A standoff has emerged on the future of the historic Eagle building in Strand, with a local residents’ group threatening legal action to halt auctioning it, which the City of Cape Town said is not taking place.

The Helderberg Residents Concern Group (HRCG), representing a coalition of civic associations, church groups and sports clubs, has formally contested the alleged disposal of the property situated at 48 Brewery Road (erf 10687).

In a strongly-worded letter addressed to City officials, the HRCG expressed “strong disapproval” of the proposed sale, arguing the property belonged to the ratepayers of the municipality.

Shakoor Vallie, a concerned member of the HRCG, stated the building held “immense potential as a community hub”. He said the group felt the facility could fill a critical gap in local social infrastructure.

We respectfully wish to express our strong disapproval of the proposed auction… We hereby request an immediate moratorium be placed on any auction or sale of this property.

Rather than selling the asset, the HRCG has proposed a long-term lease in partnership with the City. Its vision is to establish a “centre of excellence” dedicated to youth development, skills training and employment creation.

The group demanded a meeting with key council officials, warning that failure to engage would result in legal action to stop the disposal of the site.

But the City quelled such concerns, citing such a move as mere rumour. City spokesperson Luthando Tyhalibongo said: “The building is not for sale.”

He said the City was aware of the community’s concern, while the Economic Growth Directorate said the site was purchased in 1999 aimed at operating as a business hub.

Until late 2023 the open area was occupied by informal dwellings, but these families have since moved to Morkel’s Cottage.

The erf contains two buildings: one serves as a church and residence, while the other is a residence, an NGO and informal school. Regarding the community’s request for a skills-development centre, Tyhalibongo emphasised strict regulations governs municipal property. “Public-participation processes are a key part of the Municipal Asset Transfer Regulation process.”

He assured residents that any future decision to sell or lease the property would legally require such a process, where details are advertised and the community is invited to give its input.