Comment on the proposed lease of City-owned property in Main Road, Observatory

Comment on the proposed lease of City-owned property in Main Road, Observatory

14 August 2026

14 August – 14 September 2026

​​​​​​​​​​​​​About​​​​​​​

In accordance with section 16.5 and 16.6 of the Management of certain of the City of Cape Town’s Immovable Property Policy (adopted by Council on 26 August 2010 C54/08/10) and Chapter 4 of the Municipal Asset Transfer Regulations (2008) we are considering the lease of the following City-owned property:

Erf/Farm number Extent (±)​ Street and suburb Current zoning
Unregistered State Land, Abutting Erf 179706 ± 921 m²
Main Road, Observatory Unregistered State Land and Public Street
​​​

We plan to lease the property to Gospel Ramah Church (NPO) and Grace Bible Church (NPC) or its successors-in-title for parking, access and security purposes.

Information statement

  • Reason: The property is not required for the provision of a minimum level of basic municipal service; 
  • Expected benefit: The property is underutilised, surplus to Council’s requirements, no demand exist for same, and the lease will furthermore relieve Council of maintenance burden and generate funds for the City of Cape Town; 
  • Expected proceeds: The City will receive a market related rental for the proposed lease for parking, access and security purposes. A rental of R4 400.00 per month (exclusive of VAT and inclusive of rates), escalating at 6% per annum. The lease shall be for a period of ten (10) years, subject to a rental review after five (5) years, with an option to renew for a further period of ten (10) years. The renewal period shall likewise be subject to a rental review after five (5) years. The lease shall at all times be subject to termination upon two (2) months’ written notice. 
  • Expected gain or loss: No loss will be incurred by the City arising from the granting of right

In terms of section 17 of the Local Government: Municipal Systems Act, Act 32 of 2000, you can submit comments to the municipality in respect of the proposed lease.

Access the lease plan in the document downloads section below​​.

​​​​​​​​​​Comment period​​​​​​​

Submit your comments from 14 August – 14 September 2026.

Submit your comment

Submit your comments via the following channels:

Online
Submit your com​me​nts online​​.

Post
Written submissions can be sent to:

For attention: Angelene Kelland
Property Transactions
PO Box 4557
Cape Town
8000

Contact us

For more information and general enquiries, contact:

Angelene Kelland

Telephone:
021 400 6555

Email:
angelene.kelland@capetown.gov.za

Document downloads

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