Nick Wilson

Property Correspondent

DEVELOPMENT of a property-transformation charter has been thrown into disarray with the South African Institute of Black Property Practitioners saying yesterday it was pulling out of the process.

Andy Tondi, a member of the institute’s executive committee, said commercial property association Sapoa was "sabotaging the property charter process" and that the institute believed "Sapoa wants to dominate the entire process and run the charter" on its own.

Sapoa’s wish to bypass fund-raising procedures it had previously consented to, and instead seek funding directly from its members, caused the breakdown, said Tondi, who is also chairman of the property-sector transformation committee charged with drafting the charter.

Tondi said the committee had previously agreed that "individuals and stakeholders, especially major companies" would be approached for funding by the charter committee.

Sapoa, however, later sent out a letter telling its members on the committee that Sapoa’s contributions would be managed by it, and not by the transformation committee.

Tondi said he would resign from the transformation committee and the institute would continue the property-charter process on its own.

Sapoa said in January it would cover the shortfall in costs related to drafting the charter, and pay up to R500000 in consultants’ fees.

Sapoa chief operating officer Neil Gopal said the property association’s 860 members had told it they were committed to participating in and funding the property charter process.

"It was our members request that their funding be channeled through Sapoa’s account, for audit and administrative purposes," said Gopal, who said it was "sad" that Tondi did not speak to Sapoa.