Massive Waterfront expansion

2008-08-28 23:07

Liesl Peyper and Jan-Jan Joubert

Cape Town - A huge legal battle looms if discontent over the development of the V&A Waterfront is not resolved soon.

The battle over the Cape's foremost property apparently originates from a decision by the city council to grant development rights - without understanding exactly where the land was situated.

Now the developer - Lexshell (which became owner of the Waterfront in 2006) - and Transnet (the previous owner) are sparring with the department of environmental affairs and tourism about new developments worth billions of rands.

Hendrik Kotze, Lexshell's legal representative, earlier indicated to Transnet and members of the Western Cape parliament that new legislation will have a disastrous impact on future developments, for Granger Bay in particular.

The proposed Integrated Coastal Management Bill will declare coastal and sea areas public property, which could mean that reclaiming land from the sea and other developments might be ruled out because of strict conservation restrictions.

The fight over the Waterfront erupted this week after allegations that new developments were planned for land which would have to be reclaimed from the sea. According to some reports, Transnet obtained the rights to develop and reclaim from the sea the area between Table Bay and Robben Island.

Transnet has denied these claims - amid protestations from environmental activists and concerns that Lexshell could make expensive legal claims if Transnet could not honour its contractual commitments.

An agreement in 2001 has limited any reclaiming from the sea to three areas next to the Waterfront, including the Granger Bay area as well as a part of the eastern pier, said John Dludlu, Transnet spokesperson. According to the agreement, Transnet undertook to get approval for any reclaiming.

Transnet confirmed on Thursday that it has plans to develop another area of 270 000 square meter in the V&A Waterfront.

The City of Cape Town has previously approved the development of 603 859  square meter in the Waterfront area. When Telkom sold the Waterfront in 2006, an additional 45% (274  104 square meter) remained available for further development.

The massive development, however, is not related to the current controversy, Dludlu stressed.

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