Cape Town - Despite the impact of more than 200 days of load shedding last year, the Western Cape managed to pass 27% more building plans than in 2021, and the province is hoping these plans convert into building sites that create more jobs.
The latest selected building statistics of the private sector released by Stats SA also show the Western Cape continues to lead in the value of building plans passed, keeping it ahead of the country’s economic hub – Gauteng.
Finance and Economic Opportunities MEC Mireille Wenger said the Western Cape continues to lead the country in the value of buildings completed, which is an important metric for job creation down the line.
Wenger said the province recorded R25.2 billion worth of completed buildings between January and November last year, representing 40% of the total value of buildings completed over this period.
“These impressive statistics speak for themselves, especially considering that building plans passed is a leading economic indicator of confidence in our economy.”
Nationally, Stats SA showed the value of recorded building plans passed in the country’s larger municipalities increased by 8.1% (R8bn) from January to November last year, compared with January to November 2021.
This followed an upwardly revised 8.9% surge in October and was the sixth consecutive month of increases in building plans approved.
In November, building plans increased for non-residential buildings by 46.2% against 16.2% in October; residential 2.4% vs 16.1% and additions and alterations 3.6% vs -4.9%.
Last year, when the national Treasury released the municipal capital expenditure budgets for the three-year period from 2022/23 to 2024/25, the data showed that other than Cape Town, no other metros in the country had prioritised infrastructure expenditure for the next three years.
The Procompare digital platform, which links clients with building professionals, showed construction rates vary considerably from province to province.
In the Western Cape, the average cost per square metre is R14 050, which means it will cost R2 050 000 to build a standard 146m2 home and R1 260 000 for a 90m2 home.
Last week, Mayco member for human settlements Malusi Booi inspected progress at the City’s new R500 million mega housing project in Symphony Way which is expected to deliver more than 3 300 state-subsidised houses.
Construction of the project is expected to be completed toward the end of 2026.
