adminSifundiso Ndlovu Chronicle Reporter
BULAWAYO City Council is reportedly getting a raw deal from tenants leasing its properties who are said to be refusing to pay rentals. Council Finance and Development committee chairman James Sithole told Chronicle that the leased municipal properties have a potential to raise more than $300,000 monthly but very little was being realised.
“Leased council property can raise $300,000 a month. Council has challenges with some of the leased properties as they end up being used by unknown people.
“This cost council as it is forced to seek legal recourse which takes time while money is lost due to unpaid rentals,” said Sithole.
During a full council meeting on Wednesday, there was heated debate on a proposal to extend the lease periods from five years to 25 years.
The councillor for Ward 19 Councillor Clyton Zana questioned why the municipality intends to extend the lease period for the properties when council had challenges with tenants that are already leasing council shops.
“The period of twenty five years is too long. We will end up with a situation whereby individuals regard council properties as theirs. Council is facing problems with some people who are leasing its shops because of these long leases,” said Councillor Zana.
The properties are reportedly rented for amounts ranging from $60 to $200 a month depending on the size of the piece of land.
Meanwhile, residents have urged council to be tough on defaulting tenants.
Bulawayo United Residents Association chairperson Winos Dube urged tenants and council to honour their lease agreements.
“Where there is an agreement both parties must abide by the terms of that contract. We must all work to develop our city,” said Dube.
He said some properties were being leased to council staff at very low rentals.
“We hear that some of the properties are rented by council staff at ridiculously low rentals. Council should have an open tender process so that deserving people benefit,” said Dube.
derick.khumalo
Online Reporter