Efforts to rebuild parts of KwaZulu-Natal and Johannesburg after widespread unrest in July, are facing disruption. This is according to the South African Property Owners Association (SAPOA) and The Black Business Council in the Built Environment (BBCBE) who have issued a joint statement, warning about construction projects worth billions of Rands "being violently disrupted and halted in South Africa", causing further harm to investor confidence in the SA economy.
Both organisations are engaging the SAPS to join forces with the industry so as to ensure "efforts are coordinated and the responses are measured".
"We do not want to endanger the lives of anyone on these sites and beyond," said the organisations who are calling on their members not to succumb to the "intimidation and violent tactics and to increase the presence of private security around construction sites".
According to SAPOA, the recent unrest that sought to destabilise South Africa has had a R50bn impact on the country's GDP.
The industry bodies are now concerned local gangs, who organised themselves into so called business forums and pounce on construction sites and then threaten to shut them down unless they are given 30% of the work".
These gangs have now shifted focus to Johannesburg and are operating in a similar manner, according to the joint statement.
"Several sites have given into the demands of construction mafia at the risk of the project disruption, delay and increasing costs. Many firms were forced to enter into negotiations and reach a settlement with the various business forums, whilst several approached the courts to interdict the Business Forum from intimidating or harassing construction workers."
"There is a fundamental difference between genuine, hard-working entrepreneurs looking to be part of this supply chain and the construction mafia. People who invade sites illegally, armed to the teeth, threaten law abiding citizens with violence, intimidation and in some cases resulting in murder, are syndicates whose primary objective is to use violence as a means to an end.
"The organisations have called for a collaborative and consultative approach to actively engage with stakeholders as a way to mitigate possible disruptions and stoppages on construction sites as developers and contractors of all sizes are adversely affected by this criminal activity."
Want all the latest property news and curated hot property listings sent directly to your inbox? Register for Property24’s Hot Properties, Lifestyle and Weekly Property Trends newsletters or follow us on Twitter, Instagram or Facebook.
Print
