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Election 2014 result should prompt better service delivery in Gauteng property market

The greater Johannesburg residential property market could be entering a value-adding new era of improved local government service delivery says luxury home specialist Ronald Ennik.

“The dilution of Gauteng voter support for the ruling party in Election 2014, and the subsequent appointment of David Makhura as Premier of the Province, should herald a welcome end to the lacklustre services provided in the past,” adds the CEO of Christie’s International-affiliated Ennik Estates.

“And, as the process unfolds under the new provincial leadership, the positive effect on Gauteng’s residential property market will be significant – particularly in Johannesburg Northern Suburbs and Sandton.

“The area is not only the financial and commercial hub of South Africa, but also the biggest single generator of rates and other income for the local authority,” says Ennik.

“Yet the value of residential property that lies within it has been undermined in the past by poor delivery of infrastructural development, maintenance, and administration services.”

Tardy processing of applications for rezoning and new residential developments has been a particular area of concern, says Ennik.

“A big uptick in the delivery of these and other services – such as improved road, power and water infrastructure – will clearly shore up the ANC’s 2016 provincial election prospects in Gauteng, where its past voter dominance now faces its first real post-democracy challenge.

“More important, it will restore lost value to streets, suburbs and neighbourhoods that have become ‘marked down’ by lack of adequate municipal services in the past.

“The cherry on the top of improved infrastructural service would be better timeframes and streamlined processes on rezoning applications, clearance certificates, cancellation figures, and other property-associated administrative services that have also been delivered in slow motion,” Ennik concludes.

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