Real Estate Investor Magazine South Africa September 2016 | Page 25

WHAT POWERS DOES THE DEPARTMENT OF PUBLIC WORKS HAVE? The minister has a ‘general power’ but property can only be expropriated if this is directly connected to the minister’s mandate. These powers can be delegated to officials in the Department of Public Works. There are some limitations in delegating the powers. Officials may not: • Expropriate • Expropriate urgently on a temporary basis • Withdraw an appropriation • Make regulations THE PRE-EXPROPRIATION PHASE The expropriation bill outlines the guidelines that ensure the property is suitable for purpose: • The effects of registered and unregistered rights on the property (if there are any) on the possible expropriation have to be investigated thoroughly • The authority has the right to mandate surveyors and valuers to inspect the property, but if damage occurs as a result of these inspections, compensation may be due to the owner • Other government departments – Rural Development and Land Reform, Mineral Resources, Water Affairs and Sanitation, for instance – and the relevant municipality must be consulted WHAT NEXT? The notice of expropriation is then served to all affected parties, detailing the following: • • • • A description of the property Purpose of the expropriation Reason for the expropriation A directive to the owner/s to provide details of any unregistered rights on the property • Details of the amount claimed as compensation • Diagrams or sketches What happens if you have a right over a property? Rights are dealt with individually and separate notices must be delivered to each right-holder. Everyone has the same opportunity to object (in writing) and the authority has to consider all objections and submissions in good time before proceeding with expropriation. Incidentally, the same terms and conditions apply to rights-holders as to owners. If you are involved in the expropriation of your property, the authority takes possession in the period between the delivery of the notice and the actual expropriation. Compensation will be paid for costs incurred but it is your responsibility to maintain the property. In the second and final part of this article we’ll outline the remaining clauses and briefly discuss some of the concerns being expressed about the bill. RESOURCES SD Law www.reimag.co.za SEPTEMBER 2016 SA Real Estate Investor 23