Property Management

The purpose of the Department is to maximize use of the City’s Property Portfolio and generate revenue for the City. This is achieved through leases, sales, acquisitions, developments and granting of servitudes on Council owned properties. FM encompasses multi disciplines to ensure functionality of the built environment by integrating people, place, process, and technology. It is important to note that technology is critical to the efficiency and effectiveness of facilities management. Facilities Management is the quintessential business function affecting not only revenues and cost but also production, quality of life for employees, health and safety, the work environment and increasingly, areas such as recruitment and employment retention. When practiced properly the following benefits accrue to the organisation:

Managing Property Portfolio on behalf of the City of by:

Alienation of Residual Properties
Maximising the Leasing Portfolio of Council Owned Properties
Registration and Cancellation of Servitudes

Regional Management Strategic Drive

Forge Strong Relations with Ward Councillors per Region with all affected Stakeholders
Improved turnaround times in attending to queries
Effective Communication with the Regional Client
Packaging non-strategic land parcels for disposal through lease or sale of Council Owned land

The Property Management Department’s objectives are to:

Maximising the efficiency of the CoJ’s property portfolio
Leasing the premises and collecting the rentals
Managing tenant relationship and overseeing the upkeep of buildings
Providing Council reports for approval in line with applicable legal frameworks
Generate an income from the sale of residual Council owned properties
Promote transformation of the property sector by supporting social and community initiatives
Supporting the SMMEs and creating jobs in partnership with the private sector
Enabling social services delivery to the communities of the City
Achieve the highest values through the disposal of properties
Unlock property values
Maximise Social and Commercial Economic values of properties
Enhance the efficiencies through the use of the properties
Maintain the upkeep of each City Owned Property
Registrations and Cancellations of Servitudes
Support the City’s Strategic Transformation Initiatives
Acquisition of properties on behalf of the City
Service Delivery Accounts for provision of services to the City

Services

a) Property Management

CORE FUNCTIONS	DELIVERABLES
Social Property Portfolio	To administer, manage and develop the city’s property portfolio in a manner that promotes social and economic growth amongst the citizens of the city. The attainment of City’s objectives, especially where property could be used for land reform, black economic empowerment, alleviation of poverty, Health care, safety, security, clean environment, roads, infrastructure, the creation of jobs, the creation and redistribution of wealth through leasing and sale of property.
Acquisitions and Municipal Portfolio	To identify, acquire, register rights (servitudes) land for the provision of basic municipal services, such as, provision of electricity, water, reservoirs, sanitation, Housing, clinics, libraries, parks, roads, fire stations and BRT routes in order to ensure that land is available for current and future development needs of the City. This portfolio mainly deals with registration of servitudes and land required for these services on City owned land and privately owned properties. To acquire properties on behalf of COJ and ME’s for current and future use for the provision of basic municipal services. Lease Management of facilities occupied by City Departments and ME’s and third Parties.
Commercial Property Portfolio	To create economic activity and employment opportunities within the City through leasing, such as, retail, offices, industrial. To release residual properties which are not required for basic municipal services. These properties are released for purposes such as, residential, business and industrial. In addition, this stimulates economic activity within the region.

b) Acquisitions, Large Service Providers & Sanitary Lanes

Acquisitions

The Unit’s Objective is to carry out JPC’s core- mandate of acquiring Properties on behalf of the City of Johannesburg Municipality in order to enable the City to drive development especially in undeveloped and marginalised areas.

Presently properties are acquired using the following methods:

Conditions of Township Establishment
Purchased in support of the Transit Oriented Development and Inner City
Devolutions from the Gauteng Province
Donations
Expropriations

Large Service Providers (Rand water Board, Transnet, Eskom and SANRAL)

JPC’s service offering for Large Services Servitudes

Infrastructure Development is key in Property Development and Township Establishment and as such large service providers submit applications to the City to grant them the right to supply the said services over the City Land.

Servitudes are then registered over the City Owned Land in favour of key service providers (viz. Rand water Board, Transnet, Eskom and SANRAL) to enable the provision of key infrastructure to the city’s citizens including electricity, provision of roads, railway and water.

Service Delivery Accounts

JPC’s service offering in respect of the service delivery accounts portfolio

The Service Delivery Accounts (“SDA”) Portfolio (formerly the Municipal Portfolio) was created in 2005 to attend to the property requirements of the Council’s MEs (Municipal Entities) and Council Departments. In terms of the actual projects being undertaken by the SDA on behalf of the MEs, the most important MEs are Johannesburg Water (JW), City Power (CP), the Johannesburg Roads Agency (JRA) and the Johannesburg Development Agency (JDA) including the Bus Rapid Transport (BRT) Project. The most important Council departments are COJ Health, Community Development, Social Development, Transport, EMS and JMPD.

The main function of the large ME Service Providers (JW, CP and JRA) is the delivery of services to the public. It is thus not surprising that their property requirements are mainly for the acquisition of property (Council-owned and privately-owned) and property rights (servitudes) over privately-owned properties in order to protect their services which have been and are being installed over privately-owned land.

The SDA thus assists the large ME Service Providers through the acquisition (purchasing) of privately-owned properties for them (e.g. for a substation for CP), allocating Council-owned properties or portions thereof to them (e.g. land for a water tower in a park to JW) and by acquiring servitudes over privately-owned properties where the MEs have installed their services or are about to do so (e.g. a water-or sewer pipe by JW).

DEPARTMENT