R1bn housing projects under threat from 'mafia' in Cape Town

The City of Cape Town says housing projects valued at about R1bn are under threat as gangs of mafia-like community members and extortionists repeatedly pounce and vandalise or destroy homes being built for thousands of beneficiaries across the city. 

Just in one week, the city’s R500m Delft Symphony Way project, earmarked for about 3,300 beneficiaries, was violently attacked twice. Contractors were shot at only for the construction site to be petrol-bombed a few days later. 

On Sunday Malusi Booi, the mayoral committee member for human settlements, launched a six-point plan to curtail sabotage aimed at city housing projects. The plan will include an injection of R15m funding to enhance security and increase monitoring of the projects, working with the police and the National Prosecuting Authority (NPA) to step up efforts to bring criminals to book and increase city law enforcement resources that will work on the ground to protect the projects. 

As part of this plan the city is also offering a R5,000 reward for information leading to arrests. People may give anonymous tip-offs to a toll-free number: 0800-1100-77. 

Booi said the multimillion-rand Delft project is just one of many building projects that had been targeted by criminals and community members who interfered in constructions of homes through intimidation, extortion gangsterism, threats and unlawful occupation of homes. 

The city had seen an “an increase in incidents of extortion, criminality and violence, unlawful occupation or forceful community disruption of housing units”.  

Booi said projects amounting to about R1bn are currently at risk.  

“We do not want to place our staff and contractors at added risk by going into too many details. Last year we also cancelled two civil contracts worth R140m at the city’s Beacon Valley project,” he said. 

“We can see many such incidents in communities across the metro where we are rolling out these critical human settlements projects but many are marred by increasing forceful community interference or intimidation, extortion and gangsterism, threat of unlawful occupation and general theft, vandalism and criminality.” 

Despite the challenges, Booi said these incidents hadn’t stopped the city from delivering services, and the human settlements directorate still managed to spend some 97% of its grant funding in the previous financial year.  

About R2.8bn had been allocated for human settlements over three years and the city has vowed to continue to safeguard the projects and protect rightful beneficiaries. 

“This shows our utter commitment to our communities and beneficiaries. All authorities, our communities and stakeholders must work together to ensure we can safely continue these projects that are to the benefit of the communities. We cannot allow criminals to stop the projects.”

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