N$142m lost due to non-sales

17 September 2018 | Infrastructure

Yolanda Nel - A number of proposed purchasers failed to finalise transactions for erven by the end of August, which lead to the automatic cancellation and withdrawal of the allocation of the respective properties.

According to the City of Windhoek (CoW), the expected revenue from these sales was close to N$142 million. This included private treaty of about N$119 million, N$11.7 million for properties in Kleine Kuppe, N$8.5 million for properties in Academia Ext 1, as well as almost N$2.5 million for town planning and cadastral procedures.

Approval was granted during the past council meeting that the strategic executive for housing, property management and human settlement sell the various cancelled properties on open tender to the general public.

It is worth noting that council has a policy to sell 10 metre portions for consolidation with adjacent erven. In most cases, such portions are situated behind the abutting erven and can only be sold to the owners of those erven.

“When it comes to failure to finalise such transactions from the client’s side, it is not advisable for the city to cancel allocations because it is not made to an individual in exclusivity, but is linked to an erf,” according to council document.

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