NATIONAL HUMAN SETTLEMENTS INDABA:

N2 Gateway Project, Cape Town

Western Cape Human Settlements Minister Bonginkosi Madikizela

16 - 17 October 2014

Presentation Structure

Partners

Background

Planned Housing units

Target Areas

Units Completed to date

Total Spent

Project Funded

Stakeholder Scope

Challenges

EPWP Programme

Lessons learnt

N2 Gateway Partners

N2 Gateway Contractors

Background

The N2 Gateway Project was approved by National Cabinet on

18 August 2004 as a pilot and lead project in the “Breaking New

Ground (BNG)” strategy.

With the dawn of the new housing strategy in 2004 – “BNG” – the

N2 Gateway Project was conceived as a pilot geared to deliver

housing opportunities with the attendant social facilities and

amenities.

This was to be achieved in two phases – currently still in phase 1.

Planned Housing Units

The project intends to provide housing units for residents of the

informal settlements along the N2 Freeway.

The basic essence was that 22’000 housing opportunities across

the subsidy ranges were envisaged.

Target Areas

Phase 1: Total planned housing units = 16’083

DELFT SYMPHONY

(Phases 1-6)

6139 units

DELFT

(Phases 7-9, 601)

4491units

JOE SLOVO

(Phase 1 - Langa)

705 units

(Phase 2 - Langa)

49 units

(Phase 3 - Langa)

2639 units

BOYSTOWN

(Crossroads)

1392

NEW REST

668

Joe Slovo: Phase 3

After

Before

Joe Slovo: Phase 3

Under construction

Completed units

Boystown, Crossroads

Before

After

Delft 3 &5: Alternative Building Technologies (ABT)

Before

After

Delft 3 &5: Alternative Building Technologies (ABT)

Under construction

Completed units

N2 Phase 2 Project: Target Areas

PHASE 2

Site 1 Site 2 Site 3

• Eerste River:

Penhill• Gxagxa

• Kanana• Barcelona

• Europe

• Vukuzenzele

• Lusaka

• Kosovo

N2 Informal Settlements

N2 PHASE 2: Prospective Beneficiary Communities

Cape Town N2 Informal Settlements & Relocation Sites

Target Areas

The land was identified and contractually given to the Province

for development by the City of Cape Town – reference to LAA.

The N2 Gateway project comprises a number of individual land

components that are not adjacent to each other – that have

been developed as a human settlement project with the inter–

correlation being the relocation to accommodate informal

settlement and backyarders of various communities spread

across the Cape Town metro area.

Continued …

N2 Phase 1 Project: Units Completed To Date

Planned 16 083

Handed over 11 437

In-progress 4 646

N2 Phase 1 Project: Total Spent and Funding

Total Spent

- R1 913 262 572 (R,9 Bn)

Project Funded

- NDoHS: 100% funding of housing subsidies

STAKEHOLDER ROLE PROGRAMME IMPACT

National Department of

Housing

Programme

Sponsor/Chairperson

Funding of Housing Subsidies

Government of Western

Cape

Developer Funding (Top structures and

Internal Services)

Development of bulk services

infrastructure

Development of Top structure

HDA Programme-Project

Manager

Project and Beneficiary

Management as the Agent of the

Province.

NHBRC Homebuilders Regulator Project Enrolment

Quality assurance on built top

structures

DEADP Electrification Funder Electrified Human Settlements.

Implementing Agents

(Contractors)

Construction Construction of infrastructure and

top structure to meet minimum

specifications and requirements.

Community/Interest

Groups

Beneficiaries 100% Community and interest

groups buy-in

Stakeholder Scope

Challenges

Interference by anti –development factions.

Resistance of community to relocate out of construction areas.

Numbers of units available are less than the number of qualifiers.

Identification of additional greenfield land for development.

Ensuring the all parties from the community actively participate in

the development processes.

Relocation of non-qualifiers and excess qualifiers.

Non-qualifiers rejecting relocation to the temporaryaccommodation.

Excess people in projects refusing to relocate out of construction

areas.

Expanded Public Works Programmes (EPWP)

YEAR TARGET WORK OPPORTUNITIES

2012/13 2200 2375

2013/14 248 1181

Lessons Learnt

The interaction with community members and community

structures was clearly the biggest lesson leant on the N2

Gateway. Communities are to be viewed as sophisticated and

well versed within their structures.

Strong political will on the part of government is an essential

cornerstone for informal settlement upgrading, which must be

matched by an equally strong buy-in on the part of

communities

Continued …

Lessons Learnt

Alignment of the 3 spheres of government is critical from the

beginning.

Relationship between partners should be underpinned by

agreements that clearly define different roles, including

accountability.

The identification and securing of sufficient land should be

finalised prior to construction.

Continued …

Lessons Learnt

It is critical to ensure that the funding streams are secured prior

to implementation.

Concluding the selection of beneficiaries is critical before

embarking on construction.

In order to achieve sustainable human settlements, it is

imperative to have reliable and current information about the

community.

Continued …

Lessons Learnt

There is value in building the capacity of the communities in the

engagement process, so as to not only nurture their skills of the

engagement, but also to understand the technical issues.

In-situ upgrading is preferred to relocation in recognition of

social and economic dynamics – the economic and social

disruption costs are high.

There is an inherent paradigm shift from building of single familydwellings towards higher densities as a means to minimize

relocation.

Continued …

Lessons Learnt

Informal settlement does not mean uniform housing products –

communities rarely have homogeneous housing needs. The

diverse vested interests have to be accommodated.

The housing needs of tenants (as secondary beneficiaries) have

to be balanced against those of landlords (as primary

beneficiaries) within a striving rental market.

Thank you