District Six's redevelopment may be delayed yet again, because a crucial business plan cannot be completed due to bungling by the Department of Human Settlements.
The department, formerly known as the Department of Land Affairs, has appointed a contractor, but the department failed to finalise the spatial plan, or development framework, on which the business plan had to be based.
A private development, seen as a pilot project, is under way after several hiccups, but now the project itself may be delayed, because the Auditor-General has recommended that no project should be launched before a proper business plan has been drawn up.
The business plan, which will form the basis for future development and which was due this month, will at best take several more months to materialise, it has emerged.
Willem Nero of the Western Cape Regional Land Claims Commission confirmed on Monday that although the commission had appointed contractor Target Projects to draw up the business plan at the end of last year, a development framework to inform the business plan has yet to be completed.
The development framework, which details proposed roads, parks and built structures, is essential to determine particulars such as the cost of building claimant homes and the share of development which will need to go towards commercial enterprises.
Premier Helen Zille slammed the delay, saying that despite assurances by the department and the contractor that the plan would be completed by July, it was nowhere near ready.
"We have now discovered that Land Affairs only tendered for the business plan, even though it was warned that the spatial plan had to be done first," she said.
She said another tender now had to be issued for a spatial plan.
"The plan must then be completed. And only then can the business plan proceed. All in all, this will mean at least another year of delays," she said.
Nero estimated that the spatial plan would be completed within three months.
He said the commission was in the process of appointing people to draw up the framework, that the spatial and business plans would be completed concurrently and that an agreement had been reached with Target that no penalties would be incurred as a result of the delay.
Terence Smith of Target Projects said that for now, the company would proceed with the business plan until it reached the point where it needed the input from the development framework.
Smith confirmed there were currently no penalties as a result of the delay and also that Target would not be bidding for the contract to complete the development framework.
"It simply means that once we get to a point where we can't proceed, we have to wait," he said.
Progress had previously been delayed for more than a year because of disagreement between the city council, the District Six Trust and the commission over the tenders for the development framework and the business plan.
An estimated 2 000 claimants are waiting to be returned to District Six, which has seen only 24 homes completed since the restitution drive was launched in the early days of democratic South Africa.
- Cape Argus
The department, formerly known as the Department of Land Affairs, has appointed a contractor, but the department failed to finalise the spatial plan, or development framework, on which the business plan had to be based.
A private development, seen as a pilot project, is under way after several hiccups, but now the project itself may be delayed, because the Auditor-General has recommended that no project should be launched before a proper business plan has been drawn up.
The business plan, which will form the basis for future development and which was due this month, will at best take several more months to materialise, it has emerged.
Willem Nero of the Western Cape Regional Land Claims Commission confirmed on Monday that although the commission had appointed contractor Target Projects to draw up the business plan at the end of last year, a development framework to inform the business plan has yet to be completed.
The development framework, which details proposed roads, parks and built structures, is essential to determine particulars such as the cost of building claimant homes and the share of development which will need to go towards commercial enterprises.
Premier Helen Zille slammed the delay, saying that despite assurances by the department and the contractor that the plan would be completed by July, it was nowhere near ready.
"We have now discovered that Land Affairs only tendered for the business plan, even though it was warned that the spatial plan had to be done first," she said.
She said another tender now had to be issued for a spatial plan.
"The plan must then be completed. And only then can the business plan proceed. All in all, this will mean at least another year of delays," she said.
Nero estimated that the spatial plan would be completed within three months.
He said the commission was in the process of appointing people to draw up the framework, that the spatial and business plans would be completed concurrently and that an agreement had been reached with Target that no penalties would be incurred as a result of the delay.
Terence Smith of Target Projects said that for now, the company would proceed with the business plan until it reached the point where it needed the input from the development framework.
Smith confirmed there were currently no penalties as a result of the delay and also that Target would not be bidding for the contract to complete the development framework.
"It simply means that once we get to a point where we can't proceed, we have to wait," he said.
Progress had previously been delayed for more than a year because of disagreement between the city council, the District Six Trust and the commission over the tenders for the development framework and the business plan.
An estimated 2 000 claimants are waiting to be returned to District Six, which has seen only 24 homes completed since the restitution drive was launched in the early days of democratic South Africa.
- Cape Argus
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