N2 Gateway Presentation Prepared for: Portfolio Committee on Housing Background • On 1 September 2004 • The Cabinet – • approved the general trust of the Comprehensive Housing Plan for the Development of Integrated Sustainable Human Settlements for the next five years and that Plan should be seen as work in progress to be continuously refined and improved upon; • noted that additional resources are required to implement the Plan subject to further discussions with the National Treasury; Minster TA Manuel • approved the immediate establishment on an Inter-Ministerial Committee (IMC) to be convened by the Minister of Housing to oversee the Plan; • requested all relevant Government institutions to assess the implications of the Plan, its effect on their relevant line functions and assist in the implementation of the Plan; and • approved that a comprehensive communication campaign be embarked upon to communicate the plan to the public Background • A COMPREHENSIVE PLAN FOR THE DEVELOPMENT OF SUSTAINABLE HUMAN SETTLEMENTS • the Housing Plan aims to embrace the new vision of the Government for the next five years. The new Plan would allow the Department to recast its responsibility and would allow for a redefinition of the role of the Ministry and Department from that of being responsible for policy formulation and oversight only in respect of low -cost housing to one that oversees the proper functioning of the entire residential property market and facilitation implementation where necessary. Through the new approach the Department would seek to remove duality in the housing market with a booming first economy housing market and stagnant second economy market; • a key focus of the Plan would be to promote the achievement of a non- racial integrated society. Thus, sustainable settlements are defined as well- managed living areas in which economic growth and social development are in balance with the carrying capacity of the natural systems on which they depend foe their existence, where non racial, mixed land use integration promotes sustainable development, wealth creation, poverty alleviation and equity; and Background • the new approach is based on the provision of basic shelter within the context of well serviced, integrated settlements that are well located, enjoy secure environments and facilitate good governance and better policing. In accordance with the Plan there would be greater participation in housing delivery by the private sector, especially the banking and construction sectors, greater economic activities including the greater extension of social infrastructure and amenities that would promote the creation of healthy communities “During the course of this year, in addition to accelerating the expansion of our housing stock to address the needs of the homeless, we will take concrete steps to ensure that housing development contributes to eliminating the duality of living spaces inherited from apartheid.” State of the Nation Address of the President of South Africa, Thabo Mbeki: Joint Sitting of Parliament 3 February 2006 “There is the complementary challenge of transforming the desolate landscape of townships and new housing settlements into sustainable and viable communities, whose riches speak for themselves, whose streets carry songs of laughter, whose character reflects our season of hope. In this Budget, we recognise the need to give greater impetus to investments in housing, in community infrastructure, in municipal services and in local economic development – not just as projects of government departments or municipalities, but as constructive partnerships that mobilise local enterprise, private capital, indigenous creativity.” Budget Speech 2005 Minister of Finance Mr. T A Manuel Piloting BNG through the N2, to realise the Second Decade of Freedom Tasks • Interventions required that will help bridge the 1st and 2nd Economies (single residential market) • Creation of a strong Developmental State • Addressing the scale and complexity of the housing challenge and accelerating the pace of delivery (tackling poverty) • Reverse the inherited spatial dysfunctionality. Responding to the Challenge of the Second Decade of Freedom’s Tasks • Housing as a spatial intervention to effect social change • Testing the institutional preparedness to deliver at scale • Mobilise institutional capacity of the State, the Social Development Partners and the Private Sector • Mobilise, coordinating and directing Public Sector funding / resources • Trigger wider change in the spatial economy of the Cities Rationale for N2 Gateway as the pilot for upgrading of informal settlements • Cape Town, historically the oldest City in South Africa; the seat of Parliament; with a history of overcoming the challenges of a divided City and in late apartheid, a City that actively discriminated against Africans. • Rapid growth of informal settlements located in areas prone to fire or flood disasters. • The City has one of the highest levels of TB in the world related to poor housing and environmental conditions. • Three spheres of government collaborating to pioneer a new approach to integrated and sustainable human settlements development through “learning by doing” • Developing new modes of urban development practice based on higher densities and the empowerment of the poor and marginalised through the provision of quality houses. • To test existing policy and through lessons learnt to enhance / amend such policies and give direction to new policies. The N2 Gateway Project, piloting the upgrading of Informal Settlements into the Urban Fabric A proposal for the development of communities, land and facilities bordering the N2 between Cape Town International Airport and the city centre City of Cape Town in partnership with the Provincial Government :Western Cape & National Department of Housing August 2004 The Spatial Context CT Int Airport Scope of the Project Borcherds Quarry Interchange Barcelona Airport Approach Road New Rest NY1 Kanana Apartheid Relic- “Buffer Strip” B u n g a A v en u e I in nstitu t tio e n r al & c NG h O’ a s n g e Langa & Joe Slovo Informal Athlone Complex Power Station Initiation Site Solid Waste Tranfer Station The N2 Project Objectives This integrated human settlement project will:- • Upgrade residents living conditions • Give access to – Choice ito tenure and housing typologies – Transport – Community facilities & social amenities – Employment opportunities • Reflect a new approach to the built, natural and cultural environments • Leverage private sector, donor and parastatal investment • Empower communities Partnership in Cooperative Governnance National Department of Housing Facilitating enabling legislation and linkages to Public Works, Land Affairs, DPLG, Treasury, Social Development, Poverty Alleviation, & others Provincial Dept of Housing Facilitating linkages to Housing, Transport, Safety & Security, Environment and Planning City of Cape Town Project development and implementation integrated across all departments Stakeholders Key Dependencies • Landuse Agreements. • Planning Approvals • Rapid assembly, alignment and release of funds • Reconfigured Human Settlements Redevelopment Programme •MIG • Housing Subsidies • Other Funding Sources including Private • Budget Reprioritisation at all levels Key Dependencies (cont) • Multi-year Funding • Sustained political support from all spheres • Sustained participation of beneficiaries & neighbouring communities • Protect land against unlawful occupation A Vision for Barcelona A Vision for Kanana A Vision for New Rest A Vision for Joe Slovo A Vision for Joe Slovo and Bunga I/C and Athlone The Synergies Epping Industria Joe Slovo New Rest, Kanana, Barcelona Airport Industria URN KYA URN MP Scope of N2 Gateway N2 Gateway Plan • Original land parcels earmarked for the N2 Gateway Project at its inception. • City of Cape Town retracted five (5) of the parcels viz. Epping, Erf 8448 (Gugulethu), Driftsands, Bardale & Ottery Social Development Services • Social Infrastructure – Multi-purpose centres – Sport grounds –Parks – Dignified spaces – Food gardens • Emergency Services –Police –Fire – Ambulance •Education – Schools –Creches • Economic and Human Development Construction • Building of freehold and rental units • Bulk earthworks and services • Community facilities and amenities • Primarily cement blocks and mortar • Three phases – Earthworks up to foundation and slab – Top structures – Landscaping, amenities and roads Joe Slovo Phase 1 Progress to Date • 705 complete and fully occupied • Full time caretakers on site • Full time maintenance staff on site • 24 security surveillance provided Challenges • Rent boycott by some tenants • Lawyers engaging with defaulters • Last resort – Eviction (CoCT has delayed the finalisation of lease agreement making it difficult to act on the eviction processes) Joe Slovo Phase 2 Progress to Date • Contract signed with FNB to produce 200 Affordable Housing units • 12 show houses are under construction Challenges • Resistance to relocation by Joe Slovo informal settlement dwellers is a critical delaying factor to the project • The court case will resume on 12 December 2007 wherein opposing parties will present their arguments for judgement • Delivery pace by FNB is retarded due to the pending court case on relocation of the Joe Slovo informal settlement dwellers Joe Slovo Phase 3 Progress to Date • The project will yield approximately 1,500 BNG units • Contractor is expected to establish on site within two (2) weeks to commence with site clearing