The City of Cape Town and the National Housing Finance Corporation will spend R2,6 million fixing the structural problems of houses built by the Cape Town Community Housing Company (CTCHC).
The costs will be shared equally as the city is a 50 percent partner in CTCHC.
The CTCHC acknowledged this week that its houses were not structurally sound after a report, released by the University of Cape Town last week, said the company had flouted building regulations.
‘Walls were cracked and many were falling to pieces’
The CTCHC built 2,000 houses in nine sites on the Cape Flats, including Gugulethu, Mitchell’s Plain, Philippi and Heideveld.
Mayoral committee member for housing Dan Plato told Mayco councillors on Tuesday that he had received an “awful lot of complaints” from homeowners and that in loco inspections had led to “scary” revelations of the state of the houses.
Plato said the houses he had visited had not been built on a level plane, walls were cracked and many were “falling to pieces”.
On Tuesday, Mayco approved the appointment of a third social housing company, Communicare, to help it build 5,000 houses by 2008.
Plato said the council had to approve the expenditure to fix the CTCHC houses as it did not want to leave homeowners in the lurch.
Plato said the city should have smelt a rat in CTCHC after the recent resignation of most of its financial staff.
A financial forensic report is currently under way, but a preliminary report already indicated the company had financial problems. - Cape Argus
The costs will be shared equally as the city is a 50 percent partner in CTCHC.
The CTCHC acknowledged this week that its houses were not structurally sound after a report, released by the University of Cape Town last week, said the company had flouted building regulations.
‘Walls were cracked and many were falling to pieces’
The CTCHC built 2,000 houses in nine sites on the Cape Flats, including Gugulethu, Mitchell’s Plain, Philippi and Heideveld.
Mayoral committee member for housing Dan Plato told Mayco councillors on Tuesday that he had received an “awful lot of complaints” from homeowners and that in loco inspections had led to “scary” revelations of the state of the houses.
Plato said the houses he had visited had not been built on a level plane, walls were cracked and many were “falling to pieces”.
On Tuesday, Mayco approved the appointment of a third social housing company, Communicare, to help it build 5,000 houses by 2008.
Plato said the council had to approve the expenditure to fix the CTCHC houses as it did not want to leave homeowners in the lurch.
Plato said the city should have smelt a rat in CTCHC after the recent resignation of most of its financial staff.
A financial forensic report is currently under way, but a preliminary report already indicated the company had financial problems. - Cape Argus
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