GEORGE NEWS - The 75 Victoria Street property of Neo Victoria Developments, where the tragic building collapse occurred on 6 May last year, goes under the hammer in November.
It is being advertised for an online auction by Van's Auctioneers of Pretoria. According to the advertisement on the auctioneer's website, bidding will take place between 12:00 on Tuesday 25 November and 12:00 on Wednesday 26 November.
Neo Victoria Developments is under liquidation.
According to Chanel Tame, the administrator for the auction at Van's Auctioneers, the property's market value is R6m.
"We are expecting between R2m and R3m, depending on what is going to happen during the auction. There is no reserve price on the property, but the sale is subject to confirmation by the seller."
She said if the sale is successful, the returns will be paid to the liquidators.
Van's Auctioneers is advertising the property as a "great development opportunity for residential flats within the CBD and walking distance for public transport" with approved building plans for a five-storey building with 42 flats and basement parking.
The zoning is General Residential Zone IV (flats, backpackers lodge, boarding hostel, retirement resort). The size of the property (Erf 15098) is 1 228m².
A local resident contacted the newspaper after seeing the auction advertisement. He said taking into account the devastating consequences of the event, the development of the property is like a slap in the face of those affected by it.
"On top of it all, the same plans might eventually be used. The right thing to do would have been to create a memorial site. It's really a pity. It just doesn't feel right."
George Municipality has a claim against the developer for R9.295m for rescue efforts performed after the implosion.
Expenses the municipality had to incur included infrastructure repairs, material removal from the site and safeguarding the site. The municipality's comment about the auction is being awaited.
George Municipality's communications manager, Chantèl Edwards, said since the property is privately property, its use or disposal remains at the discretion of the owner. "The municipality is aware that the company has been liquidated, and accordingly, the initial claim for recovery costs was withdrawn. Any outstanding municipal claims do not automatically preclude the auction from proceeding."
She said the Building Control Division confirmed that any new owner who acquires the property will not be permitted to proceed with development on the basis of the previously approved plans.
"According to Building Control, these plans are no longer valid and cannot be implemented without resubmission and formal re-approval by the municipality in compliance with the National Building Regulations and Building Standards Act," said Edwards.
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