PE projects worth R1.3bn delayed

Posted On Thursday, 08 October 2009 02:00 Published by
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The failure to process applications from developers in good time has resulted in projects in Nelson Mandela Bay worth some R1.3-billion being delayed.

By Patrick Cull

The failure of the Provincial Heritage Research Authority (PHRA) to process applications from developers in good time has resulted in projects worth some R1,3-billion in terms of the increase in capital value being delayed and annual rates of R13,2- million payable to Nelson Mandela Bay being forfeited.

In addition, according to a study by Rand International Capital compiled for the Mandela Bay Development Agency (MBDA), 1 185 construction jobs and 1 007 permanent jobs have not been created.

Among the projects that have been delayed are the Tramways Building which received a permit after 18 months and the Old Seaview Hotel where planned improvements have been placed on hold as a result of the economic recession.

The owners of the hotel are planning an upmarket residential block for private ownership. Also delayed is the redevelopment of the Port Elizabeth Club, to be occupied by advocates keen to relocate to a site closer to the Supreme Court in Bird Street.

The report notes that responsibility for implementation of the Act rests with the PHRA, “but ... there seems to be a complete breakdown of functions within the authority”.

There are, however, positive signs.

Last night, Bhisho DA caucus leader Bobby Stevenson said he had spoken to sport, recreation, arts and culture MEC Xoliswa Tom who had said that a PHRA council had been appointed and was operating.

Source: The Herald


Publisher: I-Net Bridge
Source: I-Net Bridge

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