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City of CT to develop policy for inclusive housing

The policy could ensure developers include social or affordable housing in future residential projects.

FILE: The City of Cape Town’s Suzette Little joins Hangberg protesters who are demanding land for housing. Picture: Kaylynn Palm/EWN

CAPE TOWN - The City of Cape Town will for the first time embark on a process to establish housing policy that enforces inclusivity.

The policy could ensure developers include social or affordable housing in future residential projects.

NGO the Development Action Group (DAG) says it could take up to nine months to get a draft policy before council.

A proposed inclusionary housing policy could see local government become a bigger player in the urban housing sector.

At this stage, the city is still developing a formula to determine the social or affordable housing component to be taken on by developers, taking into account the land value and development cost.

Social housing activists, like the Development Action Group, are cautiously optimistic.

DAG's Helen Rourke-McGregor hopes the proposed policy also addresses the idea of land value sharing and air rights which attaches value to the space above buildings.

“It’s choosing, in this instance, to say we want to use that value to be able to supply inclusionary housing. It's a very progressive move from the city's side to actually have adopted this because they're recognising that they actually are a player in the urban land market.”

The proposed requirement for inclusionary housing won't affect existing property or development rights but will only apply where developments are seeking additional rights.

(Edited by Shimoney Regter)