5 May 2008

By Emily Visser

IT'S all systems go for one of the biggest housing developments ever to be undertaken in Johannesburg. And for the first time, an intensive agricultural component will form part of the project.

Lying to the extreme west of Soweto, Lufhereng will eventually house more than 20 000 families and create a potential 10 000 jobs through the agricultural hub. The first phase of the new Lufhereng township, previously known as Doornkop Greenfields, is expected to start within the next month or two, project manager Charles Davis has confirmed.

The business plan for the greenfields project was approved by the Johannesburg City council on 24 April and ground is expected to be broken in June or July this year.

"The [approved] business plan demonstrates a yield of plus-minus 24 000 housing opportunities varying in size, typology and tenure type and will address a broad spectrum of income earners," said Davis.

The first phase will start with the installation of major bulk and internal services. This includes water, sanitation, roads and storm water drainage, but no energy infrastructure.

The provision of bulk electricity remains the biggest challenge, according to Davis. It is hoped that in the coming month clearer commitments will be given by City Power and Eskom. Despite this, work, which includes a town planning application for phase one, is forging ahead on the multiphased, mixed-income township.

Following the bulk infrastructure phase, the first 1 150 fully subsidised houses for phase one A and B will be built by the Gauteng housing department's appointed contractor, Gamont Developments. The business plan predicts that about 1 500 housing units will be delivered a year.

And there is hope for those households who do not qualify for social housing but whose income also excludes them from the bonded housing market. Joburg's housing department is preparing a strategy that will call on private sector developers for the provision of housing at the lower-end of the bonded market, said Davis.

"The strategy will attract developers and financial institutions that have limited access to land to provide housing units for the middle to lower income, currently known as the credit-linked market."

It will, in part, deal with the housing needs of households whose incomes do not allow them to qualify for full housing subsidies - "households earning between R3 500 and R9 999 a month".

The majority of the housing will consist of free-standing homes, while about 8 000 units will be rental stock and social housing of a higher density. "The housing typology is guided by the business plan, which proposes 50 percent of houses to be fully subsidised, 30 percent to be credit-linked and 20 percent fully bonded," Davis confirmed.

It is expected to take about 10 years to complete the project, which will take place in three phases. Once completed, the township will not only boast various housing typologies but also a range of social amenities and supportive infrastructure.

The area consists of more than 1 800 hectares of agricultural land that belonged to public and private stakeholders. Much of the land has been transferred to the City of Johannesburg, with privately held land bought on the willing-buyer-willing-seller principle. The Joburg Property Company (JPC) was responsible for concluding the agreements with the private land owners.

After a branding process involving all the project stakeholders in the City and the provincial government was completed, the name Lufhereng was decided on for the township. Derived from two Tshi'Venda words, the combined word refers to a place where people come together with a united commitment.

Of the 110 000 or so people expected to live in the new township, a large proportion will be of school-going age. The business plan, therefore, makes provision for the establishment of 14 primary schools, six secondary schools, two day-care centres and about 45 crèches. There will also be seven community facilities, two primary healthcare clinics and one community health centre.

The City and the project office are working on unlocking grants and funding from various government departments to ensure that the schools and clinics are developed at the same time.

An agricultural hub, consisting of about 1 900 small agricultural lots, will be initiated as part of the overall development plan. Agriculture has been identified by the City as a viable economic driver and job creator. The agri-hub has the potential to unlock up to 10 000 jobs through farming and production-related activities, Davis confirms.

As part of this initiative, the City's economic development department, the JPC and the Gauteng department of agriculture conservation and environment will jointly formulate an implementable business plan.

Davis says that this is the first time a housing project is being developed in a manner that will integrate intensified agricultural activities that will hopefully become an economic catalyst for the region.

Apart from certain budgets being made available by the City for bulk infrastructure, the Gauteng department of housing will fund the construction of fully subsidised top structures and internal services. These budgets have been made available, said Davis.

The Lufhereng development is a joint initiative between the City of Johannesburg and the Gauteng department of housing, and has a total investment value of almost R7,9-billion over a proposed development period of seven to 10 years. The two have jointly created and staffed a project office, in Braamfontein, dedicated to the project.

It is managed by Davis and a small support team.

Source: Joburg.org.za