Bellville Velodrome: Deal falls through after long court battle

The velodromeFOTO:

Credit: www.wynghs.co.za

For years, the Bellville Velodrome and surround­ing area remained in a stagnant state, as the City of Cape Town and a developer fought each other in court over a promised massive upmarket development.

However, the City and developing-consortium Devmet’s ways have recently parted, paving the way for the Velodrome to be developed once more.

Over the past decade, the Velodrome has often been called a white elephant, as the building, which was once a popular spot for sporting events and concerts, wasn’t being utilised as before, with many citing increasing security concerns.

The Velodrome itself will be restored by the City and millions have been set aside for this, TygerBurger has learnt.

Ambitious plans

The Devmet Property Development group, a consortium formed with companies including Devmark, won the tender to develop the 11,5 ha area, which includes the Velodrome in 2009.

Devmet had big plans for this area, which it called the Galleria Development.

The development, valued at around R3 billion, would see the building of an upscale mixed-use neighbourhood, with shops, restaurants, a hotel, apartments and more.

The court case was initiated after a dispute surrounding a R25 million upgrade to surrounding roads Devmark didn’t want to pay.

The City’s Mayco member for economic growth, James Vos, says the parties entered into arbitration in respect of the sale agreement.

“The outcome of the arbitration proceedings concluded that the sale agreement is void.”

Background of case

Vos says Devmet appealed the land use approval granted by the City dated 30 October 2013.

“This was in respect of the development proposal submitted as part of the tender awarded on 28 October 2009.”

The appeal by Devmet was dismissed by the Provincial Minister of Local Government, Environmental Affairs and Development Planning, Western Cape in February 2015.

On 12 August 2015, Devmet approached the Western Cape High Court for a motion to review the above decision, with the provincial minister as first respondent and the City as second respondent.

“The City was not the initiator of these actions, but resolved to settle the disagreement through an order of the Western Cape High Court in 2019,” Vos says.

“This was done to expedite the dispute mechanisms provided by the contract of sale. It was the final court action in respect of the subject and no outstanding matters are being considered for litigation.”

How much these prolonged legal cases cost the taxpayer remains unclear. The City says they do not provide a breakdown of legal fees for specific cases as “most litigation run over multiple years, and are budgeted for in the day-to-day operational budget of the said department”.

Still on this year’s framework

Despite the deal not going ahead, the word “Galleria” and the name is often featured in the northern district Spatial Development Framework (SDF) approved by council on 26 January this year.

“The Galleria development” is identified as a place earmarked for mixed intensification and a New Development Area (NDA) in the northern district.

“Arguably, one of the most controversial passages in the document mentions the “extension and upgrade of Uys Krige Drive to link with Carl Cronje Drive to facilitate development of the University of Stellenbosch Business School site, as well as the Galleria development. This goes hand in hand with the development of the half-diamond interchange on/off the N1 freeway.”

This road extension has far-reaching consequences for the residents in specifically Hoheizen where the road will run through.

The road will cut through this area, which has around 300 households, and one entry and exit point.

The road will cut through this area, affecting nine properties.

Earlier reports say some residential properties will have to be sold and demolished.

Eddie Andrews, the City’s Deputy Mayor and Mayco member for spatial planning and environment, says this must be seen in context and implies the word Galleria is just used as a placeholder.

He says it’s important to note that the DSDF does not give development rights, “neither does it take any rights away. The area around the Velodrome remains earmarked for mixed use intensification, and therefore the underlying support for such a form of development remains”.

Rob Quintas, the City’s Mayco member for urban mobility, says the Uys Krige extension won’t be happening soon, but will be required one day.

“The extension of Uys Krige Drive is on the Council approved Public Right of Way Road Network Plan and will be required in time, but is dependent on future adjacent development requiring it for access, circulation and to distribute the trips generated on the adjacent road network. Thus, simply put, the road will only be constructed as/when traffic demands justify the need.”

The Velodrome itself will be restored, with millions earmarked for the next few years, TygerBurger has learnt.

Patricia van der Ross, Mayco member for community services and health, says the City’s short to medium-term plan is “to restore the facility to its purpose built use”.

What happens after this remains to be seen.

“Future land optimisation will be subject to applicable procurement legislation and policy,” she says.

At time of print Devmet had not responded to a request for comment.

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