Residential Land Disposal for Development

Sakhisizwe Local Municipality is inviting qualified individuals and entities to submit development proposals for the permanent disposal of sixteen vacant residential erven, numbered 5597 to 5612, in Cala, Eastern Cape. The Municipal Council has approved these properties for residential development. Each erf is zoned Residential Zone IIIB, with primary uses for a dwelling-house or traditional dwelling. Most plots measure approximately 479 m², with some measuring 620 m². Development parameters include a 50% maximum coverage, a two-storey height limit, and building lines of 4.5 m from the street and 2 m from the side and rear boundaries. The sites are sold voetstoots and are currently unoccupied. This is a land disposal, not a procurement of services, so the tender value is the offered purchase price, which the tender documents do not state as a reserve.

The evaluation is based on an 80/20 preference point system, with a minimum functionality score of 70 out of 100 required before price and specific-goals scoring. Functionality is assessed across four areas: capacity and experience of the bidder and professional team (30 points), a preliminary development concept including a site plan, floor plans, and elevations (25 points), an implementation capacity plan with a construction programme and budget (20 points), and funding availability to purchase and develop the land (25 points). Price accounts for 80 points. Specific-goals points of up to 20 are available to bidders who are youth-owned (4), women-owned (3), disabled-owned (3), or local to Sakhisizwe (10). Supporting documents must be provided, including a personal profile, a written development proposal of no more than five pages, a CSD report, a SARS tax compliance PIN, and proof of funds such as a recent bank statement or mortgage pre-approval.

Successful bidders must sign an agreement of sale within 60 days of award notification. They must pay 50% of the purchase price, with a guarantee, within 21 days of signing before taking possession. Construction must commence within 12 months of transfer and be completed within 24 months after that. The purchaser may not sell or cede the property before completion and before five years have passed. The purchaser also bears all transfer costs, including conveyancing, transfer duty or VAT, survey fees, and any service connections or rezoning. Failure to develop the property may result in cancellation of the sale or repurchase by the Municipality, and the Municipality may register restrictive conditions against the title. Bids close on 13 November 2026 at 12:00 and must be delivered in person to the bid box at the Sakhisizwe Municipal Offices, 15 Maclear Road, Elliot. Faxed or emailed bids will not be accepted.