Empty Khayelitsha land to be developed at last

Eight years after a commitment to build houses there, the Thembokwezi site in Khayelitsha is still empty. Photo: Ashraf Hendricks

GroundUp reported last year that Old Mutual had not kept a 2008 promise to build more than 500 low cost houses and a shopping centre on the land.

The promise was part of a deal with the City, involving the purchase by Old Mutual of City-owned land for the Portside development in the city centre.

The original agreement was for retail space and housing. But in 2011 Old Mutual told the City that because of other retail developments close by, the shopping centre would not be viable, suggesting that 500 housing units be built. The KDF objected, insisting on the shopping centre.

In January 2015 Old Mutual asked the City to reduce the number of houses from 500 to 250.

Ian Neilson, the city's deputy mayor, confirmed to GroundUp that progress had been made in talks with Old Mutual and the KDF and said the city council would soon be asked to approve a project involving both retail and housing on the land.

Consultant Thando Siwisa said on behalf of Old Mutual, that plans were “progressing well”.

He would not say how many houses would be built. But according to the minutes of a meeting last September attended by representatives of the City, Old Mutual and KDF, those involved appear to have compromised on 280 houses and a shopping centre.