A total of 15 government buildings have been released for Requests for Proposals in order to seek ideas on how they can be better utilised.
This comes after a Memorandum of Understanding (MOU) was signed at Durban ICC on Wednesday to address problem buildings in eThekwini.
The MOU was signed by Minister of Public Works and Infrastructure Dean Macpherson, KZN Public Works MEC Martin Meyer, and eThekwini mayor Cyril Xaba.
Macpherson listed 15 buildings from eThekwini that will, in the coming months, be released for Requests for Proposals. Some of the buildings that were listed are located in Central Durban, Berea, and Umbilo.
Mayor Xaba said apart from the initiative, the City had identified a total of 149 properties for disposal, and already 91 have either been released or are currently out for Request for Proposals.
Political leaders and the business sector have welcomed the Requests for Proposals for problem buildings.
Macpherson said the three spheres of government have worked tirelessly to identify a number of properties within the City that could be better utilised.
He called on the private sector, other state agencies, or non-profit agencies to provide ideas on how to utilise these properties with the aim of “truly benefiting the people of eThekwini either through repurposing or redevelopment”.
Macpherson added that the days of state buildings standing empty, attracting crime and chasing away investment were coming to an end.
“If these state properties start generating an income, it will enable the department to have more funds available to maintain and build new schools, hospitals, and other critical infrastructure across the country.”
“Imagine the Department of Public Works & Infrastructure, which currently has billions in overdrafts, no longer being a drain on the state fiscus but able to generate income towards building more social infrastructure to serve communities most in need,” said Macpherson.
Xaba said the signing of the MOU confirmed their commitment to strengthening partnerships with all government spheres and the private sector to ensure the government utilises state assets.
“The inaugural Property Conference held in Durban in April this year was to communicate the government's disposal plans for underutilised, surplus, and abandoned properties that are owned by organs of state.”
DA eThekwini leader Thabani Mthethwa said that they welcomed the intervention by the provincial and national government.
“It is a long overdue intervention. We urge the municipality to take advantage of this gesture which has the potential to reduce homelessness and the housing backlog and for the private sector to also get involved as that would assist with economic growth and generate revenue for the municipality.”
IFP leader in eThekwini, Mdu Nkosi said it was a good move. “Most of the buildings belong to the national and provincial government and they are not being utilised.
This creates opportunities for criminals to commit crime and hide in these buildings.
“It is important for inner city regeneration to revamp these buildings so that they will be used whether they be given to the municipality be used to grow the City’s economy.”
Andrzej Kiepiela of the KZN Growth Coalition said that they welcomed the MOU.
“This highlights the principle of the Government of National Unity. We have heard Minister Macpherson speaking about the MOU, we are looking forward to the buildings being released and will circulate and encourage the private sector to come up with ideas for proposals.”
Independent economic analyst Professor Bonke Dumisa said: “If appropriately used, this can significantly reduce the number of buildings which are an eyesore in eThekwini.
Unfortunately, a number of such buildings have already been hijacked; it is very difficult to claim back hijacked buildings.”
The 15 buildings are owned by the national Public Works department, the KZN department of housing and the KZN provincial government.
The buildings include:
- Palm Beach Hotel
- Dokkies Campus
- Seaman’s Institute
- Westpoint Lodge
- Esplanade government buildings
- State vet offices