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Daily Maverick
09-05-2025
- Business
- Daily Maverick
R11bn unfinished Montrose Mega City Development housing ghost town
As Gauteng battles a worsening housing crisis, incomplete housing units near Randfontein in the West Rand remain vandalised and unoccupied. Daily Maverick photographer Felix Dlangamandla went to the ghost town on 7 May 2025. The Montrose Mega City Development, which was once touted as a large-scale solution to the province's housing backlog, has been inactive since January 2024. According to the Gauteng Department of Human Settlements (GDHS), the project was halted following the termination of its contract with SCM Developments, the appointed turnkey developer. The department cited 'financial difficulties leading to its liquidity'. The government planned to build 5,600 housing units during the project's first phase. When Daily Maverick asked about the total amount spent on both phases of the development to date, GDHS spokesperson Terry-Ann van Eck, speaking on behalf of MEC Tasneem Motara, declined to provide figures, although reports suggest R11-billion was spent. 'As the development was in its first phase at the time of termination, detailed financial information on expenditure cannot be disclosed without a formal application under the Promotion of Access to Information Act (PAIA).' In response to further queries from Daily Maverick about whether there are any plans to repair or complete the housing units, the department said: 'The Department is actively engaged in negotiations with the landowner to purchase the land outright. This acquisition will enable the Department to take over and continue the development. Upon successful acquisition, a procurement process will be initiated to appoint a new developer to resume and complete the project as originally intended.' It added that it had received 'guidance from the Provincial Treasury on securing the site. A professional security company has now been appointed on the property to prevent further illegal activities, including vandalism and unauthorised access,' said Van Eck.
The Citizen
09-05-2025
- The Citizen
Man killed in structural collapse at abandoned R11 billion housing project
The Montrose Mega City housing project began in 2017 but has since stalled due to the liquidation of appointed contractors. A man died on the West Rand after being trapped under the rubble of an incomplete social housing project. The man was declared dead after a wall at the dilapidated government housing development collapsed on Tuesday. The Gauteng Department of Human Settlements (GDHS) extended its condolences to the deceased's family and stated that it was still committed to the project's completion. Failed steel reinforcements GDHS confirmed on Thursday that police were investigating the matter, but that the victim should not have been on the property. 'Preliminary information indicates that the individual was involved in unauthorised illegal activities at the site when a portion of a staircase structure collapsed,' the department stated. 'We wish to clarify that the building itself did not collapse, but rather that slabs forming part of the staircase gave way as the building's steel reinforcements were tampered with,' it clarified. The site has been a danger for several years, and the department stated that it was now in the final stages of securing a security service provider. The department reminded community members not to access the buildings, as further damage and vandalism will only delay their construction. 'I plead with the community not to enter the site, and to desist from removing any materials on the site,' stated Human Settlements MEC Tasneem Motara. 'We have criminally charged those found stealing on site and will do so again should we find any criminal activity on site again,' the MEC added. Montrose Mega City The Montrose Mega City project in Randfontein was launched in 2017 but has since failed to realise its proposed potential. The fully completed project was meant to provide just over 10 500 units of varying sizes at a cost of R11 billion for the impoverished people of the surrounding informal settlements. Infrastructure of any value that was installed has been stripped by vandals, while the unoccupied ruins are a haven for criminality and shelter for illegal miners. The development remains a brick-and-mortar shell without basic utilities and only temporary water and sewer infrastructure. Only R467 million of that overall budget has been spent so far, however, the long-term human cost of the stalled project is yet to be realised. Calls for investigation In the aftermath of the incident, Democratic Alliance (DA) shadow MEC Evert du Plessis stated the department had 'blood on their hands'. 'Premier Lesufi's government chose an incompetent company that has failed to deliver and is now holding this R11 billion project to ransom,' stated Du Plessis. ActionSA have also flagged the project's wastefulness in recent months, joining the DA in calling for accountability and extensive investigations. 'In addition to being an infrastructure disaster, this project is a breach of public confidence and a waste of tax revenue that could have changed lives and supplied much-needed housing,' stated ActionSA's Emma More. Commitment to completion GDHS confirmed the housing project was still part of their plans, representing a 'significant step in our commitment to delivering sustainable human settlements'. The department stated that it is in contact with the landowner to discuss the way forward after the appointed developer has been liquidated. 'The Department will continue to update the community of any progress we make in this regard. 'We remain fully committed to the safe and successful completion of the Montrose Mega City Development,' the department concluded. NOW READ: PICS: Gauteng's abandoned projects ruined by 'challenges' and vandalism
