Nearly R3.5 million will be written off for some residents of Joe Slovo who were in arrears with their municipality bills.
A Cape Town council meeting decided on Wednesday to write off water and sewerage arrears for tenants of the Langa housing scheme after they heeded the City’s call to sign formal lease agreements.
People renting 122 of the 705 units in the Joe Slovo housing scheme signed lease agreements with the City of Cape Town in exchange for having their water and sewerage arrears, run up between November 1, 2014, and February 2016 scrapped.
The now defunct Thubelisha Homes were responsible for the construction of these flats with funding received from National Government. No lease contracts were signed by residents.
“The City did not oversee the development, nor was it involved in the construction. It took over the tenancy management of the units in 2013. Many occupants, however, live rent-free and refuse to enter into formal lease agreements with the City. The City has, however, continued to attend to repairs and maintenance of a health and safety nature,” said the City’s Benedicta van Minnen.
According to City records, as of May last year, the property had an outstanding balance for services of over R6m.
It was recommended that R3 455 556 be written off.
The Human Settlements Department would pay the balance of R2 724 973.