Setšhaba
Letlotlo la
Setjhaba
PRESENTATION OF THE
Ons Erfenis
PROPERTY PORTFOLIO OF SAHRA TO THE
Ilifa Lesizwe
PORTFOLIO COMMITTEE
11 AUGUST 2015
Lifa Lesive
Ilifa Lesizwe
Ifa la Lushaba
Ilifa Lesitjhaba
Ndzhaka ya
Rixaka
Presented by:
Ms Veliswa Baduza
Chief Executive Officer
Parliamentary Precinct
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andand
Culture
Culture
Bohwa bja
Setšhaba
Heritage for the
Nation
Contents
1.
2.
3.
4.
5.
6.
Purpose
Introduction
Composition
SAHRA’s Property Portfolio
Properties with a Potential for Revenue Generation
5.1 Fishermans Cottages – Struisbaai
5.2 Daljosafat Farms - Paarl
5.3 Welcome Cottages – Simons Town
5.4 Posthuys – Muizenburg
5.5 Valkenburg Manor - Observatory
Conclusion
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Tuynhuys
Purpose
The purpose of this presentation is to brief the Portfolio Committee on the
performance of the Property Portfolio of SAHRA as well as the planned
maximization strategy.
Union Buildings, photo by R Aspeling
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Introduction
•
SAHRA is established in terms of the National Heritage Resources Act No.25 of 1999 (NHRA)
which outlines an integrated interactive system for the management of the national heritage
resources of South Africa
•
As the implementing agency of the Department of Arts and Culture, SAHRA plays a critical role in
the identification, conservation, protection and promotion of our heritage resources for the
present and future generations
•
SAHRA currently has a property portfolio of 36 buildings, cemeteries and memorials which are
considered to be of historical importance. These properties were donated to the National
Monuments Council and the Historical Monuments Commission (the predecessors of SAHRA) by
the State and other institutions and individuals. The properties were typically donated to ensure
their continued protection and to prevent them from being demolished.
•
Following a thorough analysis and understanding of the each Property, SAHRA developed a
property maximization strategy which will provide a sound business case for rehabilitating the
heritage sites while at the same time deriving socio economic values.
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Composition of Properties
The Portfolio of 36 Properties across 8 Provinces consisting of:
•
3 burial sites
•
3 open sites;
•
15 monuments
•
15 buildings
Western Cape Properties
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5
SAHRA Property Portfolio
WESTERN CAPE
Name
Town / District
Type and Use
1 Woutersen Wessels Vault
Green Point
Burial Vault
2 Old Granite Lodge and
extensions
3 Valkenburg Manor House and
Outbuildings
4 Van Riebeeck’s Hedge
5 De Posthuys
6 Welcome Cottage
7 Hugo Family Vault
8 Dal Josafat Cottages
9 Kleinbosch Cemetery
10 Odendal School
11 Old Groenberg School
12 Erf 56 Vacant Plot
13 Erf 255 Vacant Plot
14 Fisherman’s Cottages
Cape Town
SAHRA Head Office
Observatory
Leased Building
Bishpos Court
Muizenburg
SimonsTown
Simons Town
Paarl
Paarl
Paarl
Wellington Distr
Tulbagh
Tulbach
Struisbaai
Open site
Monument
Leased Building
Burial Vault
Leased Building
Burial Ground
SAHRA offsite office
Building
Open site
Open site
Leased Building
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SAHRA Property Portfolio
Name
Town
Type and Use
Eastern Cape
1.
2.
3.
4.
5.
6.
The Lookout
Kirkwood District
Old Congregational Church
Cradock
Mooimeisiesfontein(Piet Retief’s house) Riebeck East District
Old Gaol
Grahamanstown
Old Residency and outbuildings
King Williams Town
Garden of Remembrance
Aliwal North
Monument
Building
Building
SAHRA Office
Building
Monument
Free State
1. Burger’s Monument
Edenburg District
Monument
Kimberley
Building
Potgietersrus
Polokwane
Soutpansburg
Monument
Monument
Monument
Northern Cape
1. The Union Masonic Temple
Limpopo
1. Moorddrift Monument
2. Old English Fort, Marabastad
3. Verduin Ruins
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SAHRA Property Portfolio
North West
1.
2.
3.
Name
Old Powder Magazine
Old Fort and Cemetery
Site of Dr Livingstone’s House
Town
Potchefstroom
Potchefstroom
Marico District
Kwa Zulu Natal
1.
Old Fort
Durban
2.
Blarney Cottage
Richmond
3.
Birthplace of General Louis Botha Umvoti District
4.
Spioenkop Battlefield
5.
Elandslaagte Memorial
6.
Piet Retief’s Grave
Mpumalanga
1.
Mapoch’s Caves
2.
Krugerhof
Type
Monument
Monument
Monument
Monument
Vacant Building
Monument
Ladysmith
Kliprivier District
Vryheid
Monument
Monument
Monument
Middleburg District
Waterval Boven
Monument
Building
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Properties With Potential For Rehabilitation
And Revenue Generation
The properties below have been determined as having the potential for significant
economic and social impact to the Country. These Properties could potentially provide
sustainable revenue to the Agency at the same time creating job opportunities by
providing community projects such as substantive farming, Arts & Culture hub,
hhotels, crèches etc.
No.
Name
Town/ District
Western Cape
1
Fisherman’s Cottages
Struisbaai
2
Dal Josafat Farms & Onderdal School
Paarl District
3
Welcome Cottage
Simon’s Town
4
Het Posthuys
Muizenburg
5
Valkenburg Manor
Observatory
Eastern Cape
6
Old Gaol
Grahamstown, EC
7
Old Residency and outbuildings
King William’s Town,EC
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Fisherman Cottages – Struisbai
In the early 1980, the cottages were in a
state of disrepair, and the then NMC entered
into leases with eight tenants on a long term
(25 years with the option to renew for
another 25 years) basis at nominal rent of
R1 per annum.
The lessees were responsible to rehabilitate
the cottage at their own expense and also
responsible to pay a one ninth share of all
levies and amounts payable to the local
authorities and the cost of restoring and
maintaining the properties.
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Fisherman Cottages – Struisbai cont.
Struisbaai is a small seaside town with arguably one of the longest sandy beach in South Africa, but also
one of the safest swimming beaches, with water from the warm Agulhas current.
Current Use
•
•
•
Out of the 8 Cottages, 3 have been cancelled due to the fact that the Lease Agreements were never
renewed in the 2006 for a further 25 years as allowed in the lease agreements.
The lease agreement states that the cottages are leased at nominal rent, subject to the lessees
restoring and maintaining the cottages and contributing to the rates and taxes and maintenance of the
properties.
Legal advice was sought for the other 5 Cottages for the possible termination of the long term leases
entered into in previous years. Attorneys have been approached from those available in the area of
Bredarsdorp, near Struisbaai, to institute eviction proceedings at Court in the District of Bredarsdorp.
Future Use
•
The existing buildings will be restored to a standard determined by the relevant authority, then utilise
them for administration, educational or commercial purposes.
•
16 cottages new Cottages could be erected on the property (8 on Erf 1400 and 8 on Erf 1401, subject to
confirmation by Cape Agulhas Municipality and rezoning) built in a style to replicate the design of
original that of the fisherman’s cottages.
•
These cottages must be equipped with standard accepted equipment in the timeshare/ self catering
industry and should be graded by a relevant authority for time to time.
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Struisbaai from this currently...
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...to this after development
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13
Dal Josaphat Farms
Potential Community Projects
Parameter Fencing to be erected
Extent of the site
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Rehabilitation Plans for the Dal Josafat
•
In 1981, the separate farms situated east of the Roggeland Road, including the 173ha of deproclaimed land, and a
further 59ha of land west of the road, were consolidated as Erf 1341 and transferred to the Department of Public
Works. In 1985, consolidated erf 1341 was declared a national monument in terms of the National Monuments Act
1969 (Act 12 of 1969, now repealed). It was transferred from Public Works to the National Monuments Council
(now S A Heritage Resources Agency or SAHRA) by means of a Deed of Donation a year later
•
There are 14 buildings on the Daljosaphat farms that are of significant heritage value, however the practice of
renting them out for long term residential purposes has allowed for the degradation of the buildings, both internally
and externally and significant sums of money will have to be spent to restore these buildings
Future Plans
•
Create a commercial “Heritage Village” by utilising the existing buildings, landscape and infrastructure. Convert,
where possible, all the “Manor Houses” into Accommodation Establishments, Spas or Wellness Centres and
convert their larger outbuildings into Conference and Function Facilities, restaurants.
•
The other buildings can be utilised for Reception, Administration Offices, Heritage Information Centres, a Library,
Delicatessens, Wine Tastings, Curio Shops, Art and Craft Shops and Art Studios. Short term residential (hotel),
educational or commercial purposes.
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Welcome Cottage -Glencairn, Simonstown
In 1810, HE Brand, Deputy Fiscal at Simon's Town
petitioned the Cape Government for the lease of a
piece of land. The farm was granted formally to
Brand in 1811 for a 15 year period and its main
product was vegetables. Welcome Cottage was
built between 1812 and in 1822 a new grant was
issued to Brand. The property was later acquired
by Mr F B Pinney, then Sub-Collector of Customs
at Simon's Town and in 1871 it was bought by
Mrs N Albertyn (nee De Villiers). It was passed
down through the De Villiers family until the
property was acquired by the Ministry of Defence
in 1974 or 1975. The transfer of the property to the
NMC was agreed to in 1979.
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Welcome Cottage -Glencairn, Simonstown
The leases on both these properties have expired and have not been extended. Letters of
intention to cancel have been sent to both tenants who occupy the converted stables and the
outbuilding, advising them of at SAHRA intention to renovating the building.
Future Use
Due to the location of the Property, it is proposed that the property is renovated with the intention of
converting it to one of the following: an upmarket Spa and Wellness Centre, an upmarket guest house,
or a themed restaurant, which would serve not only the tourist trade but also for the estimated 1200
local residents. The establishment could either be rented out in its entirety, or managed by an
experienced Manager employed by SAHRA. The outbuildings can be used as additional rooms,
administration offices, laundry and manager’s accommodation.
Alternatively, the property could be converted into office space and be utilised for a small training
academy, medical practitioner offices (doctor, physiotherapist, chiropractor, or occupational
therapist), or as a day care centre.
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17
Posthuys in Muizenburg
Inside of the Museum
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Posthuys in Muizenburg cont.
First recorded on a map in 1687, the actual origins and history of this building are still a subject of debate,
(as dates vary between 1662 and 1673) but it is thought to be the 2nd oldest building in the Cape after
the Castle, and the oldest in False Bay.
In 1662, due to the imminent outbreak of war between the Netherlands, the site on which Het Posthuys is
situated, was chosen for the erection of a watch post to guard False Bay in case of attack. The building,
part of a larger barracks complex, was built by the Vereenigde Oost-Indische Companies (Dutch East
India Company or VOC) between 1663 and 1673, it was presumably used as a lookout point for enemy
ships entering False Bay and as a signal station by the VOC during the Dutch occupation of the Cape.
The property is located on Erf 94323 at 180 Main Road, Muizenberg, Western Cape, directly across
the road from the sea, and a few hundred metres from Muizenberg Beach.
Current Use
Today it houses a small museum featuring a few interesting pieces about the Battle of Muizenberg (when
the house came under fire) and historic photos of the Muizenberg area.
Planned Use
A proposal for the construction of a small 60 seater conference facility, a restaurant plus deck, together
with off road parking is currently being drafted.
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The property is currently being leased by UCT
at an annual cost of R74 508 per annum and
the lease has another 47 years to termination.
We have negotiated the lease rental. This will
increase income from the property from
R74 508 per annum to R 200 000 per annum.
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Valkenburg Manor
– The University of Cape Town (“UCT”) were ceded a Lease Agreement of SAHRA’s
property in Valkenberg in 1993.
– The rental that they have been paying to SAHRA has been escalated over time and to
date they are renting R74 508.47.
– UCT has requested consent to sublease the property to a third party and the proposed
rental with the proposed subtenant is around R400 000.00.
– The parties (UCT and SAHRA) have negotiated and UCT has accepted that it is willing to
pay 50% of the rental to be generated escalating annually, on anniversary date.
– The Sublease is for a period of 20 years.
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Value of the Leased ( Investment Properties)
Properties
2014/15
Valkenburg Manor, Observatory
Welcome Cottage, Simon's Town
Dal Josafat Farms, Paarl
Fishermans' Cottages, Struisbaai
1 300 000
1 300 000
1 900 000
1 900 000
11 690 000
11 690 000
1 200 000
1 200 000
610 000
610 000
16 700 000
16 700 000
Mooimeisiesfontein, Riebeeck East
Rental revenue from Investment
Property
2013/14
1 008 086
685 408
It is evident from the loss
situation depicted by the
revenue vs expenditure
that capital injection is
critical for the
rehabilitation of these
Properties to enable self
sustainability and
improved revenue
generation.
Direct operating expenses (including repairs and maintenance) arising from
investment property that generated rental income
Repairs and maintenance
415 517
392 655
Rates and Taxes
136 486
66 388
Water and Electricity
753 471
709 627
1 305 474
1 168 670
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Conclusion
•
SAHRA guided and supported by the Council is determined to turnaround the
Property Portfolio to ensure their continued preservation and protection while at
the same deriving value out of their existence.
•
We are in discussions with the DAC regarding funding for the full implementation
of the strategy.
•
Processes of obtaining permits from the Provincials heritage authorities and
engagements with Municipalities have already commenced.
•
We will also be engaging the National Treasury on various possible funding models
such as the PPP.
•
In conclusion I would like to thank the Portfolio Committee for giving us this
opportunity of discussing our Property strategies.
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I
THANK
YOU!
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