Mpumalanga Business 2017 edition

OVERVIEW
government hopes that private
investment will follow the improvement
of basic tourism infrastructure.
Various plans exist for a
skywalk, a cable car and a hotel in
the Bourke’s Luck area, but these
would require a private-public
partnership at least.
The provision of housing provides
work for the construction
sector, and the provincial government
is again a major factor
in this sector.
An amount of R545-million
has been committed to rolling
out housing projects across the
province.
The new focus in providing
communities with varied facilities
(rather than simply “housing”)
also presents opportunities
for contractors. In line with
national government policies,
Mpumalanga’s provincial government
is rolling out a human
settlement policy that aims to
provide sustainable housing
through the strategy known as
Breaking New Ground.
The Klarinet project has seen
1 027 houses built and a provincial
government partnership with
Absa has delivered 80 houses in
the Gap market. These are houses
bigger than RDP houses, but the
people who can afford these
houses can normally not afford
a traditional home loan.
The upgrading of informal
settlements such as Phola,
Hlalanikahle Embalenhle – in addition
to other areas like Leandra
and Kwaguqa – is another priority,
and 15 housing units have been
built for military veterans. More
than 17 000 housing units have
been delivered so far.
Mpumalanga has a Construction Contact Centre (CCC). An initiative
of the CIDB and the national and provincial Departments of Public
Works, the facility helps contractors to register and allows contractors
to keep track of their applications. The Sakh’abakhi Contractor
Development Programme has been successful to a degree, but it has
been difficult to find projects where these contractors can move from
one level to a higher level within the structures of the Construction
Industry Development Board (CIDB). Contractors must have certain
qualifications before they can tender for work of a certain size.
Property
Mbombela (formerly Nelspruit) and White River are attracting new
residents and this is creating a good market for rental properties (Pam
Golding). A factor in promoting interest in residential property in the
eastern half of the province comes from Mozambican nationals looking
for places to rent or buy. With the Maputo Corridor making movement
between South Africa and Mozambique that much easier (and all of the
traffic passing through Mpumalanga), areas such as Komatipoort and
nearby Marloth Park are proving very popular for purchases and rentals.
The area north of Nelspruit, to White River, is a favoured destination
for new developments, especially with a new and more reliable source
of water having been arranged.
New and revitalised coal mines have helped boost property values
in Belfast. The rental market in particular is doing well, with investors
showing great interest in the town.
Further north, the town of Lydenburg has also experienced a rise
in property values, boosted by the revitalisation of platinum mining,
especially in the neighbouring province of Limpopo. Towns such as
Burgersfort and Steelpoort are growing very quickly. Although the price
of platinum has declined, the town of Steelpoort has for some time
been growing on the back of the interest in this mineral.
ONLINE RESOURCES
Construction Industry Development Board (CIBD): www.cidb.org.za
Master Builders South Africa: www.mbsa.org.za
Mpumalanga Department of Human Settlements:
http://dpwrt.mpg.gov.za/index.html
National Department of Public Works: www.publicworks.gov.za
SA Institute of Architects: www.saia.org.za
SA Institute of Valuers: www.saiv.org.za
SA Property Owners Association: www.sapoa.org.za
67 MPUMALANGA BUSINESS 2017