The Western Cape government has defended its decision to allow the sale of the Tafelberg site in Sea Point.
This follows National Treasury’s statement clarifying it never instructed the province to sell the Tafelberg Remedial School site to raise revenue.
The provincial government says Treasury seems to have relied on media coverage for its view that the decision was solely based on Treasury’s directives for “fiscal austerity” and “revenue enhancement.”
The property will be sold to the Philis Jowell Day School despite calls for the land to be used for affordable housing.
In a written response to Treasury, the provincial government states there were a range of reasons behind the decision to allow the sale of the Tafelberg site, not only Treasury’s directives.
The provincial government states it finds Treasury’s communication “peculiar” as the Finance Ministry is aware of the budgetary constraints and challenges facing governments across the country.
It adds the decision was based on extensive research, including affordability risks, the current pipeline for affordable housing in Cape Town and legal advice from senior counsel.
Provincial government says affordable housing initiatives include pipeline projects worth R3.2 billion and the Better Living Model Game Changer, which is a mixed-use, mixed-income project in Pinelands.