City of Johannesburg Inclusionary Housing Policy

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* 1. What is your role in the property sector?

a) Property developer

b) Legal (e.g. conveyancer)

c) Consultant (e.g. architect, QS)

Other (please specify)

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* 2. Which property development sector is applicable to you?

a) Retail

b) Residential

c) Industrial

d) Office

e) Not applicable

f) None of the above

Additional option/elaboration

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* 3. In your business/professional capacity, are/have you been active in the City of Johannesburg? Please elaborate on the nature of your activity.

a) Yes

b) No

Additional options/elaborations

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* 4. If applicable, which type of residential property developments are you predominantly involved in?

a) Low-income housing

b) Middle-income housing

c) High-income housing

d) Not applicable

e) None of the above

Additional option/elaboration

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* 5. Considering the objective of inclusionary housing to improve affordable housing delivery in well- located areas to foster social integration and access to economic opportunities for low-income households, should the private sector play a more prominent role in alleviating the affordable housing backlog in South Africa?

Please elaborate your answer.

a) Yes

b) Not sure

c) No

Additional option/elaboration

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* 6. Based on your answer in Question 5, should private developers be mandated to provide affordable housing as part of market-orientated residential developments in the City of Johannesburg? Please elaborate your answer.

a) Yes

b) Not sure

c) No

Additional options/elaborations

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* 7. As a stakeholder in the property development sector, how will this inclusionary housing policy affect current/future development projects in which you are involved?

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* 8. Considering the mandatory, City-wide approach to inclusionary housing provision in the City of Johannesburg, will the implementation of this policy have a positive or negative effect on the residential property market? Please elaborate your answer.

a) Positive

b) Negative

c) Neither

d) Not sure

Additional option/elaborate

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* 9. The inclusionary housing policy of the City of Johannesburg will -

a) Attract investment in the residential development sector

b) Deter investment in the residential development sector

c) Neither of the above

d) Not sure

Additional option/explanation.

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* 10. What could be the potential positive effects of this policy on the City of Johannesburg? Please elaborate your answer.

a) Increased market-orientated housing supply

b) Increased affordable housing supply

C) Improved residential construction sector

d) Inflow of investment to the local residential market

e) None of the above

Additional options/elaborations

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* 11. What could be the potential negative effects of this policy on the City of Johannesburg? Please elaborate your answer.

a) Decreased market-orientated housing supply

b) Downturn in the residential construction sector

c) Economic growth downturn

d) Increased house prices

e) Decreased house prices

f) Displacement of investment from the local residential market

g) None of the above

Additional option/elaboration

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* 12. As a residential property developer, how would you react to the implementation of this inclusionary housing policy in the City of Johannesburg? Elaborate your answer.

a) Voluntarily incorporate inclusionary requirements in smaller developments to access incentives

b) Incorporate mandatory inclusionary housing requirements

c) Non-compliance with local inclusionary housing requirements

d) Invest in non-residential property development markets

e) Invest in property markets outside the City of Johannesburg

f) Increase the price/rentals of market-orientated residential units

g) Decrease future local residential property investment

h) None of the above

Additional option/elaboration

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* 13. If applicable, what are the primary concerns relating to the implementation of the City’s inclusionary housing policy? Please elaborate on your answer.

a) Increased developmental “red-tape”

b) Mandatory inclusionary housing implementation

c) Inclusionary requirements applicable to developments with 20 or more units

d) City-wide inclusionary housing requirements inflexible to land and property prices

e) Minimum of 30% of the total units to be inclusionary housing

f) Inability of offered incentives to offset increased costs to developers

h) Social factors that influence implementation (e.g. NIMBYism)

i) Inclusionary housing objectives not achieved

j) None of the above

Additional options/elaborations

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* 14. What is your preferred option for inclusionary housing implementation? Explain your answer.

Option 1: 30% of dwelling units are (i) social housing, (ii) FLISP housing, (iii) or housing with a rental cap of R2 100 (2018 prices)

Option 2: 10% of the total residential floor area is made up of small units (minimum size: 18m2; maximum size: 24m2). The requirement that a minimum of 30% of the total units must be for inclusionary housing remains in place

Option 3: 20% of the total residential floor area is made up of units that are 50% of the average market unit size (minimum size: 18m2; maximum size: 150m2). The requirement that a minimum of 30% of the total units must be for inclusionary housing remains in place

Option 4: To the satisfaction of City Transformation and Spatial Planning, City of Johannesburg

None of the above

Additional options/elaborations

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* 15. Which inclusionary housing mechanism may support the feasible implementation of the policy in the City of Johannesburg? Kindly explain your answer.

a) Price and rental restrictions in perpetuity

b) Restricting the size of residential units

c) Negotiation-based approach on a project-by- project basis

d) None of the above

Additional options/elaborations

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* 16. Option 1 of inclusionary housing implementation, as per the policy document, mandates that 30% of dwelling units in applicable residential developments are (i) social housing, (ii) FLISP housing, (iii) or housing with a rental cap of R2 100 (2018 prices). What are the primary concerns relating to the implementation of Option 1 in the City’s inclusionary housing policy? Please elaborate on your answer.

a) Target household income brackets for affordable units inflexible to land and property prices

b) Price and rental restrictions on affordable units in perpetuity

c) Additional costs associated with the management of affordable units

d) Potential partnerships with Social Housing Institutions (SHIs)

e) None of the above

Additional options/elaborations

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* 17. Options 2 and 3 of inclusionary housing implementation, as per the policy document, remove price/rental restrictions on inclusionary units in relevant residential development, while mandating delineated size restrictions on said units. With reference to Options 2 and 3, does the removal of price/rental restrictions add to the feasible implementation of the City of Johannesburg’s inclusionary housing policy? Explain your answer.

a) Yes

b) Not sure

c) No

Additional options/elaborations

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* 18. Furthermore, will restrictions on residential unit size, as proposed in Options 2 and 3, achieve the policy’s objective of providing affordable units to low-income households in perpetuity? Elaborate your answer.

a) Yes

b) No

c) Not sure

Additional options/elaborations

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* 19. Option 4 of inclusionary housing implementation is a negotiated outcome “to the satisfaction of Council”. This includes the submission of a development proposal from the private developer to City Transformation and Spatial Planning. Does the inclusion of this negotiation-based approach on a project-by-project basis add to the feasible implementation of the City’s inclusionary housing policy? Please elaborate on your answer.

a) Yes

b) Not sure

c) No

Additional option/elaboration

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* 20. Certain incentives are offered by the City of Johannesburg to offset increased private developer expenditure during inclusionary housing provision. This includes (i) increased Floor Area Ratio (FAR); (ii) increased density (du/ha); and (iii) reduced parking requirements for the inclusionary housing units. Are you of the opinion that these incentives will be sufficient in offsetting the increased cost to private developers? Please elaborate on your answer.

a) Yes

b) Not sure

c) No

Additional option/elaborate

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* 21. Which additional incentives would you suggest in support of the feasible implementation of the inclusionary housing policy?

a) Decreased bulk infrastructure connection time

b) Reduced bulk services contribution

c) Bulk services infrastructure payment holiday

d) Reduced municipal rates

e) Favourable lending rates

f) None of the above

Additional options/elaborations

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* 22. A central objective of inclusionary housing is to foster socio-economic integration in urban areas. How would you describe the reaction of middle- to high-income housing consumers to the inclusion of affordable housing in certain new residential development in the City of Johannesburg? Please elaborate your answer.

a) Positive

b) Negative

c) Neither

d) Not sure

Additional option/elaboration

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* 23. The following section seeks to delineate certain policy amendment to support the feasible implementation of inclusionary housing in the City of Johannesburg and other urban areas of South Africa. This requires inputs from the private sector on matters relating to the appropriate inclusionary housing mechanisms, requirements, implementation methods, affordability ranges, and housing typology.

Based on your expertise, what is the appropriate approach to inclusionary housing implementation in the City of Johannesburg?

a) Voluntary approach: Private developers voluntarily incorporate affordable housing units and gain access to incentives offered by the City

b) Mandatory approach: Inclusionary housing requirements are mandated across the City for relevant new residential developments

c) Targeted approach: Inclusionary housing requirements are mandated for relevant new residential development in certain delineated areas of the city

d) Not sure

e) None of the above

Additional options/elaborations

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* 24. How should inclusionary housing requirements for applicable new residential developments be determined?

a) Predetermined amount: A constant percentage of units in new developments are subject to price/rental/size restrictions

b) Flexible requirements: Inclusionary housing requirements flexible to spatial fluctuations in the property market and economic conditions

c) Negotiation-based: The inclusionary housing requirements are negotiated between the private developers and the City of Johannesburg on a project-by-project basis

d) Inclusionary housing should not be implemented in the City of Johannesburg

e) None of the above

f) Not sure

Additional options/elaborations

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* 25. During the delivery of inclusionary housing, affordable units should be:

a) Provided on-site of the market-orientated units with unrestricted access

b) Provided off-site on an appropriate predetermined development site

c) Exchanged for the payment of an in-lieu fee to the City to be used for affordable housing development by the public sector

d) Inclusionary housing should not be implemented in the City of Johannesburg

e) Not sure

f) None of the above

Additional option/Elaboration

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* 26. In determining the low-income recipients of the affordable units, the target household income should be:

a) Standard throughout the City of Johannesburg, irrespective of fluctuations in land and property values

b) Spatially flexible based on fluctuations in land and property values, market characteristics, and economic conditions

c) Inclusionary housing should not be implemented in the City of Johannesburg

d) Not sure

e) None of the above

Additional option/elaboration

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* 27. The typology of affordable units in inclusionary housing developments should be (Please elaborate your answer):

a) Rental units

b) Bonded units

c) Combination of rental and bonded units

d) Not sure

e) Inclusionary housing should not be implemented in the City of Johannesburg

f) None of the above

Additional option/elaborate

City of Johannesburg Inclusionary Housing Policy

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* 1. What is your role in the property sector?

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* 2. Which property development sector is applicable to you?

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* 3. In your business/professional capacity, are/have you been active in the City of Johannesburg? Please elaborate on the nature of your activity.

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* 4. If applicable, which type of residential property developments are you predominantly involved in?

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* 6. Based on your answer in Question 5, should private developers be mandated to provide affordable housing as part of market-orientated residential developments in the City of Johannesburg? Please elaborate your answer.

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* 7. As a stakeholder in the property development sector, how will this inclusionary housing policy affect current/future development projects in which you are involved?

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* 8. Considering the mandatory, City-wide approach to inclusionary housing provision in the City of Johannesburg, will the implementation of this policy have a positive or negative effect on the residential property market? Please elaborate your answer.

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* 9. The inclusionary housing policy of the City of Johannesburg will -

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* 10. What could be the potential positive effects of this policy on the City of Johannesburg? Please elaborate your answer.

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* 11. What could be the potential negative effects of this policy on the City of Johannesburg? Please elaborate your answer.

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* 12. As a residential property developer, how would you react to the implementation of this inclusionary housing policy in the City of Johannesburg? Elaborate your answer.

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* 13. If applicable, what are the primary concerns relating to the implementation of the City’s inclusionary housing policy? Please elaborate on your answer.

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* 14. What is your preferred option for inclusionary housing implementation? Explain your answer.

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* 15. Which inclusionary housing mechanism may support the feasible implementation of the policy in the City of Johannesburg? Kindly explain your answer.

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* 18. Furthermore, will restrictions on residential unit size, as proposed in Options 2 and 3, achieve the policy’s objective of providing affordable units to low-income households in perpetuity? Elaborate your answer.

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* 21. Which additional incentives would you suggest in support of the feasible implementation of the inclusionary housing policy?

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* 24. How should inclusionary housing requirements for applicable new residential developments be determined?

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* 25. During the delivery of inclusionary housing, affordable units should be:

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* 26. In determining the low-income recipients of the affordable units, the target household income should be:

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* 27. The typology of affordable units in inclusionary housing developments should be (Please elaborate your answer):

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* 28. If applicable, are there any remaining concern/suggestions regarding the implementation of inclusionary housing in the City of Johannesburg?