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7 JUNE 2018




City to spend R2,1 billion on housing opportunities and R481 million to relieve congestion


The City’s Transport and Urban Development Authority will, over the next three financial years, spend the bulk of its capital budget on the provision of new housing opportunities, on new roads to relieve traffic congestion, and on infrastructure for the roll-out of the MyCiTi service to Mitchells Plain and Khayelitsha. Read more below:


The Transport and Urban Development Authority’s (TDA) budget for the next financial year, starting on 1 July 2018, amounts to R5,34 billion.


The operating budget is approximately R3,6 billion, and R1,77 billion is budgeted for projects related to housing developments, roads, and public transport infrastructure.


Most of the capital projects are located within the city’s urban inner core. This is in line with the City’s revised Municipal Spatial Development Framework which focuses on inward growth and investment. Thus, the City will keep on investing in maintaining and upgrading existing infrastructure, while at the same time prioritising public investment in an urban inner core as stipulated by the Built Environment Performance Plan.


The urban inner core includes areas adjacent to the N1, N2, N7, and M5 highways; along the R27 to the north and Main Road to the south; along major arterials linking the Metro South-east with Bellville and Kuils River; and the Cape Town International Airport.


Given the dire need for housing the TDA will spend R2,1 billion on the development of new housing opportunities over the next three financial years, with R590 million being budgeted for 2018/19 alone.


The 2018/19 budget is allocated to 36 housing developments which are either in the planning phase, already under way, or in the process of being finalised.


These housing projects are situated in Nyanga, Atlantis, Heideveld, Fisantekraal, Grassy Park, Somerset West, Scottsdene, Hangberg, Durbanville, Bardale, Belhar, Delft, Gugulethu, Manenberg, Strand, Blue Downs, Dido Valley, Macassar, Harare, Imizamo Yethu, Valhalla Park, Masiphumelele, Brown’s Farms, Beacon Valley, Salt River, Sir Lowry’s Pass Village, Langa, Vrygrond, Retreat, Ottery and Philippi, among others.


The bulk of the housing opportunities will be developed on well-located land close to public transport, jobs, government services, and public amenities. To fund the acquisition of additional well-located land parcels for future housing projects, the TDA has budgeted R155 million for the acquisition of land in the next financial year.


In addition to these housing projects, the City is increasing the delivery of affordable housing opportunities by partnering with non-profit social housing institutions (SHIs). SHIs offer subsidised rental accommodation in good locations to more than 2 000 low-income households in Cape Town which is also the first city in South Africa to offer rates rebates to SHIs. The rebates enable our non-profit SHI-partners to keep on providing subsidised rental accommodation. The rebates are for cluster rental units that are valued at R400 000 or less, and where the household’s monthly income is R4 000 and below.


Furthermore, the TDA is committed to improving and expanding transport options to our residents.


We recently signed an agreement with the Passenger Rail Agency of South Africa and the Western Cape Provincial Government to train and jointly fund a dedicated enforcement unit to focus on the safety and security of Metrorail commuters and infrastructure.


We want to improve mobility in Cape Town, be it by cycling, car, minibus-taxi, bus or train.


Over 500 000 Capetonians cannot afford motorised transport, and either walk or cycle to their destinations. Thus, we will keep on expanding the network of safe sidewalks and cycle lanes with the non-motorised transport funding we receive from National Government.


About 17% of commuters rely on minibus-taxis. Thus, we are investing in new minibus-taxi facilities in Dunoon and Masiphumelele, and we are refurbishing others with covered walkways and ablution facilities.


For those using private vehicles, we are well aware of the congestion on our roads, the frustration this causes, its impact on our city’s productivity and residents’ quality of life.


Thus, as far as congestion relief is concerned, the TDA has allocated R481 million over the next three financial years for the construction of new road infrastructure in congestion hotspots around Cape Town.


Some of the projects that are already under way are the dualling of Kommetjie Road in the Far South; Belhar Main Road and Erica Drive in Belhar; and Langverwacht Road in Kuils River.


Coupled with these infrastructure projects, we need residents to work with us by making use of public transport as far as possible, and for private business to implement flexible working hours so that we can divert traffic away from our road network during the peak hour periods.


On this note I want to add that there will be no increase in on-street parking bay tariffs for the next financial year. Thus, those making use of on-street parking bays will pay the same tariff until 30 June 2019.


Furthermore, R816 million is budgeted for the required infrastructure for the roll-out of Phase 2A of the MyCiTi service between Mitchells Plain, Khayelitsha, Claremont and Wynberg. This money will be spent over the next three financial years on the upgrade of Stock Road in Philippi; Jan Smuts Drive (M17) in Plumstead; and on the construction of new bus depots.


Once fully rolled out and implemented, Phase 2A will serve more than 1,4 million commuters from the Metro South-east.


The TDA budget mirrors our commitment to bringing people closer to jobs, to developing new housing opportunities on well-located land, and to keep on improving transport options for all residents.





Issued by: Media Office, City of Cape Town


Media enquiries: Councillor Brett Herron, Mayoral Committee Member for Transport and Urban Development, City of Cape Town, Tel: 021 400 1298 or Cell: 082 518 3264, Email: (please always copy

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