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Nodal Economic Profiling Project Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Context

IInn 22000011,, SSttaattee PPrreessiiddeenntt TThhaabboo MMbbeekkii aannnnoouunncceedd aann iinniittiiaattiivvee ttoo aaddddrreessss uunnddeerrddeevveellooppmmeenntt iinn tthhee mmoosstt sseevveerreellyy iimmppoovveerriisshheedd aarreeaass rruurraall aanndd uurrbbaann aarreeaass ((““ppoovveerrttyy nnooddeess””)),, wwhhiicchh hhoouussee aarroouunndd tteenn mmiilllliioonn ppeeooppllee..

TThhee UUrrbbaann RReenneewwaall PPrrooggrraammmmee ((uurrpp)) aanndd tthhee IInntteeggrraatteedd SSuussttaaiinnaabbllee RRuurraall Maruleng DDeevveellooppmmeenntt PPrrooggrraammmmee Sekhukhune ((iissrrddpp)) wweerree ccrreeaatteedd iinn 22000011 Bushbuckridge ttoo aaddddrreessss ddeevveellooppmmeenntt iinn Alexandra tthheessee aarreeaass.. TThheessee iinniittiiaattiivveess Kgalagadi Umkhanyakude aarree hhoouusseedd iinn tthhee DDeeppaarrttmmeenntt ooff PPrroovviinncciiaall aanndd Zululand LLooccaall GGoovveerrnnmmeenntt ((ddppllgg)).. Maluti-a-Phofung Umzinyathi Galeshewe I-N-K Alfred Nzo Ukhahlamba Ugu

Central OR Tambo

Mitchell’s Plain Mdantsane Khayelitsha Motherwell

UUP-WRD-Khayelitsha Profile-301106-IS 2 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process Activities

Documents

z Overview People

z Themes

– Residential life

– Commercial activity

linkages

z Summary

z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 3 Nodal Economic Profiling Project Business Trust & dplg, 2007 Research process Khayelitsha Summary of what we have done

AAccttiivviittiieess DDooccuummeennttss PPeeooppllee

Socio-economic profiling of Urban Renewal Nodes z – Khayelitsha and Type of people met z Desk research Mitchell’s Plain (2006) – Provincial and local z 2 node visits: Urban Renewal Spatial government – 16-19 Oct 2006 Development Framework employees – 24-26 Oct 2006 for Khayelitsha and – People in private z Personal and Mitchell’s Plain (2005) sector / business

telephonic interviews Khayelitsha Market – Local community z Local business person Research Study (Market people surveys Decisions, 2001) Do Retail Centres Enhance Economic Development? Lessons from Khayelitsha, (Barnes, 1998)

Economic and Human Development Strategy (2006)

UUP-WRD-Khayelitsha Profile-301106-IS 4 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

Introduction

z Overview Key data points

Current action z Themes

– Residential life

– Commercial activity

– City linkages

z Summary

z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 5 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Overview

IInnttrroodduuccttiioonn KKeeyy ddaattaa ppooiinnttss CCuurrrreenntt aaccttiioonn

Introduces the node; Lists pertinent facts Describes current summarises key issues and figures interventions

SSnnaappsshhoott GGeeooggrraapphhyy GGoovveerrnnaannccee

AArreeaa ssuummmmaarryy SSppaattiiaall ddeevveellooppmmeenntt PPrroojjeeccttss

KKeeyy cchhaalllleennggeess DDeemmooggrraapphhyy

IInnccoommee aanndd eemmppllooyymmeenntt

EEdduuccaattiioonn

HHeeaalltthh

DDeevveellooppmmeenntt ssccoorreeccaarrdd

UUP-WRD-Khayelitsha Profile-301106-IS 6 Nodal Economic Profiling Project Business Trust & dplg, 2007 Introduction Khayelitsha Snapshot

Key information

406,779 (2005) Population 329,006 (Census 2001) Area 52.5 km2 Population density: 2005 7,748 inhabitants / km2

Estimated GDP: 2004 R798bn

KKhhaayyeelliittsshhaa Province Western Cape

Main town / city Cape Town

HHiissttoorriiccaall oovveerrvviieeww

TThhee ddeemmaarrccaattiioonn ooff KKhhaayyeelliittsshhaaaass aa rreessiiddeennttiiaall aarreeaa wwaass tthhee rreessuulltt ooff aa ccaabbiinneett ddeecciissiioonn iinn 11997799

DDuurriinngg tthhee eeaarrllyy 11998800ss,, tthhee aappaarrtthheeiidd ggoovveerrnnmmeenntt ddeessiiggnnaatteedd tthhee WWeesstteerrnn CCaappee aass aa ““CCoolloouurreedd LLaabboouurr PPrreeffeerreennttiiaall AArreeaa””;; iinnfflluuxx ccoonnttrrooll wwaass ssttrriiccttllyy eennffoorrcceedd aanndd ddeevveellooppmmeenntt cceeaasseedd iinntthhee AAffrriiccaann ttoowwnnsshhiippss ooff LLaannggaa,, NNyyaannggaaaanndd GGuugguulleetthhuu

TThhee CCoolloouurreedd LLaabboouurrPPrreeffeerreennttiiaall PPoolliiccyy,, ccoommbbiinneedd wwiitthh tthhee rraappiidd ggrroowwtthh ooff tthhee AAffrriiccaann ppooppuullaattiioonn iinn tthhee eeaarrllyy 11998800ss,, ccaauusseedd aa hhoouussiinngg ccrriissiiss iinn tthhee WWeesstteerrnn CCaappee;; ffuurrtthheerrmmoorree,,tthhee ggoovveerrnnmmeenntt ffeelltt tthhaatt iitt nneeeeddeedd ttoo ccoonnttrrooll tthhee mmoovveemmeenntt ooff AAffrriiccaann mmeenn wwhhoo fflloocckkeedd ttoo tthhee cciittyy iinn sseeaarrcchh ooff wwoorrkk

AAss aa rreessuulltt,, iitt wwaass ddeecciiddeedd tthhaatt aa nneeww ttoowwnnsshhiipp wwaass ttoo bbee llooccaatteedd oonn tthhee llaanndd ccoommpprriissiinngg ppaarrtt ooff tthhee oolldd DDrriifftt SSaannddss ffaarrmmss nneeaarr CCaappee TToowwnn IInntteerrnnaattiioonnaall AAiirrppoorrtt;; tthhee ttoowwnnsshhiipp ooff KKhhaayyeelliittsshhaa((mmeeaanniinngg ““nneeww hhoommee””)) wwaass tthhuuss eessttaabblliisshheedd iinn 11998833

TThhee yyeeaarrss bbeeffoorree tthhee ffiirrsstt sseettttlleemmeenntt iinn KKhhaayyeelliittsshhaawweerree cchhaarraacctteerriisseeddbbyy ppoolliittiiccaall vviioolleennccee aanndd bbllooooddsshheedd,, llaarrggeellyy dduuee ttoo tthhee ddeecciissiioonn bbyy tthhee ggoovveerrnnmmeenntt ttoo ccoonnttrrooll tthhee mmoovveemmeenntt oofftthhee AAffrriiccaann ppooppuullaattiioonn bbyy ccoonncceennttrraattiinngg tthhiiss ggrroouupp iinn aarreeaass wwhheerree tthheeyy ccoouulldd bbee ppeerrmmaanneennttllyy mmoonniittoorreedd aanndd ccoonnttrroolllleedd

Source: Khayelitsha Population Register Update: 2005; URP Socio-economic Report: 2006; An Evaluation of the Effects of Poverty in Khayelitsha: 2005 UUP-WRD-Khayelitsha Profile-301106-IS 7 Nodal Economic Profiling Project Business Trust & dplg, 2007 Introduction Khayelitsha Area summary

z Khayelitsha is Cape Town’s biggest township and the second largest in South ; it is located in the Western , approximately 35 km from Cape Town’s CBD z It is part of the ’s Metro South East Region, commonly known as Cape Town’s poverty trap z It is bordered by the highway to the north, the Coast to the south, and by Mitchell’s Plain to the west z Major tracts of land form buffer areas between Khayelitsha and Mitchell’s Plain; this pattern of land utilisation isolates the areas from each other z Khayelitsha was established as a dormitory town and its residents are essentially commuters; as a result it lacks a significant economic base apart from the retail and service sectors z Commuters make use of public transport to travel into the city; trains remain the cheapest and most popular means of transport, although taxis and buses are also available z The Khayelitsha community is expanding due to the high influx of people migrating to the area from the , however, the declining birth rate and the impact of HIV / AIDS has limited z The exact size of the population is unclear, although estimates range from 350,000 to 600,000

Source: Do Retail Centres Enhance Township Economic Development? Lessons from Khayelitsha, Cape Town (Barnes, 1998); Urban Renewal Spatial Development Framework: 2005; URP Socio-economic Report: 2006 UUP-WRD-Khayelitsha Profile-301106-IS 8 Nodal Economic Profiling Project Business Trust & dplg, 2007 Introduction Khayelitsha Some observations about Khayelitsha

“The infrastructure of Khayelitsha was planned to accommodate 250,000 people; the population is now more than double that!” – Businessperson, ex-councillor

“Overcrowding is a real problem in many areas, particularly in informal settlements; it makes law enforcement difficult, not to mention the spread of disease. The wind, rain and sand doesn’t make things any easier” – Consultant

“Everything that happens in the Western Cape is highly political; this can make an urban renewal project like this one extremely difficult to implement quickly and effectively” – Developer

“The empty tracts of land we have available to us represent enormous opportunities; we must work with developers and investors in order to make the most of these areas” – Urban planner

“Planners and developers should remember that due to its informality, Khayelitsha has great advantages for poor people, especially if they are located near public transport” – Planner

UUP-WRD-Khayelitsha Profile-301106-IS 9 Nodal Economic Profiling Project Business Trust & dplg, 2007 Introduction Khayelitsha Summary of key development challenges

Khayelitsha is isolated due to its distance from the city; transport costs are high and commuters SSppaattiiaall have to travel for long periods each day mmaarrggiinnaalliissaattiioonn It is situated far from the centres of economic opportunity

In many areas population density is high and informal shack developments occupy much of the OOvveerrccrroowwddeedd lliivviinngg available land; overcrowding within particular areas and within households is common ccoonnddiittiioonnss

Khayelitsha has an extremely high HIV infection rate; the rapid spread of this virus has HHIIVV // AAIIDDSS devastating social and economic consequences for the nodal population

50% of the residents in Khayelitsha reported that they do not feel to move around in their CCrriimmee area during the day; this percentage rose to a alarming 94% when residents were asked whether they feel safe to move around at night

Previous inequalities in spending in Cape Town are reflected by the lack of public amenities, LLaacckk ooff aacccceessss ttoo including parks and recreational facilities, in Khayelitsha ppuubblliicc aammeenniittiieess

Source: Interviews; Urban Renewal Spatial Development Framework: 2005 UUP-WRD-Khayelitsha Profile-301106-IS 10 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Overview

IInnttrroodduuccttiioonn KKeeyy ddaattaa ppooiinnttss CCuurrrreenntt aaccttiioonn

Introduces the node; Lists pertinent facts Describes current summarises key issues and figures interventions

SSnnaappsshhoott GGeeooggrraapphhyy GGoovveerrnnaannccee

AArreeaa ssuummmmaarryy SSppaattiiaall ddeevveellooppmmeenntt PPrroojjeeccttss

KKeeyy cchhaalllleennggeess DDeemmooggrraapphhyy

IInnccoommee aanndd eemmppllooyymmeenntt

EEdduuccaattiioonn

HHeeaalltthh

DDeevveellooppmmeenntt ssccoorreeccaarrdd

UUP-WRD-Khayelitsha Profile-301106-IS 11 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Geography Khayelitsha is located some 35 km from the Cape Town CBD; many residents travel this distance each day by taxi or by train

NNooddee mmaapp GGeeooggrraapphhiiccaall ffeeaattuurreess

SSuubb--aarreeaass

TThhee nnooddee iiss mmaaddee uupp ooff bbootthh ffoorrmmaall aanndd iinnffoorrmmaall sseettttlleemmeennttss;; ffoorrmmaall sseettttlleemmeennttss iinncclluuddee BBoonnggwweennii,, IIkkwweezzii PPaarrkk,, KKhhuullaanniiPPaarrkk,, KKhhaannyyaaPPaarrkk,, TTeemmbbaannii,, WWaasshhiinnggttoonn SSqquuaarree aanndd ZZoollaanniiPPaarrkk

IInnffoorrmmaall sseettttlleemmeennttss iinncclluuddee SSiittee BB,, SSiittee CC,, GGrreeeenn PPooiinntt,, Khayelitsha LLiitthhaaPPaarrkk,, MMaakkaazzaaaanndd HHaarraarree Mitchell’s Plain Main Roads TTrraannssppoorrttaattiioonn Malmesbury

Khayelitsha is located approximately 35 km from the Khayelitsha Khayelitsha is located approximately 35 km from the CCaappee TToowwnn CCBBDD ssoo rreessiiddeennttss hhaavvee ttoo ttrraavveell lloonngg ddiissttaanncceess eeaacchh ddaayy iiff tthheeyy wwoorrkk iinn tthhee cciittyy Bellville

TThheerree aarree nnuummeerroouuss ttaaxxii rraannkkss iinn tthhee aarreeaa aanndd City Goodwood Kuilsrivier Khayelitsha KKhhaayyeelliittsshhaa ccoonnttaaiinnss aa hhiigghhllyy ddeevveellooppeedd iinntteerrnnaall rrooaadd Wynberg network network

Mitchell’s Plain Simon’s Town TThheerree aarree ffoouurrppuubblliicc ttrraannssppoorrtt iinntteerrcchhaannggeess aanndd tthheerree iiss Strand aa ppllaannnneedd eexxtteennssiioonn ooff tthhee KKhhaayyeelliittsshhaa rraaiill lliinnee TTeerrrraaiinn aanndd nnaattuurraall rreessoouurrcceess

Location of Khayelitsha within the Cape Town Metro TThhee aarreeaa iiss ffllaatt aanndd ssaannddyy

Source: URP Socio-economic Report: 2006; Ndingaye, K: An Evaluation of the Effects of Poverty in Khayelitsha: 2005; City of Cape Town Report UUP-WRD-Khayelitsha Profile-301106-IS 12 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Spatial development The majority of the population live in informal dwellings; most have access to basic services

KKeeyy iinnddiiccaattoorrss:: 22000011 OObbsseerrvvaattiioonnss

zz PPooppuullaattiioonn ddeennssiittyy:: 66,,226677 ppeerrssoonnss // kkmm22 KKhhaayyeelliittsshhaa ccoonnttaaiinnss aa ccoommbbiinnaattiioonn ooff ffoorrmmaall llooww--ccoosstt hhoouussiinngg aanndd iinnffoorrmmaall hhoouussiinngg

MMaannyy ooff tthhee ppeeooppllee wwhhoo lliivvee iinn iinnffoorrmmaall ddwweelllliinnggss zz RRuurraall // uurrbbaann sspplliitt:: RRuurraall 00%%,, uurrbbaann 110000%% rreessiiddee iinn sshhaacckkss;; tthheessee aarree uussuuaallllyy ccoonnssttrruucctteedd oouutt ooff ttiimmbbeerr aanndd rreeccyycclleedd mmaatteerriiaallss ssuucchh aass z z DDwweelllliinnggss:: FFoorrmmaall 3366%%,, iinnffoorrmmaall 6644%% ppllaassttiiccss,, ccaarrddbbooaarrdd,, oolldd nneewwssppaappeerrss,, ppllaannkkss aanndd ccoorrrruuggaatteedd iirroonn tthhaatt aarree ccoolllleecctteedd ffrroomm rruubbbbiisshh dduummppss oorr bboouugghhtt ffrroomm iinnffoorrmmaall ttrraaddeerrss

Households Without Basic Access to Services: 20011 Type of Housing: 2001 75% 60% Separate House 30% Khayelitsha 58% s d l o 50% h 43% Informal Dwelling / Shack 64% e s u

o 30% 28% H

24% f Traditional Housing 2%

o 25% 17% % 5% Other 4% 0% Electricity Piped Water Waste Telephone 0% 20% 40% 60% 80% Removal % of Households Note: 1For electricity, basic access is defined as having electricity as the home’s source of lighting. For piped water, it is defined as having running water within 200m of the home. For telephone, it is defined as having a landline or cellular phone at the home’s disposal. Note that data are from 2001. Source: Stats SA Census 2001; Ndingaye, K: An Evaluation of the Effects of Poverty in Khayelitsha: 2005 UUP-WRD-Khayelitsha Profile-301106-IS 13 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Demography Nearly 70% of the population is under 30 years old; the most commonly spoken language is Xhosa

Age Distribution: 2001 Gender Distribution: 2001 40% 100% 36% 32% Total population: 329,006 30% 30% Total population: 329,006 80% s

s 48% 30% t t Male

n 58% n 24% e e Khayelitsha d d i 60% i 20% s s

National Average e e 20% R R

13% f f 40% o o

9% % % 10% 52% Female 5% 20% 42% 1% 0% 0% 0-14 15-29 30-44 45-64 65 + Total population Head of household

Household size: 2001 Language Distribution: 2001 80% 100%

TToottaall nnoo.. ooff hhoouusseehhoollddss:: 8855,,662299 96%

s 80% s

d 54% 60% t l 52% n o e h d e

i 60%

s 40% 39% Khayelitsha s u 40% e o R

H f National Average 40% f o

o

%

% 20% 20% 6% 9% 2% 1% 1% 0% 0% 1 to 3 4 to 7 8 + IsiXhosa Sesotho Other

Source: Stats SA Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 14 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Income and employment The population is poor; many people are unemployed or not economically active and most people earn below the household subsistence level

Annual Household Income: 2001 Employment Figures: 2001 60% 50% 47% HHoouusseehhoolldd SSuubbssiisstteennccee 40% 36% s 35% s d t l LLeevveell:: RR1199,,220000 ppeerr aannnnuumm n o 40% 30% e h

d 30% e i s s u

25% e o R

H

f 20% 18% f o

20% o

% % 8% 10% 2% 1% 0% 0% Below R9,601 - R19,201 - R38,401 - R76,801 - Above Employed Unemployed Not Economically R9,600 19,200 38,400 76,800 153,600 R153,601 Active

Employment by Industry (Top Five): 2001 Work Status: 2001 50% 100% s s

n n 95% o 40% o 80% s s r r e e P P

d 30% d 60% e e y y o o

l 19% 19% l p 20% 14% p 40% m 12% m E E

10% f f

o 10% o 20%

% % 3% 1% 1% 0% 0% 0% Retail & Private Community, Construction Manu- Paid Employee Self-employed Employer Paid Family Unpaid Family Wholesale Households Social & facturing Worker Worker Personal Services Source: Stats SA Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 15 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Education …The proportion of Khayelitsha’s residents with higher education is only half that of the rest of SA, despite a similar level of attendance of tertiary institutions among young people

School Attendance (Age 5-24) : 2001 Education Levels (Age 20+): 2001 80% 50% 74% 43% 67% Khayelitsha Khayelitsha

4 65% +

2 40%

All Nodes 0 - 60% All Nodes

2

5 32%

Rest of SA d 28%

d 29% Rest of SA e

e 30% g g A

A 40% . 22%

. 33% p 20% p 30% o 19%

o 20% 17% 25% P

P 15% 15% f

13% f o

o 20% 9% 9% % 10% 6% % 7% 6% 4%5% 3% 1% 3% 0% 0% None Pre-school & School Tertiary None Some Completed Some Std 10 / Higher primary primary secondary Grade 12 Why 6-19-year-olds are not attending school: 2005 Family Pre- commitment school SScchhoooollss iinn KKhhaayyeelliittsshhaa ¡

7.6% child 4% ¡ Illness 3388 pprriimmaarryy sscchhoooollss ¡ 9.4% No Money ¡ 17 secondary schools 36% 17 secondary schools

Pregnancy ¡ ¡ 9.4% TTwweellvveeaadduulltt cceennttrreess ¡ ¡ FFiivveenneeww sscchhoooollss aarree bbeeiinngg ppllaannnneedd ¡ Left school, ¡ Completed 5555 sscchhooooll ffaacciilliittiieess looking for ¡ school, looking ¡ work 13% OOnnee sscchhooooll ffoorr cchhiillddrreenn wwiitthh ddiissaabbiilliittiieess

for work 9.4% ¡ Left school, ¡ OOnnee tteecchhnniiccaall ccoollleeggee ((FFaallssee BBaayy CCoolllleeggee)) working 11% Note:Tertiary educational institutions include university, college, and adult education Source: Stats SA Census 2001; URP Socio-economic Report, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 16 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Health One quarter of the Khayelitsha population is HIV positive

Per Capita Health Expenditure: 2001 HIV Infection Rate: 20011 400 50% 357

320 40% V I H

n h t o 240 i 30% s 26% w r 199 25%

24% e d P e

t /

160 135 s 20% e R T

80 % 10%

0 0% Khayelitsha Node average Rest of SA Khayelitsha Node average Rest of SA

HHeeaalltthh ccaarree ¡ ¡ KKhhaayyeelliittsshhaa hhaass tteennhheeaalltthh cceennttrreess tthhaatt aarree eeaassiillyy aacccceessssiibbllee ttoo tthhee ccoommmmuunniittyy ¡ ¡ TThheerree aarree tthhrreeee ssppeecciiffiicc ssiitteess aatt wwhhiicchh ppeeooppllee mmaayy sseeeekk ttrreeaattmmeenntt ffoorr HHIIVV // AAIIDDSS ¡ ¡ SSuuppppoorrtt ggrroouuppss eexxiisstt ffoorr HHIIVV // AAIIDDSS ppaattiieennttss ¡ ¡ TThhee ““MMootthheerrss ttoo MMootthheerrss””pprrooggrraammmmee ((iinniittiiaatteedd bbyy tthhee CCiittyy ooff CCaappee TToowwnn ttoo aassssiisstt mmootthheerrssaaffffeecctteedd bbyy tthhee HHIIVV // AAIIDDSS ppaannddeemmiicc)) ¡ ¡ 22,,550000 ppaattiieennttss ccuurrrreennttllyy rreecceeiivvee AARRVV ttrreeaattmmeenntt ¡ ¡ TThheerree aarree tthhrreeeeccoommmmuunniittyy--bbaasseedd ccaarree cceennttrreess aanndd ffoouurraammbbuullaanncceess tthhaatt ooppeerraattee iinn KKhhaayyeelliittsshhaa

Note: Statistics for City of Cape Town were used; 1HIV prevalence among antenatal patients (pregnant women) Source: Health Systems Trust Reports: The Health Barometer, 2005, and Health and Related Indicators, 2005; Cabinet Lekgotla Report for Khayelitsha, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 17 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Development scorecard Although Khayelitsha ranks towards the bottom of the list of urban nodes, it performs better than the national average in most cases Khayelitsha development scorecard Difference vs Urban node All node National Rank out of Khayelitsha national average average average urban nodes average 1=Best, 7=Worst Poverty incidence (% of households 71.9% 67.1% 81.0% 65.3% 6.6% 4 below HSL)1

Employment rate 34.6% 33.2% 19.3% 33.7% 0.9% 3

Households without basic 17.0% 18.1% 55.1% 27.9% 10.9% 5 access to water2 Households without access to 24.0% 26.5% 50.3% 30.3% 6.3% 5 electricity3

% of adults with 32.3% 32.2% 54.1% 40.3% 8.1% 4 low / no education4

Better than national avg. Worse than national Avg.

Note: 1 HSL = Household Subsistence Level and is equal to R19,200 per annum (R1,600 per month); 2Defined as not having piped water within a distance of 200m of dwelling (govt. policy on minimum basic human need); 3 Based on households that do not use electricity as a source for lighting; 4All adults aged 20+ with no schooling at secondary level or above (Stats SA indicator of educational deprivation) Source: Stats SA Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 18 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Income A high proportion of households in Khayelitsha live below the household subsistence level; nodal income levels are well below the national average Average Household Income in Khayelitsha, Annual Household Income: 2001 vs South Africa: 2004 60% 5,000 Khayelitsha

49% South Africa 47% Monthly 4,092 4,000 household incomes in ) %% ooff HHoouusseehhoollddss LLiivviinngg BBeellooww s Khayelitsha are 40% d

Household Subsistence Level: n well below the

Household Subsistence Level: a

R national average ( Khayelitsha: 72%

s Khayelitsha: 72% e d l m 3,000 o SSoouutthh AAffrriiccaa:: 6655..33%% o h c e 25% n I s

u d l o o H h

f e o

20% 18% s

16% u % o 2,000 H

13% y

l 1,606 h

9% t 8% n 7% 6% o M 2% 1% 1,000 0%

0 0 0 0 0 1 0 0 0 0 0 0 6 2 4 8 6 ,6 , , , , , 3 9 9 8 6 3 5 R 1 3 7 5 1 - - - 1 w - R o 1 1 1 e l 0 0 0 1 v e ,6 ,2 ,4 0 o 0 B 9 9 8 ,8 b R 1 3 6 R R 7 A 1 R Khayelitsha South Africa

Note: 1Household income data for Khayelitsha are from 2006 Source: Stats SA Census 2001; URP Socio-economic Report, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 19 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Employment status Low income is a result of low employment; two-thirds of people in Khayelitsha are unemployed or not economically active and employment growth has been slow over the last decade

Employment Status (Population aged 15- 65): 2001 Employment Growth 60% 2.0% Khayelitsha South Africa

42% 1.5%

d e 5 y

6 40% o - l 5 36% p 1

35% m d

34% e

e f

g 1.1% s o

a n r

30% o e n s b o

r 1.0% i t e m a p u l n u

24% p f o o

P

R f o G

20% A % C 0.5% 0.5%

0% 0.0% Employed Unemployed Not economically 1995-2004 2000-2004 active

Source: Stats SA Census 2001; Quantec UUP-WRD-Khayelitsha Profile-301106-IS 20 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Employment status (Continued) Of those employed, about 40% work for a wage or salary in the private sector

Type of Employment (Employed Reason for Not Looking for Work: 2006 1 60% Work for Population): 2006 local / Self- provincial / Work for FBO / employed / 51% national govt NGO / CBO employer in 4.3% 1.8% formal sector 1.3% Self-employed

/ employer in s n 40% informal sector o

0.9% s 4.5% r e P

d 32% e

Work for wage y o / salary in l p informal sector m

Work for E

4.5% f

wage / salary o

Labour

contractor in private % 7.7% sector 39.9% 20%

Work for private 7% person 3% 30.6% 3% 2% 1% 0% Could not Scholar / Unable to Pensioner Home- Choose Seasonal find work Student find work / Retired maker or not to worker not due to housewife work working illness presently Note: 1The category “not completed” was left out of the graph; it amounted to approximately 4% Source: URP Socio-economic Report, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 21 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Formal employment by sector A high proportion of people in Khayelitsha are employed in the wholesale and retail sector or in private households

Formal Employment by Major Sector: 20011 30%

n o i t a l 20% 18.9% 18.5% u p 5 o 6 P -

5 d 14.4% 1 e y d o

e 12.3% l g p a

m 9.9%

E 9.2%

10% f o

% 5.3%

2.1% 0.4% 0% Wholesale & Private Community, Construction Manufacturing Financial & Transport, Agriculture, Electricity, gas retail trade households social & business storage & forestry & & personal services communication fishing services 2

No. of Jobs 14,919 14,595 11,376 9.724 7,828 7,269 4,213 1,673 318

Note: 1The categories “Mining and Quarrying” (0.1%) and “Undetermined” were left out; 2 This covers the public sector, i.e., civil servants, teachers, health care workers, police, etc. Source: Stats SA Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 22 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha Gross domestic product (GDP) Khayelitsha’s GDP has increased gradually over the past decade, however,, its GDP growth and GDP per capita figures are far below those of the Western Cape

GDP (Khayelitsha): 1995-2004 Real GDP Growth 1000 8% Khayelitsha

6% Western Cape )

798 % 4.2% ( 800 783

R 4% 3.4% 743 748 739 744 G A C 2% 1.5% 0.8% ) s

n 600

o 0% i l l i 1995-2004 2000-2004 M (

d n a GDP per Capita: 2004 R 400 40,000 Khayelitsha 33,820 30,000 Western Cape

d n

200 a 20,000 R

10,000 2,273 0 0 1995 1997 1999 2001 2003 2004

Source: Quantec UUP-WRD-Khayelitsha Profile-301106-IS 23 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha GDP by sector Wholesale and retail trade accounts for a large share of nodal GDP; this sector also shows promising growth

Share of GDP by Sector: 2004 Size vs Growth Analysis: 1995-2004 30% 180 Average CAGR for GDP: 1.0% 160 General Government Services

140 Finance & Business Services

4 Wholesale & 0

0 Retail Trade 2 120 20% 19% ) : Construction s % d (

17% 17% n P a Community, D R 100

f Social & G

o f 14% Personal o s Manufacturing n e r o Services i l

a 80 l i h M S 11% 11% Transport & Communication n i 9% 10% P 60 D G

40

Electricity 20 Agriculture, & Water 1% 1% Forestry & 0% Mining 0% Fishing 0 General Finance & Manufacturing Transport & Agriculture, Government Business Communication Forestry & -25% -20% -15% -10% -5% 0% 5% 10% Services Services Fishing Real GDP CAGR: 1995-2004 Wholesale & Construction Community, Social & Electricity & Mining Retail Trade Personal Services Water

Source: Quantec; Monitor analysis UUP-WRD-Khayelitsha Profile-301106-IS 24 Nodal Economic Profiling Project Business Trust & dplg, 2007 Key data points Khayelitsha GDP and employment growth The retail and financial services sectors have shown promising growth over the past decade; they are also relatively large employers and should aim to continue expanding

Growth Analysis of Khayelitsha Economic Sectors: 1995-2004 10% EEmmppllooyymmeenntt CCAAGGRR 11999955--22000044:: 00..55%% 8% Finance & Business Services GGDDPP CCAAGGRR 11999955--22000044:: 00..88%%

R 6% G

A Agriculture, Forestry & C

t 4% Community, Social & Other Fishing n

e Personal Services Wholesale & m

y 2% Retail Trade; o l Catering & p

m General Government Services Accommodation E

0% 4 Electricity & Water 0 0 2 - -2% Manufacturing 5

9 Transport & Communication 9 1 -4%

-6% Construction

-8% -6% -4% -2% 0% 2% 4% 6%

Mining (-22.2%; - 1995-2004 Real GDP CAGR 2.2%) = 2,000 jobs

Source: Quantec; Monitor analysis UUP-WRD-Khayelitsha Profile-301106-IS 25 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Overview

IInnttrroodduuccttiioonn KKeeyy ddaattaa ppooiinnttss CCuurrrreenntt aaccttiioonn

Introduces the node; Lists pertinent facts Describes current summarises key issues and figures interventions

SSnnaappsshhoott GGeeooggrraapphhyy GGoovveerrnnaannccee

AArreeaa ssuummmmaarryy SSppaattiiaall ddeevveellooppmmeenntt PPrroojjeeccttss

KKeeyy cchhaalllleennggeess DDeemmooggrraapphhyy

IInnccoommee aanndd eemmppllooyymmeenntt

EEdduuccaattiioonn

HHeeaalltthh

DDeevveellooppmmeenntt ssccoorreeccaarrdd

UUP-WRD-Khayelitsha Profile-301106-IS 26 Nodal Economic Profiling Project Business Trust & dplg, 2007 Governance Khayelitsha Urban renewal institutional framework structure

EExxeeccuuttiivvee MMaayyoorr && MMaayyoorraall Committee NNaattiioonnaall,, PPrroovviinncciiaall aanndd Committee LLooccaall PPoolliittiiccaall CChhaammppiioonnss

MMuullttii SSttaakkeehhoollddeerr SStteeeerriinngg CCoouunncciill’’ss PPoolliittiiccaall CCiittyy MMaannaaggeerr CCoommmmiitttteeee SSttrruuccttuurreess

UURRPP UUnniitt LLiinnee MMaannaaggeerrss

MMiittcchheelll’’ss PPllaaiinn PPrroojjeecctt SStteeeerriinngg KKhhaayyeelliittsshhaa PPrroojjeecctt SStteeeerriinngg CCoommmmiitttteeee // IImmpplleemmeennttaattiioonn CCoommmmiitttteeee // IImmpplleemmeennttaattiioonn

MMiittcchheelll’’ss PPllaaiinn KKhhaayyeelliittsshhaa DDeevveellooppmmeenntt FFoorruumm DDeevveellooppmmeenntt FFoorruumm

Source: Business Plan for Urban Renewal Programme: Khayelitsha and Mitchell’s Plain UUP-WRD-Khayelitsha Profile-301106-IS 27 Nodal Economic Profiling Project Business Trust & dplg, 2007 Governance Khayelitsha URP budget allocation A large proportion of the URP’s budget is spent on anchor projects in Khayelitsha; the private sector is an important source of funding

Budget for URP Projects: 2003/04 Summary of Funding Sources: 2003/04 250 250 9 5 2 242 13 Mitchell’s Plain 13 Khayelitsha 18 200 200 21

64.4 45 ) s ) n s 150 o n 150 i l o l i i l l i M ( M

( s 115 d s 242 n d a n a R

R 100 100

133.6

50 50

6.9 17.6 13.9 0 5.5 0 Anchor Lead Projects Other Projects Total Private CMIP Metro Equitable PAWC Projects Sector: Transport Share Fund Nedcor Equity CLF PHPB HSRP Total Source: Business Plan for Urban Renewal Programme: Khayelitsha and Mitchell’s Plain UUP-WRD-Khayelitsha Profile-301106-IS 28 Nodal Economic Profiling Project Business Trust & dplg, 2007 Projects Khayelitsha Development projects

Project Description Objectives Budget ¢ Khayelitsha ¢ Extension of rail line to include two more stations To improve access to affordable public transport R161,300,000 Rail Extension with transport interchanges, four road-over-rail while allowing opportunities to access jobs in the city bridges and four pedestrian bridges and surrounding areas

Khayelitsha ¢ Construction of transport interchange, public ¢ To leverage private investments, and generate job R380,000,000 CBD space, sports facilities, a retail centre, municipal opportunities and disposable income for the offices, a service station, housing and magistrates’ Khayelitsha community courts ¢ To create a catalyst for more private sector developments ¢ To create job opportunities for local communities during and after the construction phase of CBD ¢ To create potential for local empowerment

HIV / AIDS and ¢ Upgrade of Matthew Goniwe Clinic, Kuyasa Clinic ¢ To prevent the further spread of HIV / AIDS R79,640,000 related and Youth Facility, Site C ¢ To deal with the current high level of HIV infections problems ¢ HIV / AIDS awareness / education, counselling and and related illnesses such as TB as well as the testing underlying causes of the pandemic such as poverty ¢ Treatment of infections and provision of ARVs at and malnutrition the TB / HIV / AIDS Centre – Site B ¢ To eradicate and prevent opportunistic illnesses such ¢ Nutrition support and income generation of as HIV / AIDS activities for HIV-positive mothers and families as well as TB sufferers ¢ Rape survivor centre – Site B

Housing / Land ¢ Site C consolidation and tenure ¢ To provide housing opportunities, services and R167,710,000 ¢ Greenpoint phase 11 services and houses secure tenure for those in need ¢ ¢ Kuyasa phase 11 houses To create jobs in construction ¢ Silvertown upgrade ¢ Informal settlement upgrading

Source: City of Cape Town website UUP-WRD-Khayelitsha Profile-301106-IS 29 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

z Overview

z Themes Improving the quality of residential life

– Residential life z Existing circumstances

z Priorities for the development – Commercial activity

– City linkages

z Summary

z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 30 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha and Mitchell’s Plain

Mitchell’s Plain CBD

Dreamworld Studio Nolungile Kuyasa Station Station Mnandi Beach Khayelitsha Monwabisi Promenade Swartklip site CBD Shopping Centre Beach Cap e le To il wn v ll e B ch os nb le el St

S om ers et W est

g ber zen Mui

Note: Dreamworld Studio site not to scale Source: MCA Planners, Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 31 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha The housing crisis in Cape Town A large proportion of Cape Town’s households live in shacks, but there is no consensus about the precise number or about the split between informal settlements and backyard shacks

Household Dwelling Type, Cape Town: 2001 Quantifying the housing backlog 120% Quantifying the housing backlog s 14% 5% d l 4%

o IItt iiss uunncclleeaarr hhooww llaarrggee tthhee cciittyy’’ss h

e 80% housing backlog is s 20% housing backlog is u

o 100% H £ £

40% f 57% According to Census 2001,

o According to Census 2001,

% 0% aapppprrooxxiimmaatteellyy 114433,,000000 ((1188%%)) ooff tthhee House on Flat / Backyard Informal Other Total cciittyy’’ss 777799,,000000 hhoouusseehhoollddss lliivvee iinn Plot Townhouse Shack Settlement sshhaacckkss or Flat / –– 3333,,000000 ((3300%%)) lliivvee iinn bbaacckkyyaarrdd Room on sshhaacckkss Shared –– 111100,,000000 ((7700%%)) lliivvee iinn iinnffoorrmmaall Property sseettttlleemmeennttss £ Household Dwelling Type, Cape Town: 2006 £ AAccccoorrddiinngg ttoo CCaappee TToowwnn’’ssIIDDPP 120% 22000066//0077,, aass mmaannyy aass 226655,,000000 s

d (30%) of the city’s 875,000 l 13% (30%) of the city’s 875,000 o

h 80% 17% hhoouusseehhoollddss lliivvee iinn sshhaacckkss e s

u –– 115500,,000000 ((5577%%)) lliivvee iinn bbaacckkyyaarrdd o 100% H shacks shacks f 40% 70% o –– 111155,,000000 ((4433%%)) lliivvee iinn iinnffoorrmmaall % settlements 0% settlements Formal Housing Backyard Shack Informal Settlement Total

Source: Census 2001; Cape Town, IDP 2006/07 UUP-WRD-Khayelitsha Profile-301106-IS 32 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha The housing stock in Khayelitsha differs from that of Mitchell’s Plain Housing in Mitchell’s Plain has a similar profile to that of the city as a whole; housing in Khayelitsha is predominantly informal Household Dwelling Types; Cape Town, Khayelitsha, Mitchell’s Plain: 2001 70% Cape Town 60% 57% 57% 56% Mitchell’s Plain In Mitchell’s Plan, 75% of 50% households live in formal Khayeltisha houses. In Khayelitsha the s d l proportion is only 32% o

h 40% Although Khayelitsha e s

u accounts for only 11% of

o 30% H

the city’s households, it

f 30% o contains 39% of its % 20% 19% shacks 20% 17% 14%

10% 7% 4% 5% 5% 2% 3% 3% 0% House on Plot Flat / Townhouse Backyard Shack Informal Other or Flat / Room settlement on Shared Property

The scale and character of the housing crisis differs across the two nodes Note: The Cape Town IDP does not provide details of its estimates of housing needs by area Source: Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 33 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha The differences in housing stock

HHoouussiinngg iinn MMiittcchheellll’’ss PPllaaiinn tteennddss ttoo bbee ffoorrmmaall HHoouussiinngg iinnKKhhaayyeelliittsshhaatteennddss ttoo bbee iinnffoorrmmaall

UUP-WRD-Khayelitsha Profile-301106-IS 34 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Comparing the Cape Town nodes’ housing crises

HHoouussiinngg iissssuueess iinn MMiittcchheellll’’ss PPllaaiinn HHoouussiinngg iissssuueess iinn KKhhaayyeelliittsshhaa zz MMoosstt hhoouusseehhoollddss lliivvee iinn ffoorrmmaall hhoouusseess,, zz MMuucchh ooff tthhee hhoouussiinngg iinn KKhhaayyeelliittsshhaaiiss bbuutt …… iinnffoorrmmaall,, aanndd …… zz …… OOvveerrccrroowwddiinngg iiss ffrreeqquueennttllyy iinntteennssee zz …… CCoonnttiinnuueedd ppooppuullaattiioonn ggrroowwtthh aanndd tthhee ddeeccrreeaassiinngg ssiizzee ooff hhoouusseehhoollddss iiss ppuuttttiinngg iinnccrreeaassiinngg pprreessssuurree oonn hhoouussiinngg ssuuppppllyy The housing backlog is invisible, but is thought to be very large There is a massive need for low- zz EEmmppttyy llaanndd iiss aavvaaiillaabbllee,, aanndd pprreesseenntt llooww-- cost housing ddeennssiittiieess ccaann bbee iinnccrreeaasseedd tthhrroouugghh iinnffiillll zz TThheerree iiss vveerryy lliittttllee eemmppttyy llaanndd aavvaaiillaabbllee hhoouussiinngg aanndd llaanndd rreeqquuiirreedd ffoorr ootthheerr uusseess hhaass bbeeeenn iinnvvaaddeedd Residents are increasingly likely to seek to make their crisis visible by invading open land Locating and securing land for low-cost housing is a serious challenge

UUP-WRD-Khayelitsha Profile-301106-IS 35 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Introduction

What would increase the willingness of individuals and developers to invest in Question Question housing in Khayelitsha?

The following issues are likely to matter most: z Location in relation to work z Quality-of-life issues – Quality of municipal services – Education CCoorree iissssuueess – Safety and security – Access to shopping and entertainment z The return on investment in housing – Supply and demand issues – Enforceability of contractual rights

Is Khayelitsha a good place for developers and home-owners to invest in?

UUP-WRD-Khayelitsha Profile-301106-IS 36 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Housing in Khayelitsha Khayelitsha’s housing crisis is a result of its historical backlog combined with rapid population growth because it is a reception area largely for people from the Eastern Cape

Population Growth, Khayelitsha: 2001-2005 Household Growth, Khayelitsha: 2001-2005 450,000 120,000 406,779 108,186 CCAAGGRR:: 55%% CCAAGGRR:: 66%% 375,000 329,006 90,000 85,998 s s

300,000 d t l n o e h d e i s s u e 225,000 60,000 o R

H f

f o

o .

. o 150,000 o N N 30,000 75,000

0 0 2001 2005 2001 2005

Khayelitsha’s population grows by 19,500 people (or 5,500 households) every year

Note: Household growth rates exceed population growth rates because migrant households are often small and because existing households fragment Source: Census 2001; Western cape Population Unit, Khayelitsha Population Register Update, 2005 UUP-WRD-Khayelitsha Profile-301106-IS 37 Nodal Economic Profiling Project Business Trust & dplg, 2007 The pressure of migration to Cape Town in general, and Khayelitsha Khayelitsha in particular, complicates the housing crisis

Date of Arrival in Khayelitsha: 2006 40% 36%

30% 24%

s 22% t

n 18%

e 20% 16% d i s e 10% 5% R

f o 0% % 5 a 0 o 5 6 t 9 0 h 0 0 0

r n 9 9 s 0 0 0 i t o

1 9 i 2 2 2 i l

r n 1 - - - e r

P y o 0 6 A substantial proportion 1 a 9 9 0 B h 9 9 of migrants to Cape 0 1 1 K Town settle in 2 Khayelitsha Origin of Migrants to Khayelitsha: 2006 85%

57% s t n e d

i 38%

s 42% e R

f o

% 1% 1% 2% 0% E Cape W Cape Other Not indicated

Because many migrants to Khayelitsha prefer to build homes in the Eastern Cape, population growth is not matched by increased availability of subsidies

Source: Census 2001; City of Cape Town, Demographics Characteristics of Cape Town, 2004 UUP-WRD-Khayelitsha Profile-301106-IS 38 Nodal Economic Profiling Project Business Trust & dplg, 2007 Rapid population growth, combined with existing housing Khayelitsha backlogs, explains the dominance of informal housing in the housing stock Although some areas in the township have a mix of housing, there are none without some informal housing; nor is there much open space available Site B High-density informal settlement established in mid- 1980s

Site C High-density informal settlement established in mid- 1980s Kuyasa Large greenfields development for low-cost housing

Illitha Park / Enkanini Established area of old Large low-density informal township stock and some RDP settlement established after housing, with infill informal land invasion in past 18 months housing

Source: MCA Planners, UR SDF for Khayeltisha and Mitchell’s Plain, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 39 Nodal Economic Profiling Project Business Trust & dplg, 2007 The availability of appropriate land in Khayelitsha complicates Khayelitsha the delivery of low-cost housing The impact of land scarcity is felt in different ways in different parts of Khayelitsha

HHiigghh--ddeennssiittyy £ The upgrading of the high-density informal settlements, especially iinnffoorrmmaall in Site B and C, cannot progress unless households can be sseettttlleemmeennttss housed somewhere during construction

£ The invasion of strategic land – including road and rail reserves, SSttrraatteeggiicc llaanndd flood plains and schools – undermines development in the township LLaanndd ssccaarrcciittyy AArroouunndd tthhee £ The development of the area around Nolungile Station is ddeevveellooppmmeenntt obstructed by the presence of large numbers of shacks which hhuubbss must be cleared £ The coastal Sensitive coastal areas, which are also areas with relatively high The coastal developmental potential, are threatened by invasion as population rreeggiioonn pressure mounts

Khayelitsha’s housing crisis can be solved only by using land outside the area and / or by building low-cost housing at much higher densities

UUP-WRD-Khayelitsha Profile-301106-IS 40 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Dealing with Khayelitsha’s housing crisis requires a number of strategies Some areas in Khayelitsha will have to be dedensified, while housing in other areas should be densified, and some building outside the area is needed

Where not to build Where to build

Focusing on the Upgrading informal Dedensifying commercial / settlements strategic areas transport hubs

Building outside of Protecting open Densifying Khayelitsha’s spaces residential areas current built-up areas

The strategic development of the urban form is essential if Khayelitsha is to become a sustainable human settlement

UUP-WRD-Khayelitsha Profile-301106-IS 41 Nodal Economic Profiling Project Business Trust & dplg, 2007 The issue of where not to build or to dedensify is linked to the Khayelitsha question of where development should occur Only by coordinating a strategy of de-densification and development can some of the challenges be overcome

Where not to build Where to build

… the upgrading of Dedensification of transport / … the upgrading of strategic areas must commercial hubs, informal settlements be linked to … and …

… densifying Protecting open … building outside existing residential spaces requires … Khayelitsha areas, and …

All of these elements must be managed simultaneously since each affects the others

UUP-WRD-Khayelitsha Profile-301106-IS 42 Nodal Economic Profiling Project Business Trust & dplg, 2007 Dedensifying strategic areas, especially around transport Khayelitsha hubs, is required if the quality of life in Khayelitsha is to improve Urban renewal needs to focus on key precincts in which the development of a sustainable human settlement can be achieved

… the upgrading of De-densification of strategic … the upgrading of informal transport / commercial areas must be linked to … settlements hubs, and …

£ A number of areas in £ Focusing de-densification efforts £ De-densification efforts need to Khayelitsha consist exclusively around transport hubs be linked to the construction of high-density informal improves the sustainability of of formal housing both in situ settlements the human settlement, while and in new developments £ These areas are unsafe, increasing the viability of – Getting people to move to unhygienic and, in some cases, business in the area new developments requires the land is required for other £ Since areas around the ensuring that the structures, purposes transport hubs are the most services and tenure is £ Addressing this challenge is desirable locations in which to sound, and that the areas complicated by: live, de-densification and are accessible upgrading create the – The lack of land in possibility – In situ upgrading of informal Khayelitsha, especially land of attracting developers of settlements such as Site B that is close to transport hubs both commercial property and and Site C requires a high affordable housing level of social capital and – The lack of social capital and institutions capable of trust negotiating the orderly movement of people from one area to another while in situ upgrading takes place

UUP-WRD-Khayelitsha Profile-301106-IS 43 Nodal Economic Profiling Project Business Trust & dplg, 2007 Improving the quality of residential life requires the protection Khayelitsha of open spaces and the management of their development In general, open spaces are most secure when the community believes that the spaces will be used for development

Protecting open space … densifying existing … building outside requires … residential areas, and … Khayelitsha £ £ Khayelitsha has very little open £ Increasing residential Ultimately, Khayelitsha’s space, much of which is often densities, especially around the housing crisis is unlikely to be under threat of invasion transport hubs, would make resolved entirely through £ Invasion of land on the Khayelitsha more viable and construction within the area’s outskirts of Khayelitsha, as would address some of the existing boundaries has been the case in Enkanini, is effects of the area’s ¤ Potential areas for relocation / a perennial danger marginalisation development include: £ £ Some areas, such as Monwabisi Densification requires: – Open spaces closer to the and, when it becomes available, – Formalising tenure in areas CBD and other economic Swartklip, have a great deal of in which this is problematic nodes in the city potential which needs to be – Developing affordable – Infill housing development protected medium-rise building in Mitchell’s Plain models in both the low-cost – The Swartklip site when it housing and affordable becomes available housing markets

UUP-WRD-Khayelitsha Profile-301106-IS 44 Nodal Economic Profiling Project Business Trust & dplg, 2007 In order to finance the upgrading of informal settlements, it is Khayelitsha essential that migrants to Khayelitsha choose to use their housing subsidies there Turning tenuous migrants into more committed ones requires an integrated strategy from the city

““OOnnee ooff tthhee bbiigg pprroobblleemmss wwee hhaavvee iiss tthhaatt mmaannyy ooff tthhee ppeeooppllee wwhhoo ccoommee ttooKKhhaayyeelliittsshhaalleeaavvee tthheeiirr ffaammiilliieess bbeehhiinndd iinn tthhee rruurraall aarreeaass.. SSoo yyoouu’’vvee ggoott aa ssiittuuaattiioonn wwhheerree tthheeyy aaccttuuaallllyy ddoonn’’tt wwaanntt ttoo bbuuiilldd tthheeiirr hhoouusseess hheerree.. TThheeyy wwoouulldd mmuucchh rraatthheerr ssppeenndd tthheeiirr ssuubbssiiddyy aatt hhoommee aanndd lliivvee iinn aa sshhaacckk hheerree”” –– PPllaannnniinngg ooffffiicciiaall,, CCiittyy ooff CCaappee TToowwnn

BBuuiillddiinngg ccoommmmiittmmeenntt ttoo tthhee cciittiieess ¤ ¤ TThhee ffaaccttoorrss tthhaatt mmiigghhtt eennccoouurraaggee mmiiggrraannttss ttoo ccoommmmiitt ttoo bbuuiillddiinngg hhoommeess iinn KKhhaayyeelliittsshhaaiinncclluuddee:: –– IImmpprroovviinngg tthheeiirr pprroossppeeccttss ooff bbeeiinngg eemmppllooyyeedd iinn CCaappee TToowwnn –– IImmpprroovviinngg tthhee qquuaalliittyy ooff eedduuccaattiioonn aavvaaiillaabbllee iinn tthhee aarreeaa –– BBuuiillddiinngg aa ggrreeaatteerr sseennssee ooff ccoommmmuunniittyy iinn CCaappee TToowwnn –– RReeccoonnffiigguurriinngg tthhee tteerrmmss ooff tthhee ssuubbssiiddyy ttoo eennssuurree tthhaatt rreecciippiieennttss lliivvee iinn aarreeaass iinn wwhhiicchh tthhee hhoouussee iiss bbuuiilltt

UUP-WRD-Khayelitsha Profile-301106-IS 45 Nodal Economic Profiling Project Business Trust & dplg, 2007 If the bulk of Khayelitsha’s housing problem lies in the low- Khayelitsha cost housing space, then some opportunities in the gap housing market exist Maximising these opportunities will help restructure Khayelitsha’s urban form, create new housing opportunities, and promote economic activity in the area

Swartklip

Monwabisi

Old Mutual Properties Site

Source: UR SDF for Khayelitsha and Mitchell’s Plain; Earth UUP-WRD-Khayelitsha Profile-301106-IS 46 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Swartklip Development in Swartklip could promote the local economy, unlock the development of Nolungile, integrate Khayelitsha and Mitchell’s Plain, and create environmental amenities

Current use Future use Issues to be addressed

¤ Having been designed as a ¤ The Urban Renewal SDF ¤ The release of the land has yet buffer zone between the two suggests that the key roles for to be secured areas, Swartklip sits between Swartklip in the future revolve ¤ Although the municipal Khayelitsha and Mitchell’s Plain, around: authorities should take a view running 3 km along the border of – Integrating Khayelitsha and on the strategic use of Swartklip, each Mitchell’s Plain communities experience in the Khayelitsha ¤ Owned by Denel through the creation of CBD suggests that planning ¤ Home to an ammunition shared amenities should be done in collaboration that is likely to be relocated – Mixed-use development of with potential developers of during Denel’s future housing, commercial areas commercial infrastructure and restructuring and possibly some light affordable housing ¤ ¤ Much of the land is undeveloped industrial activity In 2004, Swarklip products with “pristine” dunes and green – A green public amenity employed 550 people; many areas ¤ In addition to this, using may lose their jobs if the factory development in Swartklip relocates strategically could unlock the re-

p development of neighbouring i l

k Nolungile, since residents of Site t r

a C might be relocated to

w developments in Swartklip S

UUP-WRD-Khayelitsha Profile-301106-IS 47 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Properties site Development of gap housing on the OMP site will help densify and formalise Khayelitsha, while also making housing available to people who work in the Khayelitsha CBD

Current use Future use Issues to be addressed ¤ ¤ ¤ An area of about 10 ha was OMP has plans for a mixed-use These plans are currently subject purchased in the mid-1990s with development with 540 affordable to some uncertainty as OMP is the intention of developing it in housing units in the R200,000- not convinced about the extent of the future ,000 range demand for cluster housing and ¤ The land is currently empty, and ¤ Building of show units to gauge housing at these prices has been protected from the market will commence before ¤ It hopes to be able to negotiate invasion by the community on the end of 2006 that the city makes a contribution the basis that it is the site of to the development by, for future development example, installing bulk infrastructure at its expense in order to manage final costs to buyers in an environment of steep building-cost inflation ¤ Although this development would improve the urban form, whether this kind of investment should be subsidised, and to what extent, is controversial ¤ Access to decision-makers seems to be an obstacle

UUP-WRD-Khayelitsha Profile-301106-IS 48 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Monwabisi Resort

Current use Future use Issues to be addressed ¤ ¤ ¤ A beach facility with pool, braai The beach amenities are being There are some factors which will areas, toilets, etc. exists upgraded and could be sold off hamper development in the area ¤ ¤ The land around the resort and The potential of a development – The area is extremely windy, across Baden Powell Drive is of affordable housing in the which, together with the blown undeveloped Monwabisi area is huge given sand, might weaken demand ¤ Open spaces are sometimes the view and / or raise construction and used for initiation and for ¤ Maintaining the quality of the maintenance costs harvesting medicinal plants natural environment must remain – The requirements of a ¤ There appears to be some risk a priority, however rigorous environmental impact that the open land will be assessment might not be met invaded as the Enkanini informal ¤ Ensuring the timeous and cost- settlement grows effective release of land is key to development prospects ¤ Apart from setting broad strategic Khayelitsha objectives for the area, the authorities should seek to work with developers in planning the development

Monwabisi Resort

UUP-WRD-Khayelitsha Profile-301106-IS 49 Nodal Economic Profiling Project Business Trust & dplg, 2007 Evaluation sheet: Residential life theme Khayelitsha Is Khayelitsha a good place for developers and homeowners to invest in?

Criterion Comment Attractiveness Location in Proximity to work Khayelitsha is far from the CBD as well as the relation to other areas of Cape Town in which the – work economy is growing

Quality of municipal Although there have been some improvements, – infrastructure / services housing and roads are a problem in many areas Education Apparently improving, but off a low, low base The quality of – life in Khayelitsha Crime levels High, but improving o Access to shopping and Access to shopping is improving o entertainment

Supply and demand There is too little construction of low-cost – Return on housing investment Property rights In informal settlements, tenure problems remain o

UUP-WRD-Khayelitsha Profile-301106-IS 50 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

z Overview

z Themes

– Residential life Stimulating commercial activity

– Commercial activity z Existing commercial activities

z – City linkages Future developments

z Summary

z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 51 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Introduction

What would make business in Khayelitsha / Mitchell’s Plain more viable and, Question Question therefore, encourage investment into the sector?

The following issues are likely to matter: z The spatial concentration of spending – Density levels – Accessibility z The existence of commercial infrastructure – Zoned land well integrated into the area – Available space of appropriate quality CCoorree iissssuueess z General environment – Levels of crime – The quality of governance z Business opportunities exist – The extent of competition – The income of the community – Gaps in the market and attractiveness of the area to national brands

Is Khayelitsha / Mitchell’s Plain a good place for businesspeople to invest in?

UUP-WRD-Khayelitsha Profile-301106-IS 52 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha and Mitchell’s Plain are poor areas, where most Khayelitsha households have to make do on incomes well below national averages Even though most of the Metropolitan South East area is relatively poor, residents of Mitchell’s Plain generally earn higher incomes than residents of Khayelitsha

Average Monthly Household Income in Khayelitsha vs Mitchell’s Plain: 2006 Distribution of Poverty across Cape Town: 2006 5,000 ) s

d 4,092 n a

R 4,000 (

e 3,451 m o c n I

d

l 3,000 o h e s u o H

y

l 2,000 h t 1,606 n o M

e

g Legend: Poverty Index1 a

r 1,000 e v 0.00 – 13.85 A 13.86 – 24.07 24.08 – 37.13 37.14 – 54.51 0 54.52 – 79.07 Khayelitsha Mitchell’s Plain South Africa

Although income and employment levels in Mitchell’s Plain compare reasonably well with the national averages, Khayelitsha’s residents are very poor

Source: Stats SA Census 2001; URP Socio-economic Report, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 53 Nodal Economic Profiling Project Business Trust & dplg, 2007 Notwithstanding household poverty in the area, the sheer number of Khayelitsha people has created a market large enough to justify a number of commercial hubs

Over 800,000 people live in Khayelitsha and Mitchell’s Plain, and their combined purchasing power is served through a number of large, formal commercial developments ¤ ¤ ¤ WWeessttggaattee SShhooppppiinngg ¤ NNoolluunnggiillee// OORR TTaammbboo CCeennttrreeiiss llooccaatteedd oonn oonnee ttrraaiinn ssttaattiioonn aanndd ttaaxxii ooff MMiittcchheellll’’ss PPllaaiinn’’ss mmaaiinn rraannkk iiss cclloossee ttoo tthhee aarrtteerriiaall rrooaaddss iinnffoorrmmaall sseettttlleemmeenntt ooff ¤ ¤ It is a large banking and SSiittee CC It is a large banking and Nolungile

Nolungile ¤ rreettaaiill cceennttrree,, wwiitthh mmaannyy ¤ CCoonnttaaiinnss mmaannyy iinnffoorrmmaall nnaattiioonnaall ccllootthhiinngg aanndd ttrraaddeerrss aanndd bbuuttcchheerrss ffoooodd rreettaaiilleerrss NNoonnqquubbeellaa ¤ LLeennttee-- ¤

¤ Nonqubela Station ¤ Nonqubela Station The 58,000m22 Liberty ggeeuurr The 58,000m Liberty serves Site B Promenade is within serves Site B Promenade is within West- ¤ West- ¤ Khayelitsha TThhee Centre,, wwaallkkiinngg ddiissttaannccee ooff tthhee ggaattee MMiittcchheelll’’ss Khayelitsha Sanlam Centre CBD adjacent to the station, ttrraaiinn ssttaattiioonn PPllaaiinn CBD adjacent to the station, CBD

¤ CBD contains some national ¤ Most of its tenants are contains some national Most of its tenants are chains as well as several national brands chains as well as several national brands TTaaffeell-- locally owned stores

¤ locally owned stores ¤ TThhee cceennttrree iiss hhiigghhllyy ssiigg ssuucccceessssffuull aanndd llooookkiinngg ¤ ttoo eexxppaanndd ¤ TThhee KKhhaayyeelliittsshhaaCCBBDD,, llooccaatteedd nneexxtt ttoo tthhee ¤ ¤ IInnffoorrmmaall TTrraaddiinngg AArreeaa KKhhaayyeelliittsshhaaSSttaattiioonn,,

¤ features an open-air wwiillll hhoosstt mmaannyy ooff ¤ features an open-air Station Plaza iiss llooccaatteedd bbeettwweeeenn tthhee MMiittcchheellll’’ss PPllaaiinn ttrraaiinn Mitchell’s Plain’s 1,000 Station Plaza rreettaaiill cceennttrree,, aass wweellll aass Mitchell’s Plain’s 1,000 station and the taxi rank / town centre informal traders from station and the taxi rank / town centre ssppaaccee ddeeddiiccaatteedd ttoo informal traders from ¤ ¤ It is occupied mostly by local traders selling food and clothing eeaarrllyy 22000077 It is occupied mostly by local traders selling food and clothing iinnffoorrmmaall ttrraaddeerrss

Source: MCA Planners, Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 54 Nodal Economic Profiling Project Business Trust & dplg, 2007 The relationship between commercial developments in Khayelitsha Khayelitsha and Mitchell’s Plain is, to some extent, competitive, but … Mitchell’s Plain is a popular alternative shopping destination for Khayelitsha residents, so

developments in one area affect the other Impact of Khayelitsha Shoppers on Mitchell’s Plain Shopping Areas Used by Khayelitsha Residents: 2001 100% zz IInn rraanndd tteerrmmss,, mmiiddddllee-- ttoo uuppppeerr--iinnccoommee ssttoorreess iinn 84% MMiittcchheellll’’ss PPllaaiinn tteenndd ttoo 80% 74% 73% mmaakkee aarroouunndd 1100--2200%% ooff tthheeiirr ssaalleess ffrroomm KKhhaayyeelliittsshhaa rreessiiddeennttss

s 60% t zz n LLooww-- ttoo mmiiddddllee--iinnccoommee e d i

s ssttoorreess mmaakkee 1155--2200%% ooff e R

f tthheeiirr ssaalleess ttoo ppeeooppllee ffrroomm o

% 40% KKhhaayyeelliittsshhaa zz LLooww--iinnccoommee cchhaaiinnss ccuurrrreennttllyy hhaavvee aa mmaajjoorr 20% sshhaarree ooff tthheeiirr bbuussiinneessss ffrroomm KKhhaayyeelliittsshhaa rreessiiddeennttss,, ssoommeettiimmeess uupp ttoo 4400%% oorr 0% mmoorree Khayelitsha CBD Mitchell’s Plain Khayelitsha (Other Shops)

Source: Khayelitsha Retail Strategy (Market Decisions, 2001); Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 55 Nodal Economic Profiling Project Business Trust & dplg, 2007 … a glance at the map suggests that commercial development Khayelitsha in Khayelitsha and Mitchell’s Plain must be coordinated Administrative boundaries notwithstanding, the economies of Mitchell’s Plain and Khayelitsha are bound together Nonqubela Station Sanlam Nolungile Centre Kuyasa Station Station Khayelitsha Liberty CBD Westgate Shopping Promenade Centre Mitchell’s Plain CBD

The Khayelitsha / Mitchell’s Plain area is too poor and too compact to justify more than a single high-order commercial node and a number of lower-order nodes

Source: Khayelitsha Population Register Update, 2005; Stats SA Census 2001 UUP-WRD-Khayelitsha Profile-301106-IS 56 Nodal Economic Profiling Project Business Trust & dplg, 2007 By far the most developed commercial node in Khayelitsha / Khayelitsha Mitchell’s Plain is the Mitchell’s Plain CBD The development of the Mitchell’s Plain CBD is probably the most successful project in all the urban nodes

z The Mitchell’s Plain Town Centre, a URP anchor project, incorporates several developments, including a 58,000m2 retail plaza, a smaller shopping centre in the train station, an extension of the town centre, two major transport interchanges, and improvements to public spaces in the area z R150m worth of public investment was invested over a period of four years, a large proportion of which was spent on public

transport interchange infrastructure Mitchell’s Plain town centre and transport z A strong project team from the city led the Mitchell’s Plain CBD interchange process; they took responsibility for implementation and decision- making at the project level z The team also helped to consolidate the highly fractured business community that operates in the area; they facilitated agreement between 24 taxi associations and five hawker associations z The project has created many temporary and permanent employment opportunities for local residents

Mitchell’s Plain CBD retail centre Source: Shared Learnings From the City of Cape Town’s URP (MCA Planners, 2006); Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 57 Nodal Economic Profiling Project Business Trust & dplg, 2007 The Khayelitsha CBD is a recently developed second-order Khayelitsha commercial node in the area The Khayelitsha Business District (KBD) is a private / public investment that is designed to benefit the Khayelitsha community

z The R350m development is a mixed-use business district located next to a key train station through which thousands of people travel every day z It includes a 17,500m2 retail centre, a service station, public sector offices and facilities, offices for the private sector, sports facilities, residential units, a bus and a taxi terminal, landscaping, public spaces and “greening” z Public services are also being located in the CBD, including a Home Affairs office, a hospital and offices for the Department of Social Development Khayelitsha CBD development z The KBD development is a joint venture between the city and the private sector; it also directly involves the community of Khayelitsha represented through the Khayelitsha Community Trust

Source: Shared Learnings From the City of Cape Town’s URP (MCA Planners, 2006); Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 58 Nodal Economic Profiling Project Business Trust & dplg, 2007 The success of commercial nodes in Khayelitsha / Mitchell’s Khayelitsha Plain owes a great deal to their co-location with transport hubs In both Khayelitsha and Mitchell’s Plain, commercial areas have emerged around transport interchanges, “pinch points” through which thousands of people travel every day

Key Major Road Train Line Planned Train Line Train Station Taxi Rank

Mitchell’s Plain Khayelitsha

Working with the natural flow of people through the area means that commercial developments are more likely to be viable

UUP-WRD-Khayelitsha Profile-301106-IS 59 Nodal Economic Profiling Project Business Trust & dplg, 2007 Existing developments, however, have not exploited all the Khayelitsha opportunities in Khayelitsha / Mitchell’s Plain ¥

The Mitchell’s Plain CBD development is not complete ¥ Nolungile serves Khayelitsha’s northern areas, ¥ Additions include the development of a taxi terminal, road especially the densely populated Site C extensions, construction of new parking areas, upgrading ¥ of the town centre and creating “pedestrian-friendly” streets The site has the potential to become a thriving

¥ commercial centre but will have to be rebuilt so that The highly successful Liberty Promenade is looking to trading in the area can become more organised increase its gross lettable area (GLA) ¥ The reconstruction of Nolungile is expected to increase the viability of the Sanlam Centre

¥ The Khayelitsha CBD is not yet complete ¥ Many of the informal traders from the area have yet to Nolungile occupy the space that has been designated to them

¥ Kuyasa is one of the new stations that will be built once the Khayelitsha train line has been extended

¥ The commercial centre that will be developed around Khayelitsha Mitchell’s the station should be based on the station plaza in CBD Plain Mitchell’s Plain (i.e. an accessible corridor linking the CBD Kuyasa station to the centre in which local residents can locate their businesses)

¥ From a commercial point of view, Mnandi and Monwabisi beaches remain completely unexploited

Source: MCA Planners, Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 60 Nodal Economic Profiling Project Business Trust & dplg, 2007 An ongoing challenge in Mitchell’s Plain is the high level of Khayelitsha activity in the area

Most Pressing Challenges (Mitchell’s Plain): 2006 in Mitchell’s Plain 50% ¥ ¥ GGaanngg aaccttiivviittyy oonn tthhee CCaappee FFllaattss iiss rriiffee iinn lleessss aafffflluueenntt Many of the challenges faced by aarreeaass ssuucchh aass TTaaffeellssiigg ¥ the Mitchell’s Plain community are ¥ GGaannggss aarree tteerrrriittoorriiaall aanndd ggaanngg wwaarrss aarree oofftteenn ssttaarrtteedd 40% related to gang activity in the area oovveerr ““ttuurrff””iissssuueess ¥

37.3% ¥ IInn ssoommee ccaasseess ggaannggsstteerrss tthhrreeaatteenn,, iinnttiimmiiddaattee aanndd eexxttrraacctt ““ttrriibbuuttee””ffrroomm bbuussiinneesssseess ¥ ¥ GGaannggss aarree aallssoo rreessppoonnssiibbllee ffoorr mmoosstt ooff tthhee ddrruugg ddeeaallss iinn tthhee aarreeaa,, aass ggaanngg lleeaaddeerrss aarree aallssoo ddrruugg lloorrddss

n 30% o

i 27.4% t a l u p o P

f o

20.2%

% 20%

10% 6.6% 4.0% 3.7% 0.9% 0% Drugs Jobs & Crime Gangs Service Social Health Unemployment ProvisionProblems Gangs in Mitchell’s Plain vandalised this shopping area in Tafelsig, forcing the businesses to shut down or move elsewhere Source: URP Socio-economic Report, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 61 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Crime is a problem for businesses operating in Khayelitsha

Attitudes Towards Crime: Results of the URP Most Pressing Challenges (Khayelitsha): 2006 socio-economic profile of Khayelitsha 50% 45.4% Almost half of the residents of ¥ Khayelitsha state that crime is ¥ KKhhaayyeelliittsshhaarreessiiddeennttss wweerree aasskkeedd wwhheetthheerr tthheeyy ffeeeell a challenge for the area ssaaffee ttoo mmoovvee aarroouunndd iinn tthheeiirr aarreeaa aanndd wwhheetthheerr oorr nnoott 40% ssaaffeettyy hhaass iimmpprroovveedd iinn tthhee ppaasstt yyeeaarr ¥ ¥ 5500%%ooff tthhee rreessiiddeennttss iinn KKhhaayyeelliittsshhaaffeeeell tthhaatt iitt iiss nnoott 33.1% ssaaffee ttoo mmoovvee aarroouunndd iinn tthheeiirr aarreeaa dduurriinngg tthhee ddaayy;; tthhiiss ppeerrcceennttaaggee rriisseess ttoo aa ddiissttuurrbbiinngg 9944%%wwhheenn

n 30% rreessiiddeennttss wweerree aasskkeedd wwhheetthheerr tthheeyy ffeeeell uunnssaaffee ttoo o i t move around at night a move around at night l u ¥ p ¥ o WWhheenn aasskkeedd wwhheetthheerr tthhee ssaaffeettyy iinn KKhhaayyeelliittsshhaahhaass P

f improved in the last year, 74% said it has not

o improved in the last year, 74% said it has not

% 20%

CCrriimmee aatt tthhee SSaannllaamm CCeennttrree

9.9% ¥ 10% 8.4% ¥ SShhoopp oowwnneerrss hhaavvee hhaadd ttoo hhiirree aaddddiittiioonnaall sseeccuurriittyy oorr hhaavvee lleefftt tthhee cceennttrree ¥ ¥ Banks cited crime as the main reason for closing 2.4% Banks cited crime as the main reason for closing

0.9% ¥ ¥ MMuuggggiinnggss aanndd aatttteemmpptteedd rroobbbbeerryy aarree tthhee mmaaiinn ccrriimmeess 0% tthhaatt aarreeccoommmmiitttteedd iinn tthhee aarreeaa Crime Jobs & Housing Service Health Social Unemployment Provision Problems

Source: URP Socio-economic Report, 2006; Khayelitsha Retail Strategy (Market Decisions, 2001); Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 62 Nodal Economic Profiling Project Business Trust & dplg, 2007 Another challenge faced by the commercial sector is continued Khayelitsha leakage to competing shopping areas The most popular alternative shopping areas for residents of Khayelitsha / Mitchell’s Plain are the Cape Town CBD, Claremont, Bellville and Parow

Shopping Areas Used by Map of main shopping areas frequented by Khayelitsha Residents: 2001 Khayelitsha / Mitchell’s Plain residents 100%

84%

80% 74% 73% s t n e d i

s Cape Town CBD e Parow / Bellville R

60% f o Wynberg / Claremont / Kenilworth %

Mitchell’s Plain CBD Khayelitsha CBD

40% 32%

22% 20% 20% 17%

6% 4%

0% Khayelitsha Khayelitsha Claremont Wynberg Other Centre (Other Shops) Mitchell’s Cape Town Bellville / Kenilworth / Plain CBD Parow / Access Park Source: Khayelitsha Retail Strategy (Market Decisions, 2001); Google Earth; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 63 Nodal Economic Profiling Project Business Trust & dplg, 2007 This could be limited by addressing crime and improving Khayelitsha public facilities, particularly in Khayelitsha Research conducted in Khayelitsha reveals that alternative shopping areas offer a greater variety of stores and products in addition to increased security

Reasons for patronage of shopping centres, Khayelitsha residents: 2001 Reasons for Reasons for What can be done to 40% shopping in shopping in improve shopping in Khayelitsha other areas Khayelitsha?

Close to home Close to work Improve security 30% 30%

Better prices Store variety Provide public toilets s t n e d i s

Cheaper to Increase range of e

Feel safer R

travel stores f

o 20%

%

15% Increase range of Convenient Better prices 14% banking services 10% Product 10% Provide ATMs 8% variety 6% Change open design Cleaner to under-cover retailing 0% Convenience Quality Price Variety Other Close to Work Source: Khayelitsha Retail Strategy (Market Decisions, 2001) UUP-WRD-Khayelitsha Profile-301106-IS 64 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Assessment of shopping in Khayelitsha Competition exists between local shopping facilities and commercial centres outside Khayelitsha

Shopping in Shopping in Khayelitsha other areas Comments Groceries are easy to obtain within Khayelitsha and most Variety of products goods can be found in the CBD, however, competing on offer - + shopping centres sometimes offer a greater variety Facilities such as public toilets and convenient parking are Quality of facilities - + lacking in Khayelitsha’s shopping areas; cleaner, nicer facilities exist in nearby areas such as Mitchell’s Plain Opening hours Many informal traders and spaza shops begin operating suitable to shoppers’ + - before 7am and close late in the evening; large shopping requirements malls are more likely to keep office hours Khayelitsha residents are wary of crime, particularly on trains and when it begins to get dark; therefore, other shopping Safety and security - + centres may be perceived to be safer than those in Khayelitsha Khayelitsha’s shopping centres are all located near train Accessibility + - stations or taxi ranks; informal traders and spaza shops can also be found throughout the area Khayelitsha residents believe in supporting local business, Social acceptance + + although shopping outside Khayelitsha is associated with increased wealth and social rising Residents of Khayelitsha find shops nearer their homes more Convenience + - convenient as they are closer; this also means that shoppers have to carry parcels a shorter distance Source: Monitor interviews; Khayelitsha Retail Survey, 2001 UUP-WRD-Khayelitsha Profile-301106-IS 65 Nodal Economic Profiling Project Business Trust & dplg, 2007 The informal sector is an important employer in Khayelitsha / Khayelitsha Mitchell’s Plain, but informal traders face many constraints A vibrant informal sector exists in both Khayelitsha and Mitchell’s Plain Goods and services sold by the informal sector

Demarcated Informal Trading Bays: 2003 Personal Groceries Other services Fruit Vegetables Tobacco Bread Hairdressers Clothes Milk Barbers Sweets Beauty salons Accessories Drinks repairs Snacks

Mitchell’s Plain Khayelitsha

Constraints faced by the informal sector Legend: Number ¥ of Informal Traders ¥ IInnaabbiilliittyy ttoo oobbttaaiinn ffiinnaanncciinngg

11 ¥ ¥ CCaasshh ffllooww ddiiffffiiccuullttiieess tthhaatt aarriissee ffrroomm ccuussttoommeerrss bbuuyyiinngg 12 – 29 ggooooddss oonn ccrreeddiitt ¥

30 – 53 ¥ HHiigghh lleevveellss ooff ccoommppeettiittiioonn ¥ 54 – 90 ¥ MMiissccoonncceeppttiioonnss aabboouutt ttaaxx rreegguullaattiioonnss ¥ 91 – 444 ¥ LLaacckk ooff tteecchhnniiccaall ssuuppppoorrtt ¥ ¥ LLaacckk ooff ssppaaccee ¥ ¥ LLaacckk ooff sseeccuurriittyy

Source: City of Cape Town Economic and Human Development Strategy, 2006; Monitor analysis UUP-WRD-Khayelitsha Profile-301106-IS 66 Nodal Economic Profiling Project Business Trust & dplg, 2007 Helping informal businesses to formalise would help them to Khayelitsha increase turnover and employ more people

Formalisation Formal business Informal business now a registered taxpayer

Have the capacity to Able to obtain loans hire more employees

Able to purchase equipment / vehicles Increased turnover / storage facilities / premises

Able to devote time Able to upgrade to marketing and services and promoting business infrastructure

UUP-WRD-Khayelitsha Profile-301106-IS 67 Nodal Economic Profiling Project Business Trust & dplg, 2007 Recommendations for increasing business viability focus on Khayelitsha encouraging formalisation and increasing the longevity of existing entrepreneurs

Formalisation FFoorrmmaall bbuussiinneessss IInnffoorrmmaall bbuussiinneessss nnooww aa rreeggiisstteerreedd ttaaxxppaayyeerr

z Informal businesses z Many informal traders z LED strategies should require support in terms fear formalisation focus on helping informal of the provision of z They over-estimate the businesses to formalise and infrastructure tax implications of helping formal businesses – Both the Khayelitsha registering with SARS to increase their longevity and the Mitchell’s and under-estimate the Plain CBDs have benefits, including: allocated space and – Access to capital facilities for informal – Access to training traders z Traders therefore require information explaining how and why they should formalise

UUP-WRD-Khayelitsha Profile-301106-IS 68 Nodal Economic Profiling Project Business Trust & dplg, 2007 Some successful projects may be worth replicating elsewhere; the Khayelitsha Khayelitsha CBD is unique in that it is designed to benefit the local community

z In 2001, the city signed an agreement with Rand Merchant Bank to secure R260 million private sector funding for the Khayelitsha CBD project z An additional R90 million was funded by the public sector in order to provide bulk services and infrastructure z The development is currently owned by the Khayelitsha Community Trust and managed by Futuregrowth Properties z The trust is responsible for assisting local residents to obtain employment in the retail centre and will reinvest in the community once its financial obligations are settled z Through the trust, the Khayelitsha community will eventually own the CBD

development KBD financial and institutional arrangements z It has been suggested, however, that it is difficult to get all of the members of the Khayelitsha Community Trust to meet on a regular basis

Source: Shared Learnings From the City of Cape Town’s URP (MCA Planners, 2006); Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 69 Nodal Economic Profiling Project Business Trust & dplg, 2007 The Station Plaza is another example of a retail development Khayelitsha that enables local people to benefit in the long run The Station Plaza has managed to capitalise on a transport hub; it also employs local residents

z The Station Plaza is a particularly successful retail development, largely due to its accessibility and its location in a viable area z It is situated in a corridor linking Mitchell’s Plain station to the town centre z Floor space in the Plaza is relatively expensive to rent (R350/m2 per month), yet the mall has a 100% occupancy rate z This is largely because tenants occupy small shops of around 10m2, so local businesses can afford to rent premises in the plaza z Almost all the stores are owned by local residents and employ people from Mitchell’s Plain z The success of the centre is attributable to effective planning and project leadership

Source: Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 70 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha New developments should replicate successful models

Khayelitsha CBD Mitchell’s Plain Station Plaza

z Replicate and improve on the Khayelitsha trust model in other communities z Replicate the management and operational model of Mitchell’s Plain Station Plaza in Kuyasa

UUP-WRD-Khayelitsha Profile-301106-IS 71 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Assessment of the retail market in Khayelitsha

Locally owned National chains / businesses brands

General groceries A variety of Spaza shops and hawkers and Pick ‘n Pay both have may be found throughout Khayelitsha branches in Khayelitsha

Local taverns and are active There are several national restaurant Entertainment in the area; there is potential for local chains in Khayelitsha restaurants and cinemas

Clothing & apparel A variety of clothing can be bought Most of the popular national chains from formal and informal traders in can be found in Khayelitsha Khayelitsha

There is little evidence of locally Most national furniture stores have Furniture & owned furniture stores; second-hand branches in the area including Protea, durables furniture is sold at the side of the road Morkels, Joshua Doore, Bears

Hardware There is little evidence that locally National brand hardware is active in owned hardware stores exist the market Petrol & Informal car repairs and backyard A number of petrol stations can be automotive mechanics can be found in the area found

Small retail, e.g. Some hawkers and informal Limited representation of small trading flowers, gifts, businesses may be found selling this activity, but of questionable viability stationery type of product

Available potential not Available potential fully Source: Monitor interviews captured captured UUP-WRD-Khayelitsha Profile-301106-IS 72 Nodal Economic Profiling Project Business Trust & dplg, 2007 Evaluation sheet: Commercial activities Khayelitsha Is Khayelitsha a good place for business people to invest in?

Criterion Comment Attractiveness Density levels Density levels vary throughout the area 0 The spatial Accessibility (public transport) Commercial centres are easily accessible + concentration of spending Distance to city and spending Much spending leaves the area, particularly to – leaving area shopping centres in Mitchell’s Plain

Availability of commercially Limited zoned land is available for commercial – zoned land for development development Availability of commercial Most commercially developed land is occupied – Infrastructure space although the CBD is still being developed Quality of commercial space Some problems with existing facilities exist 0 Commercial space integration Main commercial precincts are easily + into town planning accessible and close to a transport hub

General Levels of crime Crime rates are high – environment Governance Governance is good +

The extent of competition Market is intensively served – The income of the community Community is very poor, low disposable income – Business Remaining opportunities in the There are several opportunities in the market + opportunity market that have good potential National brands attract Many national brands attract spending, – spending active in area especially in grocery and clothing retail

UUP-WRD-Khayelitsha Profile-301106-IS 73 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

z Overview

z Themes

– Residential life

– Commercial activity Linking the nodes to ’ economies

– City linkages z Physical linkages

z Virtual linkages z Summary

z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 74 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Introduction

What would help Khayelitsha and Mitchell’s Plain become places in which Question Question members of the working class would want to live?

The following issues are likely to matter: z Better access to employment prospects z Better access to training CCoorree iissssuueess z Other factors: – Better access to capital for home loans or to start businesses – Better social and political integration into the life of the city

Are Khayelitsha and Mitchell’s Plain better integrated into the circuits of the economy of Cape Town?

UUP-WRD-Khayelitsha Profile-301106-IS 75 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Most people living in Khayelitsha and Mitchell’s Plain work outside the area Few of the people that live in Khayelitsha and Mitchell’s Plain actually work there; the railway lines and taxi routes feeding these areas are among the busiest in Cape Town

Location of Employment (Khayelitsha Number of boarding passengers per line Population): 1998 each week day: 2004/05 40% 160

s r

e 150 122 g n

) 120 e s 96 s

d 93 s n a a P s

80 f 30% u 61 o o

29% h 30% r e T ( b 40 m u

24% N n o

i 0 t a l

u Khayelitsha Mitchell’s Strand Simon’s p

o 20% Plain Town / Parow P

f o

Minibus-taxi facilities with the highest number % of departing passengers: 2004/05 50

s r

e 40 9% g n 10% ) 31.5 30.7 e s 29.7 s d s

n 30 a a P s

f 4% 4% u o o 16.6 20 15.6 h r 14.0 e T ( b

m 10 u

0% N North East Claremont / Inner City South East Khayelitsha Other 0 (Bellville) Wynberg (CBD) (Incl. Cape Town Bellville Mitchell’s Khayelitsha Wynberg Nyanga Philippi) Deck Plain East Site C West Central Source: Integrated Transport Plan for the City of Cape Town, 2006; Khayelitsha: Upgrading of Minibus Taxi Facilities (Shand, 1998) UUP-WRD-Khayelitsha Profile-301106-IS 76 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha and Mitchell’s Plain are a long way from Cape Khayelitsha Town’s CBD and economic centres in the north

The N2 links the city centre to arteries zz such as the R 300, TThhee CCaappee TToowwnn CCBBDD aass wweellll aass the M 44 (Mew cceennttrreess ssuucchh aass CCllaarreemmoonntt,, Way) and the M 32 BBeellllvviillllee,, PPaarrooww aanndd WWyynnbbeerrgg aarree (Spine Road) ffaarr ffrroomm KKhhaayyeelliittsshhaa aanndd MMiittcchheellll’’ss PPllaaiinn zz LLoonngg ttrraavveell ddiissttaanncceess aanndd hhiigghh ccoossttss aarree ccoommbbiinneedd wwiitthh lloonngg commuting times and lack of Cape Town CBD commuting times and lack of ppeerrssoonnaall ssaaffeettyy

N2

Mitchell’s Plain Khayelitsha

Distance to Cape Town centre Legend Cape Town Boundary Water Bodies Khayelitsha 35 km Railways Roads Freeway Mitchell’s Plain 20 km Expressway Primary Artery

Source: Integrated Transport Plan for the City of Cape Town, 2006; The Social Economy of Khayelitsha (dplg website) UUP-WRD-Khayelitsha Profile-301106-IS 77 Nodal Economic Profiling Project Business Trust & dplg, 2007 The transport infrastructure linking Khayelitsha and Mitchell’s Khayelitsha Plain to Cape Town is reasonably well developed, but… Cape Town’s public transport system includes extensive rail, bus and taxi networks; walking times to public transport nodes are mostly under ten minutes Cape Town’s rail network Cape Town’s minibus-taxi network n w o T

e p a C

Cape Town’s bus network Khayelitsha Mitchell’s Plain

Walking times to nearest public transport node: 2003 60%

s 42.5% Khayelitsha p i

c 38.4% r i l

T 40% b

Mitchells Plain t u

r 26.8%

P 24.2% o 23.0%

f p o s 16.2%

14.4% 14.4%

n 20% a % r T 0% Up to 5 mins 6-10 mins 11-15 mins More than 15 mins Source: Integrated Transport Plan for the City of Cape Town, 2006; National Transport Survey, 2003 UUP-WRD-Khayelitsha Profile-301106-IS 78 Nodal Economic Profiling Project Business Trust & dplg, 2007 … different modes of public transport compete rather than Khayelitsha cooperate, making transport delivery difficult to coordinate Public transport facilities in Cape Town have different owners and differing interests; the lack of cooperation means that passengers must buy separate tickets for every mode they use ¦ ¦ TThhee rraaiill nneettwwoorrkkiinn CCaappee TToowwnn iiss rruunn bbyy MMeettrroorraaiill,, ppaarrtt ooff tthhee DDeeppaarrttmmeenntt ooff TTrraannssppoorrtt ¦ ¦ TTrraaiinnss rruunn eevveerryy ffiivveemmiinnuutteess aanndd tthhee ccoosstt ooff aa ssiinnggllee ttrraaiinn ttiicckkeett ffrroomm KKhhaayyeelliittsshhaa // MMiittcchheellll’’ss PPllaaiinn ttoo tthhee CCaappee TToowwnn CCBBDD iiss aabboouutt RR88 ¦ ¦ TThhee KKhhaayyeelliittsshhaaaanndd MMiittcchheellll’’ss PPllaaiinn lliinneess ttooggeetthheerr aaccccoouunntt ffoorr 225500,,000000 ppaasssseennggeerrss oorr 4455%% ooff ttoottaall bbooaarrddiinngg ppaasssseennggeerrss iinn tthhee cciittyy ¦ ¦ TTrraaiinnss aarree oofftteenn ccoonnggeesstteedd,, ppaarrttiiccuullaarrllyy dduurriinngg ppeeaakk hhoouurrss ¦ ¦ BBuusseessaarree ooppeerraatteedd bbyy GGoollddeenn AArrrrooww BBuuss SSeerrvviicceess Primary Modes of Transport: 2006

¦ 60% ¦ EEaacchh bbuuss hhaass ccaappaacciittyy ffoorr 9900 ppaasssseennggeerrss ¦ ¦ BBuuss sseerrvviicceess aarree ssuubbssiiddiisseeddbbyy tthhee ggoovveerrnnmmeenntt,, aalltthhoouugghh 47% Khayelitsha iitt iiss ssttiillll tthhee mmoosstt eexxppeennssiivvee mmeeaannss ooff ppuubblliicc ttrraannssppoorrtt ¦ ¦ n Mitchell’s Plain

Cost of a trip from Khayelitsha to Cape Town centre: o

Cost of a trip from Khayelitsha to Cape Town centre: i t a RR1177..6600;; MMiittcchheellll’’ss PPllaaiinn ttoo CCaappee TToowwnn cceennttrree:: RR1166..1100 l 40% 36% u p o P

d ¦ ¦ e

MMiinniibbuuss ttaaxxiissaarree uussuuaallllyy 1155--sseeaatt vveehhiicclleess y

o 24% l

¦ 23% ¦ TThheeyy aarree ooppeerraatteeddbbyy tthheeiirr oowwnneerrss oorr oowwnneerrss ooff ssmmaallll p m

E 20% fleets and are usually part of an association or union

fleets and are usually part of an association or union f 16% o ¦

¦ They do not receive a government subsidy 13% 13%

They do not receive a government subsidy % 11% ¦ ¦ TTaaxxiiss ooppeerraattee oonn 556655 rroouutteess aarroouunndd tthhee cciittyy aanndd ccaarrrryy 7% 8% 332,407 passengers per day 332,407 passengers per day 1%1% ¦ ¦ TThhee ccoosstt ooff aa ttaaxxii ttrriipp ffrroomm KKhhaayyeelliittsshhaa // MMiittcchheellll’’ss PPllaaiinn 0% ttoo tthhee cciittyy cceennttrree iiss aabboouutt RR1100 On Car Taxi Bus Train Other

Source: Integrated Transport Plan for the City of Cape Town, 2006; Khayelitsha Retail Strategy (Market Decisions, 2001); Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Cape website, Golden Arrow Bus Services website UUP-WRD-Khayelitsha Profile-301106-IS 79 Nodal Economic Profiling Project Business Trust & dplg, 2007 This contributes to the difficulty of developing new routes to Khayelitsha improve the transport efficiency of Cape Town’s radial system

z Service levels of different modes of transport z Road and rail networks in Cape Town are are not coordinated efficiently essentially radial, with multiple branch lines leading to Cape Town Station in the city z The Metropolitan Transport Authority, centre designed as a central planning and coordinating unit, is not yet operational, z Many people have to commute to Cape despite being made official in recent National Town’s CBD first before travelling to other Transport Policy destinations z This makes the development of new routes z New routes to growth areas need to be difficult established

Source: Integrated Transport Plan for the City of Cape Town, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 80 Nodal Economic Profiling Project Business Trust & dplg, 2007 The city is investing in improving physical linkages to Cape Town’s Khayelitsha metro, although the potential of some transport hubs is currently underutilised The Khayelitsha railway line is being extended to Kuyasa and new rolling stock is being purchased Legend zz TThhee CCBBDD iinn Existing zz Nolungile railway VVaarriioouuss iimmpprroovveemmeennttss MMiittcchheellll’’ss PPllaaiinniiss line Line hhaavvee bbeeeenn pprrooppoosseedd ssttiillll uunnddeerr extension rreeggaarrddiinngg tthhee uuppggrraaddee ddeevveellooppmmeenntt ooff rraaiill iinnffrraassttrruuccttuurree zz It is on its way to It is on its way to iinncclluuddiinngg:: bbeeccoommiinngg aa pprriimmaarryy ttrraannssppoorrtt hhuubb ffoorr tthhee –– TThhee KKhhaayyeelliittsshhaa MMeettrrooppoolliittaann SSoouutthh rraaiillwwaayy lliinnee EEaasstt aanndd iinncclluuddeess aa eexxtteennssiioonn iinncclluuddiinngg Kuyasa: Station 4 ttrraaiinn ssttaattiioonn aanndd ttaaxxii ttwwoo nneeww ssttaattiioonnss;; terminus KKuuyyaassaa ((SSttaattiioonn 44)) terminus Mitchell’s Plain aanndd SSttaattiioonn 44AA ttoo iittss eeaasstt – R100 million zz NNoolluunnggiillee SSttaattiioonn iiss aa nnooddee wweellll lliinnkkeedd iinn aallll – R100 million investment in new ddiirreeccttiioonnss wwiitthh tthhee rreesstt ooff tthhee mmeettrroo;; aa ttaaxxii rraannkk investment in new rolling stock aanndd aa ttrraaiinn ssttaattiioonn aarree llooccaatteedd tthheerree rolling stock zz IItt iiss bbeeiinngg ttaarrggeetteedd ffoorr iimmpprroovveemmeenntt iinn ttrraannssppoorrtt aanndd eeccoonnoommiicc iinnffrraassttrruuccttuurree zz IItt iiss ccuurrrreennttllyy uunnddeerruuttiilliisseedd iinn tteerrmmss ooff iittss Taxis at Nolungile ppootteennttiiaall aass aa ttrraannssppoorrtt hhuubb aanndd aa rreettaaiill cceennttrree

Source: Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 81 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Recommendations

The distance between the Metropolitan South East and the Cape Town CBD will remain a key constraint to integrating nodal residents into the circuits of Cape Town’s economy

However, the City should focus on z Coordinating modes of public transport z Introducing improved safety and security on taxis and trains z Establishing new routes to growth areas z Maximising the potential of new and existing transport hubs

UUP-WRD-Khayelitsha Profile-301106-IS 82 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha There is a trend towards growth in Cape Town’s northern areas

Saldanha z Cape Town is located as a gateway to West Africa; it is strategically positioned and has the largest port in the region z The West Coast of Africa is one of the world’s fastest growing oil and gas production areas z It makes sense that economic development is expanding in a northerly direction, towards Saldanha z Improved transport infrastructure, Cape Town CBD particularly for freight and cargo, is being developed between Cape Town harbour, Cape Town International Airport and Saldanha

Source: Economic and Human Development (EHD) Strategy, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 83 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Philippi East Industrial Area could also be a location for development The Philippi node links Mitchell’s Plain and Khayelitsha to the north

z The Philippi East industrial area has been recognised as a potential Klipfontein Corridor development node for the South East Wetton – Lansdowne of the city ¦ z The area was originally developed as Philippi ¦ PPhhiilliippppii iiss iinncclluuddeedd iinn an industrial township because tthhee KKlliippffoonntteeiinn ttrraannssppoorrtt inexpensive land was plentiful and it ccoorrrriiddoorr,, wwhhiicchh rruunnss was in close proximity to the airport ffrroomm KKhhaayyeelliittsshhaa ttoo and other major transport routes CCaappee TToowwnn ¦ z Current thinking is that economic ¦ IItt iiss aallssoo ppaarrttooff tthhee development in the area should WWeettttoonn--LLaannssddoowwnnee include: CCoorrrriiddoorr pprroojjeecctt aanndd iiss therefore earmarked for – The expansion of industrial therefore earmarked for mmaajjoorr iinnffrraassttrruuccttuurree aanndd developments by investing in Cape major capital projects; this would rreellaatteedd iinnvveessttmmeennttss Town CBD ¦ generate economic and job ¦ HHoowweevveerr,, iitt sshhoouulldd bbee opportunities nnootteedd tthhaatt tthheessee ttyyppeess – The promotion of Philippi East as ooff ccoorrrriiddoorrss ttaakkee ttiimmee ttoo an attractive investment ddeevveelloopp;; ggrroowwtthh iiss eexxppeecctteedd ttoo bbee sstteeaaddyy prospect to the business Philippi community bbuutt ggrraadduuaall z The Philippi-Khayelitsha railway line extension as well as the construction Khayelitsha of an additional station at Stock Road should help stimulate private sector interest Source: Integrated Transport Plan for the City of Cape Town, 2006; Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 84 Nodal Economic Profiling Project Business Trust & dplg, 2007 Philippi is of strategic importance for the city’s spatial development and is Khayelitsha attractive to potential investors, but there are serious constraints to developing this area

z When development around the airport z There seems to be a lack of investor ; becomes saturated, industry is likely to spill : confidence and private sector interest over into the Philippi area in the area, particularly when viewed as z Its location is ideal as it has access to the relative to other commercial and north and west parts of Cape Town as well as industrial nodes to Claremont and the N2; it is strategically z Other open space in Cape Town may located within the east-west corridor which be more suitable for the development of links the West Coast (including Saldanha) to an industrial zone the airport, the harbour and the CBD z Investing in the growth of Philippi would z The area has potential for agriculture (crops), be contrary to the trend of development industry, cement manufacturing and high- density housing in a northerly direction towards Saldanha z Philippi has plenty of open land that has been earmarked for development z It is uncertain whether road and rail infrastructure is adequate to transport z Property prices are low relative to the rest of freight to and from Philippi the province z z The city provides incentives for private sector There is a need for a highway offramp investment through infrastructure provision leading directly to Philippi from the N2 z z The development of an employment and There is demand for small pieces of service node in Philippi will inevitably benefit land in the area, however, a large share its surrounding areas (including Khayelitsha / of the land is only being sold in large Mitchell’s Plain) as it would improve access to “parcels” higher-level services and economic z Many people have a “crime and grime” opportunities perception of the area

Source: Urban Renewal SDF for Khayelitsha and Mitchell’s Plain, 2006; Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 85 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Recommendations

z Repackage the land so that it may be bought / rented in smaller pieces z Convert Philippi to being a bonded area; this would increase safety and security and contribute towards alleviating the “crime and grime” perception of the area z Assess whether a highway offramp to the area is needed and feasible

UUP-WRD-Khayelitsha Profile-301106-IS 86 Nodal Economic Profiling Project Business Trust & dplg, 2007 The region faces continued challenges in integrating its Khayelitsha residents into the circuits of Cape Town’s economy One of the most pressing challenges facing residents of Khayelitsha and Mitchell’s Plain is a lack of job opportunities, in many cases due to a lack of skills

Most Pressing Challenges (Khayelitsha): 2006 Most Pressing Challenges (Mitchell’s Plain): 2006 60% 60%

45.4%

40% n 40% 37.3% o n i t o

i 33.1% a t l a u l p u o p 27.4% o P

f P

o f

o

20.2% %

% 20% 20%

9.9% 8.4% 6.6% 2.4% 4.0% 3.7% 0.9% 0.9% 0% 0% Crime Jobs & Housing Service Health Social Drugs Jobs & Crime Gangs Service Social Health Unemployment Provision Problems Unemployment ProvisionProblems

“Cape Town’s workforce lacks the skills demanded by key growth industries. A recent survey revealed that jobs in a range of firms could not be filled, despite the prevailing 23.4% unemployment rate. Technical skills, language skills for business and the ability to manage small businesses are known to be in short supply” – Economic and Human Development (EHD) Strategy, 2006

Source: URP Socio-economic Report, 2006; City of Cape Town Economic and Human Development Strategy, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 87 Nodal Economic Profiling Project Business Trust & dplg, 2007 FET Colleges are designed to equip learners with skills that Khayelitsha can be applied in Cape Town’s growth sectors

z There is currently a mismatch between the skills base of the community and the skills that are required by the city’s key economic sectors z Investment in Further Education and Training (FET) institutions is addressing this problem z FET colleges aim to equip learners with marketable § § skills that enable people to become economically § FFaallssee BBaayy CCoolllleeggee iiss aann aaccccrreeddiitteedd FFEETT productive members of society iinnssttiittuuttiioonn;; tthhee GGoooodd HHooppee bbrraanncchh ooff tthhee ccoolllleeggee z Six FET colleges currently operate over 44 different iiss llooccaatteedd iinn KKhhaayyeelliittsshhaa § § sites in the Western Cape § FFaallssee BBaayy CCoolllleeggee’’’ss ppaarrttnneerr iinn tthhee KKhhaayyeelliittsshhaa vveennttuurree iiss tthhee UUmmssoobboommvvuuYYoouutthh FFuunndd,, wwhhiicchh z Khayelitsha is served by ’s Good wwaass sseett uupp bbyy tthhee ggoovveerrnnmmeenntt ttoo pprroommoottee jjoobb Hope Branch; the college also has a temporary ccrreeaattiioonn aanndd sskkiillllss ddeevveellooppmmeenntt § § branch in Mitchell’s Plain § TThhee GGoooodd HHooppee bbrraanncchh ssppeecciiaalliisseessiinntteeaacchhiinngg z FET colleges operate according to a “user pay bbuussiinneessss aanndd eennggiinneeeerriinngg ccoouurrsseess § § model” which makes further education accessible to § AA tteemmppoorraarryy FFaallssee BBaayy CCoolllleeggee ssiittee iiss llooccaatteedd iinn the poor as fees increase with people’s ability to pay MMiittcchheellll’’’ss PPllaaiinn;; ffuurrtthheerr ddeevveellooppmmeenntt ooff tthhee ccoolllleeggee hhaass bbeeeenn ppuutt oonn hhoolldd dduuee ttoo llaacckkooff z Minimum fees are R650 per annum, while the ffuunnddiinngg § § average annual fee is R3,750 per annum § TThhiiss iiss bbeeccaauusseetthhee ccoolllleeggee’’’ss aapppplliiccaattiioonn ffoorr aann z FET falls under the mandate of the province; its FFEETT ccaappiittaall ggrraanntt wwaass uunnssuucccceessssffuull target is to have 6% of the population enrolled in an FET college at any one time

Source: Monitor interviews; False Bay College website UUP-WRD-Khayelitsha Profile-301106-IS 88 Nodal Economic Profiling Project Business Trust & dplg, 2007 Training initiatives should focus on economic sectors that the Khayelitsha city has prioritised The City of Cape Town works in with the province to promote and develop key sectors that possess growth potential

Priority sectors

Craft and jewellery

Film zz LLiimmiitteedd aaccttiivviittyy iinn Agriculture and agri-business tthheessee sseeccttoorrss mmaayy bbee ffoouunndd iinn Boat-building and supplies KKhhaayyeelliittsshhaaaanndd Mitchell’s Plain, Alternative energy Mitchell’s Plain, aassiiddee ffrroomm ttoouurriissmm,, crafts and film Tourism crafts and film

Business process outsourcing (BPO)

Information communications technology (ICT)

Oil and gas supplies

Clothing and textiles

Source: Economic and Human Development (EHD) Strategy, 2006 UUP-WRD-Khayelitsha Profile-301106-IS 89 Nodal Economic Profiling Project Business Trust & dplg, 2007 Crafts and tourism are two key sectors that are being Khayelitsha developed in Khayelitsha and Mitchell’s Plain Craft centres in Khayelitsha have excellent growth potential; however, it seems that tourism initiatives such as Lookout Hill, for example, have limited viability

Craft centres Lookout Hill and coastal developments

Monwabisi Resort Mnandi Beach

Examples of arts and crafts from Sibanye § The potential of tourism developments such as Lookout Hill is not being maximised § § Sibanye and Philani are both examples of Lookout Hill, originally designed as a and successful arts and crafts stores that are panoramic viewpoint, has been dismissed by some as a “white operating in Khayelitsha elephant” § § In order to expand and become more The site needs to be linked to other tourist attractions, restaurants profitable, they need to find a suitable location and township sites in the city § Monwabisi and Mnandi Beach Resorts, in addition to the Blue § Locating in Cape Town’s CBD, at the V&A Flag Strandfontein beach, are failing to attract high numbers of Waterfront or at the airport, for example, tourists would give these stores access to larger, § This is largely due to the stigma of the area, the distance from the more affluent markets CBD, and the windy weather conditions

Source: Monitor interviews UUP-WRD-Khayelitsha Profile-301106-IS 90 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Dreamworld Studios aims to create jobs and boost the film industry § § TThhee RR550000 mmiilllliioonnDDrreeaammwwoorrlldd SSttuuddiiooss aarree bbeeiinngg bbuuiilltt iinn FFaauurree,, jjuusstt oouuttssiiddeeCCaappee TToowwnn § § TThhee WWeesstteerrnn CCaappee GGoovveerrnnmmeenntt aanndd tthhee CCiittyy ooff CCaappee TToowwnn aarree ccoonnttrriibbuuttiinngg ssoommeeRR6600 mmiilllliioonn ttoowwaarrddss tthhee ddeevveellooppmmeenntt § § TThhee vvaalluuee ooff ffiillmm pprroodduuccttiioonn iinn tthhee WWeesstteerrnn CCaappee iiss ccuurrrreennttllyy eessttiimmaatteedd aatt RR22--bbiilllliioonn aanndd tthhee bbuullkk ooff tthhee pprroovviinncciiaall ffiillmm iinndduussttrryy iiss llooccaatteedd iinn CCaappee TToowwnn § § HHeennccee,, DDrreeaammwwoorrllddiiss bbeeiinngg ddeevveellooppeedd iinn oorrddeerr ttoo ssuuppppoorrtt tthhee ggrroowwtthh ooff tthhee llooccaall ffiillmm iinndduussttrryybbyy eemmppoowweerriinngg aanndd ttrraaiinniinngg llooccaall ttaalleenntt Proposed Design for Dreamworld Studios Site Location § § DDrreeaammwwoorrllddaaiimmss ttoo bbeeccoommee aann iinntteerrnnaattiioonnaallllyy competitive film studio complex, to help the competitive film studio complex, to help the US-developed films produced abroad, Western Cape become a world-class film Western Cape become a world-class film reason for foreign location: 1990-1998 ddeessttiinnaattiioonn 300

§ 285

§ 280 TThhee llooccaattiioonn ooff tthhee ssttuuddiioo wwiillll pprriimmaarriillyy bbeenneeffiitt It is becoming more economical disadvantaged communities along the N2 245 disadvantaged communities along the N2 250 for American film-makers to ccoorrrriiddoorr produce films abroad § s § It is estimated that 8,300 direct and indirect jobs 202 It is estimated that 8,300 direct and indirect jobs m l

i 200

will be created in the construction period, and 7,800 F will be created in the construction period, and 7,800 f Creative

o 160 in the operational period 155 in the operational period r e § Economic § 150 TThhee ssttuuddiioo wwiillll ccoonnttaaiinn aabbaacckklloott,, ddiiggiittaall ppoosstt-- b m

u 110 110 108 pprroodduuccttiioonn ffaacciilliittiieess,, eeiigghhtt aaccoouussttiiccaallllyy ttrreeaatteedd 105100 105 101 105 101 N 100 85 ssoouunndd ssttaaggeess aanndd vvaarriioouuss ootthheerr ffaacciilliittiieess 75

§ 65 § CCoonncceerrnnss hhaavvee bbeeeenn eexxpprreesssseedd rreeggaarrddiinngg tthhee vviiaabbiilliittyy ooff tthhee ssttuuddiioo,, ppaarrttiiccuullaarrllyy ccoonnssiiddeerriinngg tthhee 50 aabbsseennccee ooff aann oouuttppuutt ccoonnttrraacctt oorr aa ccoommmmiitttteedd cclliieenntt 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 Source: Dreamworld website, Engineering News website UUP-WRD-Khayelitsha Profile-301106-IS 91 Nodal Economic Profiling Project Business Trust & dplg, 2007 Evaluation sheet: City linkages Khayelitsha Is Khayelitsha integrated into the circuits of the economy of Cape Town?

Criterion Comment Attractiveness

Transport links Even though Khayelitsha is far from the city centre, transport infrastructure is good; the rail extension and purchase of new rolling stock 0 Better access should alleviate congestion to some extent to employment Business incubation There is little being done to integrate Khayelitsha prospects businesses into areas outside the node – Preferential job selection No job selection preference exists in either the and training public or private sector –

Criterion Comment Attractiveness

Transport links Khayelitsha is far from the city centre, however, there are training facilities located within 0 Khayelitsha Business incubation Institutions such as Red Door play a business Better access incubation role; Dreamworld film studio aims to to training 0 foster local talent in the film industry Access to education The Good Hope branch of False Bay College is located in Khayelitsha and attracts people from the – community

UUP-WRD-Khayelitsha Profile-301106-IS 92 Nodal Economic Profiling Project Business Trust & dplg, 2007 Various other institutions are focused on skills development Khayelitsha designed to increase employment … § § LLeeaarrnn ttoo EEaarrnn,, aa SSeeccttiioonn 2211 ccoommppaannyy,, hhaass aa bbrraanncchh iinn KKhhaayyeelliittsshhaaaass wweellll aass iinn ootthheerr pprreevviioouussllyy ddiissaaddvvaannttaaggeedd ccoommmmuunniittiieess § § § TThheeiirr mmaannddaattee iiss ttoo ttrraaiinn uunneemmppllooyyeedd § RReedd DDoooorr’’ss aaiimmss aarree ttoo hheellpp nneeww ppeeooppllee ssoo tthhaatt tthheeyy mmaayy bbeeccoommee sseellff-- bbuussiinneesssseess ssttaarrtt uupp,, ssttrreennggtthheenn aanndd ssuuppppoorrttiivvee aanndd iinnddeeppeennddeenntt ddeevveelloopp eexxiissttiinngg bbuussiinneesssseess,, aanndd bbuuiilldd § § SSkkiillllss ttaauugghhtt iinncclluuddee sseewwiinngg,, ccaarrppeennttrryy mmoorree bbllaacckk--oowwnneedd bbuussiinneesssseess § aanndd ccrraaffttss § RReedd ddoooorr hheellppss ppeeooppllee ttoo wwrriittee § § LLeeaarrnn ttoo EEaarrnn aallssoo eeqquuiippss ppeeooppllee wwiitthh bbuussiinneessss ppllaannss,, aacccceessss ffiinnaannccee aanndd bbaassiicc bbuussiinneessss sskkiillllss,, ffuunnccttiioonnaall lliitteerraaccyy aacccceessss tthhee sseerrvviicceess ooff pprrooffeessssiioonnaallss aanndd lliiffee sskkiillllss lliikkee aaccccoouunnttaannttss aanndd llaawwyyeerrss § § § TThheeyy cchhaarrggee eeaacchh lleeaarrnneerr aa nnoommiinnaall § TThheeyy ooffffeerr IInntteerrnneett aacccceessss,, ccoonnffeerreennccee ffeeee aanndd aarree ffuunnddeedd bbyy tthhee NNeellssoonn rroooommss aanndd aacccceessss ttoo mmeennttoorrss MMaannddeellaa CChhiillddrreenn’’ss FFuunndd aanndd vvaarriioouuss ccoorrppoorraatteess

Source: Learn to Earn website; Red Door website UUP-WRD-Khayelitsha Profile-301106-IS 93 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

z Overview

z Themes

– Residential life

– Commercial activity

– City linkages § Understanding the Khayelitsha poverty node

§ Potential sources of economic growth – Short term z Summary § Potential sources of economic growth – Long term § Assessment of current activities

§ What needs to be done now? z Appendix

UUP-WRD-Khayelitsha Profile-301106-IS 94 Nodal Economic Profiling Project Business Trust & dplg, 2007 Summary Khayelitsha Understanding the Khayelitsha poverty node

Key observations from Khayelitsha Key characteristics of node

¨ Khayelitsha is one of the largest townships in South Africa and was established in the early 1980s § ¨ It is a dormitory area far from the economic nodes in the city Established in early OOvveerrvviieeww ¨ Its most significant challenge is the housing backlog, worsened by 1980s continued in-migration § ¨ Development around transport hubs is transforming the area Far from Cape Town’s CBD ¨

Much of the housing in Khayelitsha is informal § ¨ Continued population growth, migration and the decreasing size of Housing is very households puts pressure on housing supply informal and very RReessiiddeennttiiaall ¨ There is very little empty land available and land required for other dense lliiffee uses has been invaded ¨ Sites that provide opportunities for housing development include § Housing crisis, Swartklip, the Old Mutual Properties Site and Monwabisi worsened by

¨ Even though Khayelitsha’s residents are poor, the commercial migration

sector is vibrant as density levels are high and commercial activity § is concentrated around transport hubs Development is

Commercial ¨ Commercial The proximity of Mitchell’s Plain, combined with the higher quality focused on transport aaccttiivviittyy of that infrastructure, leads to spending leakages to the area hubs ¨ The Khayelitsha CBD is a noteworthy development that benefits the community and may be worth replicating elsewhere § Transport to town is

¨ Khayelitsha is a long way from Cape Town’s CBD and the other available, but not economic centres in the north; public transport is available but coordinated

uncoordinated §

City ¨ City The node faces challenges in integrating its residents into the Better virtual lliinnkkaaggeess circuits of Cape Town’s economy; the establishment of FET linkages are needed colleges and Dreamworld Studios aims to improve “virtual linkages”

UUP-WRD-Khayelitsha Profile-301106-IS 95 Nodal Economic Profiling Project Business Trust & dplg, 2007 Summary Khayelitsha Potential sources of economic growth – Short term

Economic growth of individual household in Khayelitsha

Increase income? Decrease cost?

Provide Increase Housing Food Transport Other job quality of job

External Within Skills Other to node the node

Where to focus? ¨ ¨ ¨ Encourage Model Kuyasa ¨ Focus training on ¨ Upgrade informal Improve investment in the and Nolungile growth sectors settlements transport links to south east of the nodes on the including Bellville and to city Mitchell’s Plain services, north of city ¨ Improve physical Station Plaza tourism, film, links to economic development BPO and ICT areas in north of ¨ Business support city and skills development

UUP-WRD-Khayelitsha Profile-301106-IS 96 Nodal Economic Profiling Project Business Trust & dplg, 2007 Summary Khayelitsha Potential sources of economic growth – Long term

Economic growth of individual household in Khayelitsha

Increase income? Decrease cost?

Provide Increase Housing Food Transport Other job quality of job

External Within Skills Other to node the node

Where to focus? ¨ ¨ ¨ Improve ‘virtual ¨ Focus on the Improve the Dedensify linkages’ development of quality of primary strategic areas between the commercial / and secondary ¨ Protect open node and the transport hubs education spaces wider regional ¨ Increase economy attendance at FET colleges

Not a Key Focus Focus Area Area

UUP-WRD-Khayelitsha Profile-301106-IS 97 Nodal Economic Profiling Project Business Trust & dplg, 2007 Summary Khayelitsha Assessment of current activities

Key observations from Khayelitsha

WWhhaatt iiss bbeeiinngg ddoonnee??

¨ The upgrading of informal settlements has been identified as a priority; the consolidation of Site C has begun and a transit camp has been set up at Enkanini

¨ The Khayelitsha railway line will be extended to include two more stations with transport interchanges, four road-over-rail bridges and four pedestrian bridges

¨ The Khayelitsha CBD development is yet to be completed; municipal facilities, a service station, housing and infrastructure for informal traders still needs to be established

¨ Swartklip, the Old Mutual Property Site and Monwabisi have been identified as areas with good potential for development

¨ The city is making an effort to integrate Khayelitsha and Mitchell’s Plain both spatially and socially

Strategic choice

Do more of Do different things; the same do things differently

¨ The URP’s efforts to dedensify and upgrade overcrowded informal settlements are necessary to enable Khayelitsha to become a sustainable human settlement

¨ Efforts to improve transport infrastructure and coordination will serve to link Khayelitsha more effectively with Cape Town’s CBD

UUP-WRD-Khayelitsha Profile-301106-IS 98 Nodal Economic Profiling Project Business Trust & dplg, 2007 Summary Khayelitsha What needs to be done now?

Key observations from Khayelitsha

SSoolluuttiioonnss ttoo ccoonnssttrraaiinnttss // IInnvveessttmmeenntt ooppppoorrttuunniittiieess

§ The erection of decent housing in the area is a continuing priority

§ The transport infrastructure needs to be coordinated to increase the efficiency of public transport

§ The development of the transport node at Kuyasa should be based on Mitchell’s Plain’s Station Plaza in order to become a thriving commercial centre

§ Many businesses in Khayelitsha are highly informal, and assistance with formalisation would be helpful

Requires involvement of key stakeholders

¨ Urban Renewal Programme

¨ Municipal and Provincial Government

¨ Department of Housing and Local Government (DHLG), Cape Town’s planning and housing officials

¨ Community leaders

¨ Local people

¨ Private sector: potential developers

UUP-WRD-Khayelitsha Profile-301106-IS 99 Nodal Economic Profiling Project Business Trust & dplg, 2007 Khayelitsha Khayelitsha poverty node

z Research process

z Overview

z Themes

– Residential life

– Commercial activity

– City linkages

z Summary

§ Itineraries of field trips

z Appendix § Key stakeholders

§ Key documents

UUP-WRD-Khayelitsha Profile-301106-IS 100 Nodal Economic Profiling Project Business Trust & dplg, 2007 Appendix Khayelitsha Itinerary of field trips

TTrraavveell sscchheedduullee // LLooccaattiioonnss MMaaiinn aaccttiivviittiieess CCoommmmeennttss

¨ Arrived Cape Town 08h00 Monday, 16 October ¨ Met with URP team, travelled ¨ Khayelitsha is enormous and

Monday, 16 October ¨ 2006 Spent the day with URP around Khayelitsha overwhelming 2006 representatives ¨

¨ We are mystified as to how

¨ Meetings / interviews and spent Tuesday, 17 October Interviews in Cape Town CBD, Mitchell’s Plain can be a poverty Tuesday, 17 October time visiting the anchor projects in tour of Mitchell’s Plain node; it is well established and 22000066 Mitchell’s Plain suburban

¨ Tour of Khayelitsha with local tour

Wednesday, 18 ¨ Wednesday, 18 Khayelitsha, UCT guide, interviews in Khayelitsha OOccttoobbeerr 22000066 and UCT

Thursday, 19 ¨ ¨ Thursday, 19 UCT, Khayelitsha Meetings / interviews OOccttoobbeerr 22000066

¨ Travel plans for the second node

Friday, 20 October ¨ Friday, 20 October Office visit, setting up interviews, 22000066 consolidating information

Saturday, 21 October Saturday, 21 October n/a n/a n/a 22000066

Sunday, 22 October Sunday, 22 October n/a n/a n/a 22000066

UUP-WRD-Khayelitsha Profile-301106-IS 101 Nodal Economic Profiling Project Business Trust & dplg, 2007 Appendix Khayelitsha Itinerary of field trips (Continued)

TTrraavveell sscchheedduullee // LLooccaattiioonnss MMaaiinn aaccttiivviittiieess CCoommmmeennttss

¨ Travel plans for visit, setting up

Monday, 23 October ¨ Monday, 23 October Office interviews, consolidating 22000066 information ¨ ¨

Tuesday, 24 October ¨ Interviews – city centre and Conversation with local business Tuesday, 24 October Arrive Cape Town 10h00 22000066 Mitchell’s Plain owner was informative ¨

Wednesday, 25 ¨ Interviews – city centre and Wednesday, 25 City centre / Mitchell’s Plain OOccttoobbeerr 22000066 Mitchell’s Plain ¨ Thursday, 26 ¨ City centre / Mitchell’s Plain Meetings, tour of Tafelsig and Thursday, 26 Mitchell’s Plain with a particular ¨ OOccttoobbeerr 22000066 Fly back to 17h30 focus on gangs

Friday, 27 October ¨ Friday, 27 October UUP-WRD Offsite 22000066

Saturday, 28 October Saturday, 28 October n/a n/a n/a 22000066

Sunday, 29 October Sunday, 29 October n/a n/a n/a 22000066

UUP-WRD-Khayelitsha Profile-301106-IS 102 Nodal Economic Profiling Project Business Trust & dplg, 2007 Appendix Khayelitsha Key stakeholders, actors, information carriers

PPrriivvaattee sseeccttoorr // GGoovveerrnnmmeenntt PPuubblliicc sseeccttoorr LLooccaall ppeeooppllee NNGGOOss OOtthheerr BBuussiinneessss Thope Lekau Pieter (Local Tourguide Vanessa Watson George Penxa Clifford Sithonga Terreblanche & Guesthouse (Urban Planning) Owner) Kenny Brinkhuis Monwabisi Booi David Gretton Roger Behrens Sue Tosh (Informal (URP) (Housing) (Transport) Business) Ivan Anthony Zimlo / Zolile (URP – Mitchell’s Vusi Ndaba Norman Jantjies (LED) Plain)

Nicolette (Lliberty Andre Human Promenade)

Patrick Nquadini Dr Roomaney (URP – (Mitchell’s Plain Khayelitsha) CBD)

Simon Phankisa Riaan Van Eeden (URP) (MCA Planners)

Hanief Tiseker (LAED)

Alastair Graham (URP)

= have appointment = have met = key person, suggest to involve in future discussions

UUP-WRD-Khayelitsha Profile-301106-IS 103 Nodal Economic Profiling Project Business Trust & dplg, 2007 Appendix Khayelitsha Key documentation

AAuutthhoorr // TTiittllee MMaaiinn iissssuueess ccoovveerreedd YYeeaarr OOrrgg..

City of Cape City of Cape Town IDP Review x 2006/07 x Town

Socio-economic Profiling of Urban Renewal Nodes – Khayelitsha and x x 2006 x Mitchell’s Plain

Presidential Urban Renewal Programme x x x x Business Plan

Shared Learnings Document x x x x

Urban Renewal Spatial Development Framework for Khayelitsha and Mitchell’s x 2005 x Plain

Khayelitsha Market Research Study x x 2001 x (Market Decisions)

Do Retail Centres Enhance Township Economic Development? Lessons from Khayelitsha, Cape 1998 Town (Barnes)

Economic and Human Development Strategy 2006

tick if on file

UUP-WRD-Khayelitsha Profile-301106-IS 104