Rights commission moves to block transfer of 49 Cape Town municipal properties sold at auction
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The South African Human Rights Commission has asked the Western Cape High Court to interdict the transfer of 49 City of Cape Town properties sold at a public auction in February, pending a review of whether the disposals breached housing and public participation duties.
The South African Human Rights Commission (SAHRC) has filed legal proceedings against the City of Cape Town at the Western Cape Division of the High Court to interdict the transfer of 49 municipal properties sold at a public auction in February, until a review of the City’s decision has been conducted.
The commission said it raised concerns about the sale of municipal property while Cape Town faces an affordable housing shortage and persistent spatial inequality, and questioned whether the City had considered using the properties for affordable and social housing before putting them on the market. It also argued that the proposed disposals were not subject to legally enforceable conditions requiring buyers to provide affordable or social housing, and questioned the adequacy of the public participation processes the City relied on.
The SAHRC said it met Executive Mayor Geordin Hill-Lewis in February to raise its concerns and to request a postponement of the auction until further engagement and consideration of the constitutional implications of selling the properties. The request was declined and the auction went ahead, prompting the court application. Alongside the interdict, the commission is seeking an order requiring preservation of relevant documents.
The commission wants the court to declare the City’s decision to auction the properties unconstitutional, unlawful, irrational and invalid. It contends that the decisions failed to comply with constitutional and statutory obligations concerning housing, spatial justice, public participation and the disposal of municipal assets.
In February the City announced it had sold 50 diverse City-owned properties, including the landmark Good Hope Centre, arguing that the sales would boost job creation and economic growth across the metro. The auction drew controversy after Pastor John Anosike of Spirit Revelation Ecclesia said his church had bought the Good Hope Centre for R135 million. Political organisations and lobby groups, including the GOOD party and a Khoi-San group, criticised the disposals, with GOOD arguing the City was auctioning property for less than its valuation.