JOSHCO moves to recover over R3 million in unpaid rent (original) (raw)

The Johannesburg Social Housing Company (JOSHCO) says it is owed more than R3 million by commercial tenants in the inner city who have failed to pay rent.

The revelation comes as Joburg Human Settlements MMC Mlungisi Mabaso led an operation targeting businesses operating from JOSHCO-owned buildings.

ALSO READ: City of Joburg locks doors of businesses failing to honour rental agreements

JOSHCO social housing crackdown exposes severe overcrowding in Hillbrow buildings

City officials say the campaign forms part of efforts to protect municipal revenue and crack down on illegal occupation and subletting.

Several shops have been locked and their leases terminated as officials move to recover outstanding debt.

Some business owners have pleaded for more time to settle their accounts, but the city says it can no longer afford to tolerate months of non-compliance.

Mabaso said a handful of tenants account for millions of rand in unpaid rent.

“Most of our shops, in our commercial spaces, are not paying. This one owes R500, 000. There’s another one that is owing R800,000, but combined, it exceeds 3 million rand, and that is the amount that is owed to the entity by these shop owners. And that’s why we’ve decided to close them now because we are terminating their leases.”

Officials said the operation will continue across the inner city as the city steps up efforts to recover money owed to Joshco.