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Enabling grassroots solutions to the urban housing problem

30 October 2023 Photo Bobby Shabangu

The aftermath of damage to a building in Johannesburg, after burning. — A recent fire that engulfed a downtown Johannesburg building illustrates the challenge of housing a bulging urban population in safe, dignified conditions.

Opinion article by Prof Ivan Turok, Chuma Giyose, Claudia Hitzeroth, Zama Mgwatyu and Andreas Scheba

The tragic loss of 78 lives when fire engulfed a downtown Johannesburg building illustrates the challenge of housing a bulging urban population in safe, dignified conditions.

While the apartheid government resisted urbanisation and refused to build liveable neighbourhoods for black people, the ANC government and metropolitan authorities have been ambivalent, fearing that cities would be overwhelmed.

The ‘RDP’ mass housing programme has constructed about three million small units in peripheral dormitory settlements, far from jobs and amenities. A formulaic ‘one house, one plot’ approach has produced sprawl with sparse facilities. The scheme is currently being cut back and replaced by serviced sites rather than free homes. This is bound to perpetuate urban fragmentation, instead of helping to densify and integrate cities.

More dynamic and adaptable way

Meanwhile, a more dynamic and adaptable way of providing affordable urban housing has emerged from the grassroots, beyond the formal housing system. Many poor households, small building contractors, and emerging developers are responding to the massive demand for low-cost accommodation by investing whatever resources they can muster to construct rental units in their backyards. They are countering unemployment and hardship with laudable energy, initiative, and self-reliance.

Their dwellings range in quality from simple wooden and zinc structures to solid brick-and-mortar two-storey flats with internal ablutions. Standards are improving over time as tenants demand better accommodation and builder-developers learn to design superior homes.

Small-scale rental housing (SSRH) is also stimulating township economies by raising household incomes and creating local jobs across the construction value chain via the supply of building materials, repairs and maintenance, and rental agents and other property services. It is providing a valuable shot in the arm for a struggling building industry.

These positive features and their multiplier effects make SSRH the fastest growing segment of the housing market in the country. An organic process of transforming underused land into more valuable property is being replicated over and over again across cities and towns, driven by the insatiable demand for affordable accommodation. The momentum is fuelled by the emergence of novel lending institutions, such as the Trust for Urban Housing Finance.

Yet, the very success of this phenomenon creates other challenges, including overloaded infrastructure, stretched public services, and degraded open spaces through population growth and crowding.

Dangers of SSRH

Most emerging developers and contractors are unaware of the formal rules and systems that regulate house building and urban development. The informal and unauthorised nature of SSRH poses dangers for resident communities and risks for the developers themselves.

The health and safety of tenants occupying substandard dwellings can be compromised through fires and structural failures. And the developers might never recover the value of their investments if they remain informal.

Research has shown that the costs of regulatory compliance faced by builder-developers are prohibitive. Following the formal approval procedures and paying the requisite professional fees and administrative charges would more than double the cost of developing rental units because of their onerous nature. Most developers either do not apply for permission to build — or they give up out of frustration halfway through this time-consuming process.

Despite the immense opportunities and looming threats facing SSRH, the sector is almost completely ignored by national, provincial, and municipal authorities. The tenants seem invisible to decision-makers because at least they have a roof over their heads and appear better off than people occupying informal settlements.

Finding creative ways to help upgrade and regularise backyard housing means navigating a legal and regulatory minefield that just seems too complicated to public officials, who do not know where to start.

Responding to the policy vacuum

Several grassroots intermediary organisations have begun to respond to the policy vacuum by providing practical support to builder-developers and advice to the government about what actions and reforms are most urgent and important. NGOs are rolling up their sleeves and offering direct assistance and advocacy on behalf of the sector. They believe that empowered citizens should drive local development, so they support small-scale operators looking to construct decent, affordable accommodation.

Some of these organisations have set up training courses and mentoring programmes to help nascent contractors and developers to improve their knowledge and capabilities. Hands-on technical advice and expertise are also offered to individual developers to package their project proposals professionally to help secure external funding.

NGOs have learnt from direct experience that a broad spectrum of builder-developers are engaged in township housing. The support they offer needs to be carefully tailored according to the distinctive needs and potential of different enterprises.

At one end are ‘homeowner developers’, who build in a piecemeal, intuitive, and incremental way according to whatever resources they can secure from personal savings and networks. Women are well represented among this group. They aspire to make better use of their backyards to supplement their household income and create a durable asset for future security.

Micro-developers

At the other end of the spectrum are ‘micro-developers’ who are more proficient and strategic. They have more extensive, specialist networks and can raise longer-term loans to fund their projects. These entrepreneurs usually build larger blocks of between six and twelve units on each plot and operate across multiple sites.

Township developers do not tend to work together closely because of natural rivalry. The spirit of independence has limited their collective voice to engage with public authorities and financial institutions. Consequently, NGOs encourage developers to organise themselves and build trust so that they can learn from each other and speak with one voice about urgent regulatory reforms.

Township developer forums have been created in some places to raise their visibility and negotiating power. These bottom-up initiatives are making a meaningful contribution to reducing the affordable housing backlog and deserve to be taken seriously.

SSRH fosters urban density, enhances livelihoods, and is more sustainable financially than free government housing. The benefits extend beyond shelter to bolster township economies through new and dynamic enterprises, construction jobs, and skills.

The rich experience that NGOs have gained from working in close proximity to everyday realities provides valuable insight into how to scale up and strengthen the SSRH phenomenon. This know-how is unique and different from the mindsets and understanding available to policy makers operating at national or even municipal levels. It is vital that local and national authorities recognise and respect such hard-earned expertise.

Novel social arrangement

Yet, initiatives from below cannot succeed without wider state support. To achieve its full potential, SSRH needs public investment in essential infrastructure and services, including clean water, sanitation, electricity, and waste collection.

The government also needs to simplify the procedures that regulate house building for emerging developers to obtain the legal compliance that will help to raise long-term finance, building insurance and protect the value of their investments when they decide to sell.

One way forward in a context of mistrust between municipalities, developers, and residents is to negotiate a novel social arrangement that will restore mutual obligations and stability. A ‘new deal for communities’ could vary in detail between different places, depending on local circumstances.

Municipalities could commit to improving the infrastructure and streamlining building approvals, in return for developers contributing to the cost of public services by paying property taxes and service charges. NGOs could play a valuable role in communicating and negotiating such arrangements at neighbourhood level.

Prof Ivan Turok, NRF Research Chair – University of the Free State, Distinguished Research Fellow – Human Sciences Research Council, Cape Town, ITurok@hsrc.ac.za
Chuma Giyose, Project Co-ordinator, Development Action Group, Cape Town, chuma@dag.org.za
Claudia Hitzeroth, Project Officer, Development Action Group, Cape Town, claudia@dag.org.za
Zama Mgwatyu, Programme Manager, Development Action Group, Cape Town, zama@dag.org.za
Dr Andreas Scheba, Senior Researcher, Human Sciences Research Council, Cape Town, and Senior Lecturer, University of the Free State, Bloemfontein, ascheba@hsrc.ac.za

This article was originally published in the Mail & Guardian

https://mg.co.za/thoughtleader/2023-10-24-enabling-grassroots-solutions-to-the-urban-housing-problem/

News Archive

UFS produces an inspirational Summer Graduation

2016-12-12

Dr Ferial Haffajee, editor-at-large at The Huffington
Post SA, who was conferred with an honorary doctorate,
and Dr Khotso Mokhele, the Chancellor of the
University of the Free State at this year’s Summer Graduation.
Photo: Eugene Seegers

“A graduation ceremony epitomises every student’s academic dream and pursuit, and allows you to look back as you enter the professional career of your choice.”

These were the words of guest speaker Dr Mafu Rakometsi, Chief Executive Officer of Umalusi, that resonated through the Callie Human Centre at this year’s Summer Graduation on the Bloemfontein Campus. He mentioned that today graduates would look back at a journey that started with hesitant steps, and despite all their ups and downs, they had managed to make it this far.

During the afternoon session, Prof Lis Lange, Vice-Rector: Academic, at the University of the Free State (UFS), said that graduations were always an occasion for celebration and this year, there were two reasons for these celebrations.

“The first is simply that we made it through a difficult 2016 and the secondly because we are celebrating two crucial professions that will attribute to the well-being of this country, namely teachers and health practitioners.”

Meaningful graduation ceremony for Ferial Haffajee

This year, the UFS had the privilege and honour to confer editor-at-large at The Huffington Post SA, Ferial Haffajee, with an honorary doctorate in the Faculty of the Humanities.

Speaking after the graduation ceremony, Dr Haffajee said, “It was really, really meaningful for me, because I’ve never been able to graduate. When I finished university, it was during the struggle against apartheid, so we didn’t graduate. It was a wonderful day and wonderful to see the role that young people are playing on this campus.”

“Dr Ferial Haffajee has made a significant contribution to press freedom in South Africa. She is known both nationally and internationally for the work she has done and therefore it is an honour to welcome her as a Kovsie. She is one of the people who represent the values of the UFS. We are proud of her and we wish her great success,” said Prof Milagros Rivera, Head: Department of Communication Science and acting Dean of the Faculty of the Humanities at the UFS.

Photo: Johann Roux

Inspiration drawn from graduation ceremonies

During his address, Dr Khotso Mokhele, the Chancellor of the UFS, made special mention of many that inspired him at the graduation ceremonies.

His inspirations included Dr Ambrotius Swartbooi, who suffered a spinal injury from a near-fatal car accident which left him paralysed and a quadriplegic, yet who still managed to receive his doctorate; Setsoane Ntseki, a matriculant with poise and an incredible voice, who delivered the song item; Judge Ian van der Merwe, Chairperson of the Council at the UFS and a close friend of Dr Mokhele, with whom he worked for many years; as well Dr Haffajee, a trail-blazer that many look up to.

Damian Viviers was recognised as one of the youngest PhD graduates in the Faculty of Law, where he received a PhD in Mercantile Law. He is a research fellow in the Department of Mercantile Law, and was recently appointed as candidate attorney in the commercial department at Phatshoane Henney Attorneys.

In closing, his message to the class of 2016 was simple, that even though the world and our country may find itself in an odd space now, the graduates needed to remember that even though they would become leaders, there was always something bigger than themselves.

“Go out there and do us proud. Come back and plough back into this institution not only with your money, but your skills and time too.”

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