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The Passenger Rail Agency of South Africa (PRASA) has asked for expressions of interest from potential buyers for noncore properties, including vacant land and existing residential properties, that it is planning to sell.
PRASA, through PRASA Corporate Real Estate Solutions (PRASA Cres) and subsidiary Intersite Asset Investments, owned a portfolio of 4 475 properties and 4 200 ha of land in Durban, Cape Town, Johannesburg and Pretoria.
In an emailed response to questions, Intersite commercial services executive manager Mthandeni Mntungwa told Engineering News Online that the residential properties included old railway houses, which were vacant, occupied or informally occupied or vandalised.
“These houses were used by railway workers previously and some may still be in occupation, [but] these houses are located on unsubdivided land, which makes it more difficult to sell to potential buyers or current tenants,” he added.
Mntungwa noted that the extent of vacant land that was available for disposal could not be confirmed, as most of the land was unsubdivided or surveyed off the railway reserve or parent erf.
However, he noted that the “initial batch” to be sold comprised 25 860 m² or 2.59 ha, subject to new additions, as “this is the first batch in a multiyear programme of disposals that PRASA will be embarking upon”.
“The potential and scope [for] developing these pieces of land has been explored and found to be limited,” he noted.
“Other well-located residential properties will be converted into sectional titles for sale or rental market,” he said.
Mntungwa said individuals and business entities could apply to buy the land. “We have, to date, received enquiries from developers, private companies and individuals.”
Interested parties had until March 4 to respond to PRASA’s request for expressions of interest.