On Thursday, 11 May 2023, Mayor Geordin Hill-Lewis handed over keys to some of the first tenants to move into the City of Cape Town’s centrally located Maitland Mews social housing development.
National Human Settlements Minister Mmamoloko Kubayi, Western Cape Human Settlements Minister Tertuis Simmers, Acting Mayoral Committee member for Human Settlements Alderman James Vos, and members of the Social Housing Institution Madulammoho were among those in attendance.
Also read: City’s R93m Maitland housing project delivers 204 affordable rental units
With the completion of Maitland Mews, these 204 units represent roughly 25% of the city’s 800 central Cape Town social housing units that have been handed over to social housing companies for development.
A further 2 500 are under construction along the Voortrekker corridor and near economic nodes. There are 6 500 social housing opportunities in the pipeline across 50 land parcels in the city.
‘Very few things have the ability to transform lives the way dignified housing can. To have a place you can call home that is both safe and beautiful, and in the case of Maitland Mews, also well-located and affordable, is something too many South Africans have only dreamed of,’ said Mayor Geordin Hill-Lewis.
He continued, ‘Our country’s unfair and brutal history made those dreams seem almost unattainable for millions. But, as we can see today, that doesn’t have to be the case. Project by project, unit by unit, we can deliver more and more affordable housing options to Capetonians so that they are able to live lives of dignity and value.’
According to Mayor Hill-Lewis, the future of housing is about the enabling state, in which the government provides land and subsidies to allow the private sector to get on with the business of providing affordable housing.
‘My thanks go to the national and provincial governments for their help in accessing the necessary grant funding for this project and to our social housing partner, Madulammoho, who will be operating the development,’ he concluded.
‘The City is working to sustain momentum and move more of its properties into the construction phase for social housing,’ said Alderman James Vos, acting mayoral committee member for human settlements. ‘In the first five months of our Mayoral Priority Programme for Accelerated Land Release, five inner-city land parcels with a planned total of over 1 300 housing units reached critical land release milestones. More exciting milestones will be reached in the coming months.’
‘It is such a joy to see a project like Maitland Mews being launched and to see tenants moving in. Every tenant gets workshopped to fully understand their roles and responsibilities, and as we do this, we can see the excitement of the tenants to move to a well-located, safe and secure property they can call home,’ said Renier Erasmus from the social housing company Madulammoho.
He added, ‘Many tenants come from very bad living conditions and have to travel long distances to get to work. Now they can simply walk to work, save money, and spend more time with their families. At Maitland Mews, we have 24-hour security with cleaning, maintenance and management on site.’
About Maitland Mews
The social housing company Madulammoho operates Maitland Mews, which provides social housing rental opportunities to 204 residents and their families. This is part of a larger precinct development that includes over 1 000 affordable housing units.
The development is conveniently located on Voortrekker Road in central Cape Town, which is one of the city’s most important transportation corridors.
Tenants will live near the MyCiti bus service, with major shopping malls, industrial areas, universities and the economic opportunities of the Cape Town CBD only a few kilometres away.
Residents will have access to a variety of schools, a library, a police station and numerous places of worship.
The Consolidated Capital Grant from the Social Housing Regulatory Authority (SHRA), loan finance from the National Housing Finance Corporation (NHFC), equity from Madulammoho, and a discounted land price from the City all contributed to the funding.
The national social housing policy targets households with gross monthly incomes ranging from R1 850 to R22 000. The Social Housing Regulatory Authority (SHRA) recently estimated average monthly rentals for these projects to range from R722 to R6 475, depending on household income.
Facts about social housing
- Accredited social housing institutions (SHIs) are responsible for managing it.
- SHIs are entirely reliant on rental income. They do not receive any operational funds. They can service their debt with rental income.
- Tenants formally enter into lease agreements, just like any other rental contract. The SHI is the landlord.
- If tenants fail to comply with their lease agreements, the responsible SHI will go through the legal process. Tenants must therefore pay to stay because the rental money is used for the complex’s day-to-day operation and upkeep.
- The City has no involvement in the day-to-day management of SHIs, the rental amount, or evictions for failure to pay.
- Potential recipients must first register on the City’s Housing Needs Register before applying for social housing.
- Projects are built on accessible, well-located land in and around urban areas.
- It is not low-income government housing, such as Breaking New Ground (also known as RDP housing), nor is it City Council Rental Units.
- It is guarded around the clock and has access control.
- To make projects financially viable, the City may sell City-owned land at a reduced price for social housing developments.
- Social housing provides easier access to social services and other amenities.
- A single grant subsidy can benefit five households on average, compared to one household for council rental units.
- Social housing increases the value of vacant lots.
- Social housing has the potential to increase property values in a neighbourhood.
Find more information and apply via this link.
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