What’s the plan with property expansions?

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BUSINESS NEWS - Building a second dwelling on your property offers an excellent opportunity to generate extra income, whether by creating a bed and breakfast, guest house, holiday rental, or long-term rental property. However, a number of legal and compliance requirements must be considered before you venture into such a development.

In South Africa, there are several legal and other specific requirements for the establishment of a second dwelling on your property. These requirements depend on the area in which the property is situated, as well as the regulations of the local municipality.

An important point of departure is to determine the zoning of your property. If your property is situated in an area that is zoned to have only one dwelling per erf, the erection of a second dwelling will not be allowed. The alternative to this is to apply for the rezoning of your property or to subdivide it into different portions.

However, the erection of a second dwelling in an area zoned for residential purposes may not be allowed if the development will compromise the integrity of the area.

In addition, updated building plans for a second dwelling must be drafted and submitted to the local municipality for approval to ensure that the plans and building comply with all the requirements of the National Building Regulations and Building Standards Act No. 103 of 1977 (“Act”).

It is also important to verify whether the title deed of your property contains any restrictive conditions that may prevent you from erecting additional dwellings on your property, such as restrictions commonly found in gated communities or sectional title schemes.

These restrictions must be removed from the title deed in terms of applicable legislation before a further dwelling will be approved.

The addition of further dwellings may also hold additional costs and requirements in respect of separate metering of municipal services.

The erection of a second dwelling will trigger changes to your homeowner’s insurance. You will have to make sure that the new building(s) is covered by your policy, and if you plan on operating a B&B, you may have to consider additional liability coverage in the event of accidents, injuries or other unforeseen events involving guests or their property.

The decision to build a second dwelling requires careful consideration of the necessary requirements and approvals. Contact Jaco Lötter and his team to ensure your project is well-coordinated and compliant.

Tonkin Clacey Inc. Mossel Bay
044 220 0240
083 600 4903
jaco@tcinc.co.za
www.tcinc.co.za
Office 4, Nautilus Place
27 Marsh Street,
Mossel Bay