Neil Gopal
SAPOA CEO
The South African Property Owners Association (SAPOA), representing over 90% of the country’s commercial property sector, has raised serious concerns over illegal multimillion-rand developments in Tshwane, warning of their detrimental effects on property values, municipal infrastructure, and the local economy.
SAPOA asserts that these unregulated developments compromise legitimate investments and put undue strain on compliant property owners. SAPOA CEO Neil Gopal remarked, “Illegal developments harm compliant owners by devaluing property, increasing crime rates, and disrupting services. The normalisation of bypassing regulations is troubling as it reduces oversight and destabilises the sector.”
Gopal’s comments follow SAPOA’s 2021 study on unauthorised developments in Polokwane, which revealed that illegal building activity is exacerbated by slow application processing, insufficient regulation, and a moratorium on new developments. The study found that Polokwane’s illegal developments have led to:
* Increased pressure on municipal infrastructure
* Lost revenue from property rates and taxes
* Reduced regulatory oversight, with noncompliance becoming routine.
Despite some municipalities taking steps against illegal land use, SAPOA argues that bylaw enforcement remains inconsistent due to limited political resolve. Gopal urged local authorities to apply land use regulations fairly and invest in legal resources to tackle unauthorised developments.
SAPOA’s 2021 research in Polokwane also highlighted substantial economic losses from illegal developments, including:
* R 327.61 million in lost production
* R 144.63 million reduction in GDP
* 559 lost job opportunities
* R 62.92 million in lost income
Additionally, the report estimates that Polokwane loses R 323.36 million annually from uncollected rates, taxes, and utility fees due to illegal developments.
While SAPOA supports responsible law enforcement, it stresses that measures should not unduly penalise existing ratepayers. Gopal called on the Tshwane municipality to strengthen its land use control unit and employ more planning officers to curb unauthorised practices.
SAPOA also insists that individuals responsible for illegal developments should face prosecution and suggests the Public Protector intervene if enforcement proves inadequate. “National government and stakeholders, past and present, must act swiftly to resolve this issue,” Gopal urged.
SAPOA remains committed to collaborating with municipalities to encourage investment and support legitimate developments that create jobs and stimulate local economies. “We are ready to work with local authorities to promote growth, generate employment, and foster entrepreneurship within our communities,” Gopal concluded.
SAPOA (South African Property Owners Association)