Briefing to the Portfolio

Committee on Housing

JUNE 2003

VisionVision

Facilitate the provision of habitable Facilitate the provision of habitable environments for communities with environments for communities with adequate infrastructure through the adequate infrastructure through the delivery of sustainable affordable and delivery of sustainable affordable and safe housing opportunities.safe housing opportunities.

MissionMission

To promote the delivery of Housing through the following strategic To promote the delivery of Housing through the following strategic programmes identified in the sustainable Housing Strategy of the programmes identified in the sustainable Housing Strategy of the COJCOJ

11.. Water and Sanitation (Informal Settlements upgrades) Water and Sanitation (Informal Settlements upgrades)

2.2. Peoples Housing Process and RDP Peoples Housing Process and RDP

3.3. Conversion of Hostels (Hostel Redevelopment) Conversion of Hostels (Hostel Redevelopment)

4.4. Management of Council owned stock Management of Council owned stock

5.5. Sales and Transfers Sales and Transfers

6.6. Inner City (Institutional Housing)Inner City (Institutional Housing)

7.7. Special Projects (e.g. Baralink, Cosmo, Kliptown, Alex)Special Projects (e.g. Baralink, Cosmo, Kliptown, Alex)

8.8. Continual Land and Building Identification for Housing Continual Land and Building Identification for Housing OpportunitiesOpportunities

IntroductionIntroduction

Johannesburg’s PopulationJohannesburg’s Population• 791 000 Households791 000 Households

• 33% Households housed in less adequate accommodation33% Households housed in less adequate accommodation

• 170 115 Living in Settlements 170 115 Living in Settlements

• 108 000 Living in backyard shacks108 000 Living in backyard shacks

Most Important Concerns articulated by residents Most Important Concerns articulated by residents of Johannesburgof Johannesburg

1.1. JobsJobs

2.2. HousingHousing

Housing Backlog -120 000Housing Backlog -120 000

Estimated Family Formation by 2010 Estimated Family Formation by 2010 • 101 940- 144 751 Households earning R3 500 101 940- 144 751 Households earning R3 500

CHALLENGES FACED BY THE CITY CHALLENGES FACED BY THE CITY INFORMED BY THE SUSTAINABLE INFORMED BY THE SUSTAINABLE HOUSING STRATEGY HOUSING STRATEGY

( I ) Backyard shacks( I ) Backyard shacks

108 000 backyard shacks unregulated108 000 backyard shacks unregulated

( II ) Inner City Housing( II ) Inner City Housing

6 947 units upgrading6 947 units upgrading

( III ) Council Hostels( III ) Council Hostels

27 hostels 50% will require further upgrading27 hostels 50% will require further upgrading

( IV ) Street people( IV ) Street people

4 500 people are without any form of shelter4 500 people are without any form of shelter

( V ) Informal settlements( V ) Informal settlements

89 informal settlements 170 000 households89 informal settlements 170 000 households

( VI ) Land invasions( VI ) Land invasions

Invasions have been stabilised and containedInvasions have been stabilised and contained

( VII ) Council owned housing stock( VII ) Council owned housing stock

145 073 housing units (60%) are in a bad state145 073 housing units (60%) are in a bad state

Implementation StrategyImplementation Strategy

1. Water and Sanitation (Informal Settlements Upgrades)1. Water and Sanitation (Informal Settlements Upgrades)

•47 Formal Settlements (122 485 Households) to be upgraded 47 Formal Settlements (122 485 Households) to be upgraded (Registration, numbering, street naming, fencing, manage and (Registration, numbering, street naming, fencing, manage and contained)contained)•27 Informal settlements ( 33,625 Households) under the relocation 27 Informal settlements ( 33,625 Households) under the relocation programme to be effectedprogramme to be effected•15 Portions of vacant land from where all Informal Settlements 15 Portions of vacant land from where all Informal Settlements (13 887households) have been relocated would be secured at all (13 887households) have been relocated would be secured at all timestimes•Enter into Service Delivery Plan with Regions to manage and contain Enter into Service Delivery Plan with Regions to manage and contain informal Settlements. informal Settlements. •Encourage and engage communities in the relocation process Encourage and engage communities in the relocation process •Enter into a Service level agreement between JHB Roads, Water and Enter into a Service level agreement between JHB Roads, Water and City Power for the purposes of fast tracking the upgrading of Informal City Power for the purposes of fast tracking the upgrading of Informal Settlements and to strengthen the capacity of Housing Department to Settlements and to strengthen the capacity of Housing Department to deliverdeliver

Implementation Strategy (continues)Implementation Strategy (continues)

2. Peoples Housing Process (PHP) and RDP2. Peoples Housing Process (PHP) and RDP

•Create 10 000 housing units through the Peoples Housing ProcessCreate 10 000 housing units through the Peoples Housing Process•Four Housing Support Centre’s have been established in Doornkop, Four Housing Support Centre’s have been established in Doornkop, Orange Farm, Diepsloot and Ivory Park.Orange Farm, Diepsloot and Ivory Park. •Development of 6 000 RDP units in Braam Fisherville, Vlakfontein West Development of 6 000 RDP units in Braam Fisherville, Vlakfontein West •Enter into service level agreement with JHB Social Housing Company Enter into service level agreement with JHB Social Housing Company and Golden Triangle Development Company for the purposes of fast and Golden Triangle Development Company for the purposes of fast tracking the implementation of PHP.tracking the implementation of PHP.•Ensure meaningful participation by Housing Central and Regions on Ensure meaningful participation by Housing Central and Regions on RDP housing development in an effort to address all bulk and RDP housing development in an effort to address all bulk and infrasturural services developments which are Provincially driven. infrasturural services developments which are Provincially driven. •Introduce saving schemes through National Urban Reconstruction Introduce saving schemes through National Urban Reconstruction Housing Agency (NURCHA) to raise R2479 required from qualifying Housing Agency (NURCHA) to raise R2479 required from qualifying beneficiaries for them to access a full subsidy of R20 300beneficiaries for them to access a full subsidy of R20 300

Implementation Strategy (continues)Implementation Strategy (continues)

3. 3. Conversion (Redevelop) of Public and Council owned Conversion (Redevelop) of Public and Council owned HostelsHostels

Redevelopment of 13 Hostels creating 10 000 family unitsRedevelopment of 13 Hostels creating 10 000 family units

Anthea/LanglaagteAnthea/Langlaagte 250250 Selby Hostel/ Faraday Selby Hostel/ Faraday 355 355

Lifateng SowetoLifateng Soweto 650650 Van Beek HostelVan Beek Hostel 350 350

Mapetla Soweto 1,000Mapetla Soweto 1,000 City Deep HostelCity Deep Hostel 395 395

MeadowlandsMeadowlands 750 750 Diepkloof 1,800 Diepkloof 1,800

Madala (M1)Madala (M1) 750750 Dube Hostel- Soweto 1,900Dube Hostel- Soweto 1,900

Nobuhle (M2)Nobuhle (M2) 800800 Orlando West- Woman's 250Orlando West- Woman's 250

Helen Joseph Helen Joseph 750750

•Enter into a Service level agreement with JHB Social Housing Company to Enter into a Service level agreement with JHB Social Housing Company to redevelop/convert and manage hostels in an effort to fast track redevelop/convert and manage hostels in an effort to fast track implementation and to again strengthen the capacity of Housing implementation and to again strengthen the capacity of Housing Department to deliver Department to deliver

Implementation Strategy (continues)Implementation Strategy (continues)

4. Management of Council Owned Stock4. Management of Council Owned Stock

•Sign of Service Delivery plan with Regions to ensure efficient Sign of Service Delivery plan with Regions to ensure efficient and effective management of Council owned housing and effective management of Council owned housing properties properties

•Enter into a Service level agreement with JOSCHO to Enter into a Service level agreement with JOSCHO to eventually take over the management of Council owned stock eventually take over the management of Council owned stock from Regionsfrom Regions

•Implement Market Related rentals on all Council Housing Implement Market Related rentals on all Council Housing Stock through a gradual process of phasing in market related Stock through a gradual process of phasing in market related rentals over a three year periodrentals over a three year period

•Reguralise illegal tenants in line with Council resolution with Reguralise illegal tenants in line with Council resolution with cut- off date for regularization being end of September 2002cut- off date for regularization being end of September 2002

Implementation Strategy (continues)Implementation Strategy (continues)

5. Sales and Transfers5. Sales and TransfersCreate 71,759 housing opportunities through selling and Create 71,759 housing opportunities through selling and transferring council owned housing properties and title Deeds transferring council owned housing properties and title Deeds in lesser formal Townships though the following Directives in lesser formal Townships though the following Directives

•24,000 first directive housing ( Former black townships)24,000 first directive housing ( Former black townships)

•4,000 second directive housing (Former own affairs housing4,000 second directive housing (Former own affairs housing

•43,759 third directive (Lesser formal townships) 43,759 third directive (Lesser formal townships)

•Fast track the transfer of problematic second directive Fast track the transfer of problematic second directive housing through Africon (appointed consultants ) in an effort housing through Africon (appointed consultants ) in an effort to strengthen Housing Department to deliverto strengthen Housing Department to deliver

•Fast track the process of registration and verification of legal Fast track the process of registration and verification of legal tenants in all housing units delivered through Price tenants in all housing units delivered through Price Waterhouse Coopers (appointed Consultants)Waterhouse Coopers (appointed Consultants)

Implementation Strategy (continues)Implementation Strategy (continues)

6.Social Housing/ Inner City & Special Projects 6.Social Housing/ Inner City & Special Projects Deliver 41,900 high rise/ density housing opportunities in the following Deliver 41,900 high rise/ density housing opportunities in the following projects:-projects:-

Cosmo City Cosmo City 8,500 8,500 Kliptown ProjectKliptown Project 4,400 4,400

BaralinkBaralink 2,000 2,000 Vlakfontein West 6,000Vlakfontein West 6,000

Inner City Better Buildings 5,000Inner City Better Buildings 5,000 Alexandra 14,000 Alexandra 14,000•Enter into a service level agreement with JOSCHO to develop and Enter into a service level agreement with JOSCHO to develop and manage most of the above projects in an effort to strengthen the manage most of the above projects in an effort to strengthen the Housing department to deliver.Housing department to deliver.•Make use of the capacity of other roleplayers like Kopano, Housing Make use of the capacity of other roleplayers like Kopano, Housing Agency Development (HAD), Basil Read,JHB Housing Company, Cope Agency Development (HAD), Basil Read,JHB Housing Company, Cope Housing Assosiation, Constedienste, and others to deliver special Housing Assosiation, Constedienste, and others to deliver special projects, invest,refurbish and manage some of the Inner City Better projects, invest,refurbish and manage some of the Inner City Better Buildings in line with Council resolution (Suspensive sales conditions)Buildings in line with Council resolution (Suspensive sales conditions)•Make use of the Services of Propcom to deal with land issues such as Make use of the Services of Propcom to deal with land issues such as long term leases and land transfers.long term leases and land transfers.•Enter into Service level agreement with Development Planning and Enter into Service level agreement with Development Planning and Facilitation to provide technical support on housing projects and to Facilitation to provide technical support on housing projects and to assist with project management servicesassist with project management services

ConclusionConclusion

It is our firm believe that the sustainable housing strategy’s It is our firm believe that the sustainable housing strategy’s identified housing delivery programmes will enable the identified housing delivery programmes will enable the Department to create 262 144 housing opportunities. Department to create 262 144 housing opportunities. Identify developable land and buildings to address the Identify developable land and buildings to address the backyard shacks and hostels backlog. Address the backyard shacks and hostels backlog. Address the challenge relating to street people thus eradicating the challenge relating to street people thus eradicating the housing backlog by 2006.housing backlog by 2006.

The involvement of council owned entities like JHB Water, The involvement of council owned entities like JHB Water, Roads, City Power, JHB Social Housing Company, Council Roads, City Power, JHB Social Housing Company, Council Departments like Development Planning and Facilitation and Departments like Development Planning and Facilitation and Gauteng Housing Department through the services of Gauteng Housing Department through the services of Regional professional teams and additional funding provided Regional professional teams and additional funding provided to appoint 5 additional project managers will surely make the to appoint 5 additional project managers will surely make the task of the Housing Department easier in housing the low task of the Housing Department easier in housing the low income communities of the City of Johannesburg.income communities of the City of Johannesburg.