auction on Thursday.

"One property is currently occupied with rental arrears in excess of R200 000, and another is vacant. These properties form part of a de-proclaimed road scheme and are not required for municipal purposes," he said. 

According to Vos, the City had been engaging with the tenants since 2016, informing them that the City was considering the disposal of the properties in Maynard Street.

"As per the tenant's lease agreement, the City can provide notice to tenants to terminate the lease agreement. A notice of intention to sell the property was hand-delivered on 11 October and signed for by the occupant," he said.

"The auctioning of this property has, however, been postponed until further notice and will, therefore, no longer form part of the auction listing for 23 November 2023."

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