Our Approach to
land ownership in rural South Africa and developing our portfolios
South Africa is similar to many African countries which still model more than one property arrangement. In this regard we note the communal land model which is still highly prevalent in rural South Africa. Land is NOT sold but given by Chiefs to persons or companies seeking to build homes or developments.
Our team of legal experts prepare the necessary documentation and efficiently compile land ownership documents once binding agreements are reached with land owners (Chiefs). In some instances land already awarded to private persons or organizations is bought at reasonable prices.
Investor funds are thereafter utilized to develop business hubs, shopping centres or affordable housing units on this land with a clear intention of rewarding investors with returns. Local government can play a fundamental role in assisting in the delivering of much needed infrastructure and services such as water, lights, roads and connectivity. However, it has always been our motto never to wait upon government to deliver anything. We strive to make those investments ourselves.
THE PROCESS
- Step 1 Identification of areas with potential
- Step 2 A needs analysis is done in terms of lack of services
- Step 3 Consultation and research with Communities
- Step 4 Consultations and Research with Chiefs
- Step 5 Community Engagement
- Step 6 Acquisition of land through agreed processes
- Step 7 Constructions and Development
- Step 8 Open for business
Our team at TS Dotyeni research and identify rural spaces with great potential for developments with specific focus on the following sectors:
– Retail Spaces
– Hotels and Hospitality
– Entertainment
– And other identified focus areas
Once the area and location is identified our next steps unfold
A comprehensive need analysis of the area is completed clearly identifying the services and infrastructure that lack in that specific area.
Consultation is key. This process is used to determine which services are desperately needed/ desired by communities. This is a research process.
An appetite assessment is done with those in power. It is important to determine if those who occupy positions of power in these areas are willing to support developments and initiatives proposed by communities. Purely a research process
Once a development plan is designed and drafted, certain key segments of the community are consulted. It is always important to remember that NOT everyone should be involved but key segments. This process is used to garner support for the development agenda.
Land is either acquired through purchase or negotiation. Once the purchase is complete our legal teams ensure that all necessary legal agreements and paperwork is up to standard.
Construction in the rural areas is not controlled through formal municipal processes and therefore construction can commence once funding becomes available. This usually makes the process for developments much quicker.
The local community MUST participate in the construction phase so that they can benefit financially.
On completion launch the business initiative by hosting a one day launch wherein the communities are invited and everyone celebrates.
Maintain good relations with the locals.