New housing development in a small town in the Western Cape

The Western Cape government is investing millions in planning and infrastructure to unlock 313 new housing opportunities in Elands Bay as part of its broader housing delivery strategy.

On 10 January 2025, the Public Works and Infrastructure Minister Dean Macpherson and Western Cape Infrastructure Minister Tertuis Simmers made a ministerial visit to Elands Bay.

Here, they outlined various infrastructure opportunities for the area that would greatly benefit its residents. This marked the first time in 28 years that a national minister visited Elands Bay.

During this visit, Simmers presented the progress made towards unlocking 313 sustainable housing opportunities for the Elands Bay community, following engagement with residents and stakeholders in the area.

“Elands Bay matters, and so do its people,” he said. “We remain fully committed to working closely with the municipality, the community and all stakeholders to unlock housing opportunities that restore dignity and provide certainty for families.”

“Projects like this create jobs and dignified housing opportunities for Western Cape residents,” Simmers added.

During the 2024/25 financial year, the Western Cape Department of Infrastructure (DOI) approved a project and released nearly R560,000 to support the planning phase of a proposed housing development in Elands Bay.

This funding was allocated to ensure that the project is properly packaged, assessed and prepared for implementation readiness.

Towards the end of last year, the DOI received a Project Feasibility Report making provision for 313 residential opportunities in Elands Bay.

The report is currently undergoing a detailed technical assessment and will, once concluded, be tabled before the Project Assessment Committee for consideration against planning, financial, engineering and implementation criteria.

The Western Cape’s housing delivery push

Looking ahead, more than R1.4 million has been allocated in the 2026/27 financial year to finalise the Project Implementation Readiness Report.

This report will confirm whether the project is fully prepared to proceed to implementation and is anticipated to be submitted around the middle of the 2026/27 financial year as part of the Adjustment Budget process.

Construction of services is expected to commence in the 2027/28 financial year, but may commence earlier if conditions permit.

This start date is contingent upon the successful completion of these processes and provided that no significant delays are encountered.

“Housing delivery starts with proper planning,” Simmers said. “When we take the time to prepare projects thoroughly, we protect public funds, reduce delays, and ensure that when construction begins, it can proceed without interruption.”

“Our goal is not only to build houses, but to build sustainable, resilient communities that can support growth over the long term.”

The project forms part of the Western Cape Government’s broader commitment to accelerating housing delivery through responsible planning, strong partnerships, and infrastructure-led development.

Notably, over the five-year period ending in 2025, 12,401 units were handed over in Cape Town, more than double the number in the next metro, eThekwini, at 5,355.

It is also more than the combined total of all three Gauteng metros, with Ekurhuleni (5,167), Joburg (4,932), and Tshwane (1,811) still falling short by approximately 500 units of Cape Town’s total.

“The evidence is clear – no city is putting national housing grant funding to better use than Cape Town,” Cape Town Mayor Geordin Hill-Lewis said.

“We are not only spending the money we get; we are ensuring that quality completed units are handed over to the rightful beneficiaries.”

With national subsidies having dwindled over the years, Hill-Lewis explained that the “free” housing programme has become increasingly reserved for the most vulnerable.

“Not only does Cape Town lead on this pro-poor delivery, but we are also leading on enabling much more affordable housing delivery by the private sector,” the mayor said.

The city achieves this through accelerated land release, reducing red tape for micro-developers, and a range of incentives to drive the development of affordable rental housing.

“We will only ever meet housing demand – not by state-led delivery – but by repositioning our cities as key enablers of much more private sector-led housing delivery,” Hill-Lewis said.