What to Do with 801 Unused State Properties

Statement by Edwin Bath MP – DA Deputy Spokesperson on Public Works and Infrastructure:

The Democratic Alliance (DA) will support the Department of Public Works and Infrastructure’s decision to sell 801 state-owned properties, which are no longer required for government purposes, to generate revenue.

For too long, South Africa has carried the cost of thousands of underutilised properties that have generated little public benefit while continuing to incur significant expenses in the form of property rates, security, and maintenance.

Minister Dean Macpherson’s reform agenda is beginning to treat public assets as they should be treated, not as dead weight, but as productive assets that must be put to work for the benefit of the country.

By releasing properties that are no longer strategically required to market, government has an opportunity to unlock substantial revenue that can be reinvested into addressing the Department’s estimated R28 billion maintenance backlog affecting schools, police stations, courts, and other critical national public facilities.

This approach will also reduce the ongoing cost burden associated with vacant and underused properties, while enabling these assets to be transferred or sold for productive use by municipalities, provinces, non-profit organisations, and the private sector.

This is a win-win: government reduces waste, taxpayers save money, and dormant assets are returned to productive use in support of economic growth and job creation.

In the months ahead, it will be important to quantify both the revenue generated from these sales and the savings achieved through reduced rates, security, and maintenance costs.

The DA will also seek clarity on the measures being put in place to ensure that these properties are assessed and brought to market as quickly, but as thoroughly, as possible. South Africa cannot afford for this programme to become bogged down in the same delays that have hampered property sales in the past.

Every unused building and vacant parcel of land represents tied-up capital. The sooner these assets are unlocked, the sooner they can begin working for the people of South Africa.