More woes for R200m Bridge City housing project
12-11-2024
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Durban — The much-anticipated multi-million rand Bridge City Housing Project continues to suffer woes, including financial setbacks that threaten more delays.
Launched in 2019, the R200 million project, which was supposed to deliver 365 units, was expected to be completed in December 2022.
However, construction has faltered, with the sluggish progress that has left the project less than half-complete nearly five years after its launch.
The project is now expected to be completed in 2026, leading to mounting public outcry.
Mduduzi Ncalane, communications manager for the eThekwini Municipality, distanced the city from the issues besetting the project.
“The building project is private and was not initiated by the municipality and all the reasons cited in the report show that the municipality is not involved. The municipality’s role with this project is/was limited to only providing a letter of support in line with the social housing principles,” said Ncalane.
He stated that the city’s involvement was limited to providing a letter of support aligned with social housing principles.
Ncalane also stressed that the municipality’s role was to facilitate social housing and ensure that suitable land for development is accessible.
In response to the delays, the DA has voiced strong criticisms of the ANC-led municipality, demanding clear answers regarding the hold-ups.
DA councillor Zamani Khuzwayo, the party’s spokesperson on housing, following an oversight visit, expressed dismay after discovering that fewer than 20 workers were on-site, with some construction equipment allegedly left neglected and rusting.
“We will continue to pile up the pressure on the city to provide valid answers to the delays of the completion of this project,” he told Daily News.
“It would seem they are in no rush to finish the development,” he said.
He alleged that some workers had not been paid for months – a claim the Daily News could not independently verify.
Seeking transparency, the DA planned to invoke the Promotion of Access to Information Act (PAIA) to get information out of the municipality on what exactly has caused these delays.
The fortunes of the project took a downturn in late 2022 when the original developers, Calgro M3, withdrew due to threats from local construction mafia groups.
Following their exit, the project has been handled by Instratin (PTY). CEO Muvhango Netshitangani indicated that financial complications have been exacerbated by the withdrawal of the Development Bank of Southern Africa (DBSA) from funding the project.
“The DBSA’s withdrawal resulted in the Social Housing Regulatory Authority (SHRA), which had been making progress payments during construction, indicating that the CCG Financial Closure, which had been met early in 2022, had ‘regressed’”, he said.
This withdrawal, he said, caused setbacks related to existing financial commitments, leading to stagnation in construction efforts.
Despite these difficulties, Netshitangani expressed some optimism, stating that “in the absence of further delays,” the project’s final phase could see completion by August 2026.
Yet, the path forward remains fraught with uncertainty and increasing scrutiny from the public and political actors alike.
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