In a bid to maximize the potential of its property assets, the government is inviting private sector participation in the revitalisation and management of state-owned buildings, including the iconic Telkom Towers in Pretoria.
Siza Sibande, head of the Property Management and Trading Entity at the Department of Public Works and Infrastructure, disclosed that approximately 40 vacant properties in Pretoria present an opportunity for rejuvenation, as reported by News24.
He stressed the importance of leveraging private sector expertise to unlock value from these assets, while also addressing socioeconomic objectives such as job creation.
Speaking at the Sustainable Infrastructure Development Symposium in Cape Town, Sibande underscored the significance of such aa partnership as a paradigm shift.
He outlined the collaborative approach wherein private entities would undertake refurbishment, operational management, and eventual transfer of properties back to the government.
The refurbishment of Telkom Towers would change the face of the capital city, stated Sibande.
The government does not have the resources required for refurbishment - set at approximately R32 billion, he said. By tapping into private sector capabilities, the government aims to instil confidence in service delivery while optimising the use of underutilised assets.
"We know the state has the biggest asset portfolio … Yet, the value generated of those assets is next to zero," said Sibande.
He further highlighted the vast untapped potential of state-owned assets, revealing that a significant portion remains idle - some 25%, with some parcels subject to illegal occupation.
The government's vision extends beyond mere economic returns, aiming to align property development with broader development objectives such as empowering marginalised communities and advancing environmental sustainability.
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