Property developer slams City of Cape Town over R1 million penalty fine, says 'it's drastic'

The 22-unit apartment building at 36 Moreson Street in Bellville. The City of Cape Town has enforced a record R1 million penalty on the unauthorised 22-unit apartment building in Sunkist, Bellville. Despite multiple warnings and legal actions, the developer continued construction and tenanting without necessary approvals. Photo: Henk Kruger Independent Newspapers

The 22-unit apartment building at 36 Moreson Street in Bellville. The City of Cape Town has enforced a record R1 million penalty on the unauthorised 22-unit apartment building in Sunkist, Bellville. Despite multiple warnings and legal actions, the developer continued construction and tenanting without necessary approvals. Photo: Henk Kruger Independent Newspapers

Published Jun 12, 2024

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Cape Town - The property developer fined R1million for building an apartment block in a residential area says the penalty imposed by the City of Cape Town was exorbitant.

On Monday, mayor Geordin HillLewis upheld the City’s Municipal Planning Tribunal’s decision to impose the record penalty for unauthorised building work.

The penalty relates to a developer, Steven Kampies of Ijumba Properties, building a 22-unit apartment building where only a single dwelling is permitted. According to the City, the owner deviated from approved building plans, contravened the title deed restrictions and the development management scheme and permitted occupation of the building.

“In the court order of October 2023, the owner is permitted to make an application for an administrative penalty, all relevant departures and land use approvals and then building plan approval.

“In the event that he is not able to obtain building plan approval, or part of the building remains unapproved, the owner must demolish that portion within a specified time period. There is also an eviction provision.”

Hill-Lewis said: “The building, which includes two storeys of apartments, covered parking and a refuse room, is located in Sunkist, part of the Oakdale suburb in Bellville, and encroaches on neighbouring properties. The site is currently zoned for Single Residential 1 (SR1), which permits only a single residence and related buildings covering not more than 50% of the site.

“Despite the City ordering a stop to construction in September 2022, the developer continued not only building but also tenanting the unauthorised apartment block.

“Occupation of such a building poses a safety risk to tenants without the necessary safety and building plan approvals, land use rights, and occupation certification.”

The developer’s lawyer, Martin Green, said his client had been hoping for a slap on the wrist. “Building alterations and work were done on his premises, the plans were initially approved, but he made some drastic changes to it. The other necessary applications were not approved yet.

“My client thought it would be applied after, retrospectively approved and that he would pay a penalty and it was not maliciously done. The building is not substandard. We didn’t expect the penalties to be exorbitant and drastic. This is a high fine and he can’t afford it. If he pays the fine it will mean he’ll pay double for the extra refurbishment and we were hoping the fine would be about R150000.

“The developer did this for the revival of the Oakdale area, which needs upgrading and new investment. We want to state that we never intended to fight with the municipality.”

The mayor said the developer must also comply with all lawful processes regarding the unauthorised building under the City’s Development Management Scheme.

“Should the criteria to regularise the building work not be met, this may result in the City approaching the court for a demolition order.”

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Cape Argus