SA Affordable Housing November - December 2018 // Issue: 73 | Page 18

ADVERTORIAL - COVER STORY
Continued from page 14.
Developments in Kwa-Guqa Ext 18, eMalahleni and Protea Glen Ext 10, Gauteng.
consultations, the City of Johannesburg tabled an amended
policy, one that we believe is a practical policy for
developers in general, although it did not make provision for
the affordable space.
After constructive engagement with the City of
Johannesburg we agreed that JHB and SAARDA would enter
into a Memorandum of Agreement, specifically relevant to
the affordable housing space, under which SAARDA
members will comply under the new policy. This will
provide clear and specific guidelines for affordable housing,
taking the uncertainties out of the equation when planning
a new development.
We are engaging with other local authorities during the
drafting process of their Inclusionary Housing Policies.
NHBRC
We commenced discussions with the NHBRC for the
reduction of the enrolment fees, especially in the affordable
space where price sensitivity is always relevant. We trust
that collectively we can make positive progress in the
coming months.
We are also engaging with the NHBRC to find an effective
way forward to deal with the adjustment of enrolment
values. The NHBRC issued a circular on 20 July 2018
whereby they advised that, ‘the market value fluctuations
over time is not an under-declaration, and therefore no price
adjustment should be effected’. This is a result of declaring
under values when enrolling properties at commencement
of construction by developers and then later correcting the
values to align with the bank bond amounts.
We are in discussion with the NHBRC to adopt a suitable
policy where significant property value increases do take
place and that within reason the price adjustment can be
realised. This might also include punitive measures where
blatant under enrolment took place.
DEVELOPER CONTRIBUTIONS
The issue of developer contributions in the affordable
housing space is always a contentious matter. We are in the
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NOVEMBER - DECEMBER 2018
process of gathering accurate information and statistics
from our developers to show that the consumption and
usage of bulk services in affordable developments are
indeed less that general developments and thus should
have a lower contribution levy.
SAARDA envisage that this will result in effective
agreement with local authorities that could be included in
future Memorandum of Agreements for the benefit of
SAARDA members.
TSHWANE DEVELOPMENT FORUM
The City of Tshwane municipality recently introduced an
innovative forum to engage with the role players in the
property development industry. SAARDA is represented on
the forum and is attempting to establish an affordable
housing sub-committee to deal with the unique challenges
in our industry.
We are engaging with other metropolitan councils to
establish similar forums to have open communication
channels to discuss and resolve issues and stumbling blocks.
MEMBERSHIP
SAARDA membership is open to all role players in the
property industry including contractors and suppliers,
engineers, town planners, architects, surveyors,
environmental consultants, attorneys, financial institutions
and bond facilitators. Our membership also extends to
national and provincial government and local authorities.
EVENTS
We have numerous events every
year and attempt to have guest
speakers at our events to address
interesting and relevant matters
in our industry.
Please visit our website for
more information on membership,
events and newsletters, at:
www.saarda.co.za.
www.SAAffordableHousing.co.za