Monday, August 24, 2009

N2 Gateway tenants owing city

Only four percent of tenants at the government's flagship N2 Gateway flats are paying rent, with arrears almost topping R7-million.

Tenants have collectively paid only R600 000 of the R7,5-million owed in rentals over the past year.

Monthly rentals are from R500 to R1 200 a unit.

The Department of Human Settlement has admitted in a parliamentary reply that it has been unable to recover the outstanding rent, and that its rental collection dropped from 19 percent in July 2008 to four percent by the end of July 2009.

Democratic Alliance shadow Minister of Human Settlements Butch Steyn said the department had indicated that only R180 000 had been spent on maintenance during this time, despite residents withholding rent because of the shoddy conditions of the flats.

"The fact that the department seemingly has no interest in collecting rentals despite having a list of the names and addresses of the occupants, is an indication once again of the poor management of the N2 Gateway," said Steyn.

  • Read the full story in tomorrow's edition of Cape Times
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