R48.9m Joshco social housing project in Booysens still unfinished three years on

More than three years after Johannesburg Social Housing Company (Joshco) awarded a R48,968,713.20 contract to convert a building at 57 Mentz Street in Booysens into 40 social housing flats, the property remains a construction site, with windows missing and shopfronts covered in shade cloth.

Joshco's performance report to June 30 shows none of the 40 flats completed and the project 45 per cent complete, with R27.86 million spent including professional fees. The report cites the contractor's lack of financial capacity among the reasons for delays, and the completion date has been pushed back twice. Joshco said practical completion is now expected in December, subject to site conditions.

The contractor, Downtown Spares CC, is owned by Mario Francis. Company records show Francis has held a 100 per cent stake since the close corporation was registered in August 1997. The Electoral Commission's party funding disclosures list two donations of R190,000 each from Downtown Spares CC to the Patriotic Alliance on October 27 and November 10, 2023.

Joshco confirmed Marilise Francis served as a non-executive director on its board from March 1 to August 31, 2023. The contract appears on Joshco's register of tenders awarded between July and September 2023, and the company did not give the date on which it was awarded.

Acting chief executive Katlego Ditshego said bids were evaluated and adjudicated by duly constituted committees acting in accordance with institutional governance protocols. Joshco said all directors and committee members must declare conflicts of interest and recuse themselves, that it does not comment on personal or family relationships, that capital contracts above R5 million are subject to independent probity audits and that it is not aware of adverse Auditor-General findings. The City of Johannesburg is Joshco's sole shareholder and appoints its board.