Mayoral Mansion: SOLD! For R5.1 million to build 52 RDP houses 

23 November 2017

Greetings to auctioneers from High Street Auction;

All bidders present today;

Members of the Press; and

Ladies and Gentlemen

Thank you very much for affording me this opportunity, in my capacity as the Executive Mayor of the City of Tshwane, to address this auction currently taking place, mainly because one of the city’s properties is on the auction list.

We are pleased that this property has been sold for R5.1 million from a reserve price of R4.8 million. We were obviously hoping for more but we were aware of the value of the property.

Nevertheless this gives effect to our commitment to cutting on frills to focus on our core business, which is to provide services.

This means that we will be able to provide approximately 52 RDP houses inclusive of land and services.

This is indeed milestone.

Selling and disposing of the City’s properties should not be the norm, however, in this instance we were forced to do such. The DA-led multiparty administration made it very clear when we took office last year that we will prioritise the needs of the Tshwane residents and cut down on all things we deemed to be frivolous.

After being voted in as the political head of the City of Tshwane, I refused to move into the Mayoral Mansion because I have long maintained, even during my days on opposition benches, that corrupt activities took place with respect to that house by the former ANC administration.

I therefore thank the successful bidder for helping us help the people of Tshwane by taking this property off our hands so we may tend to our core business which is to help our people live a better life of dignity.

I equally thank all other bidders for showing interest in this property.

This comes after an investigation that found that at least R12 million was spent to “renovate” the house. Yet the latest valuation of the property indicates that it could be sold at a minimum of R5 million.

It was for that reason that we announced during the State of the Capital Address that the property will be sold in order to free up funds to embark on other meaningful projects for the people of Tshwane.

Given the market value of the property, it is unlikely that we will recoup all the money wasted on exorbitant renovations. However, the Mayoral Mansion is no longer needed for municipal purposes. The sale will generate income for the city that can be utilised to augment other basic municipal services such as decent housing opportunities and improve our financial sustainability.

In addition to this property being of little, to no, strategic value to the City’s core business of providing services; it is simply unaffordable for a city trying to recover financially from the previous administration.

Not only will the winning bidder be a ratepayer to the City of Tshwane but you shall enjoy the city’s hospitality. The property is positioned in a lovely suburb in the city with easy access to the N1 Freeway and the R21 to the O.R Tambo International Airport.

The suburb of Muckleneuk, home to some of the Diplomats, is a walking distance to UNISA. When it comes to attractions: it is close to a number of sites rich in heritage, like the Union Buildings, Freedom Park, Church Square and the Voortrekker Monument. Pretoria’s Zoo is a day’s outing well worth the quick trip into and across town, and for rugby and soccer fans; Loftus Versveld Stadium is also within easy reach of Muckleneuk.

And lastly, credit goes to the City Council for adopting and approving the report on the proposed sale of the five bedroom house.

Thank you.

Issued by Samkelo Mgobozi, Spokesperson to the Executive Mayor of Tshwane, 23 November 2017