What is a Consolidation?  

A consolidation refers to land parcels or erven that are situated adjacent and are unified into a single land parcel that is capable of being registered in the Deeds Office as a single property. in terms of a consolidation application as

A consolidation can be done on an erf within a claimed township (existing neighborhood) or on farmland. Consolidations are governed and subject to the relevant local zoning and land use by-laws of a municipality and its regulations.

 

What is a consolidation application?

A consolidation application is a legal process that focuses on combining multiple land parcels into a single, unified property.

The application is, in most cases, drafted by a town planner or developer, outlining a proposed consolidation of land parcels into a unified portion. A consolidation plan forms part of the requirements of a consolidation application. 

 

Purpose of a Consolidation

A consolidation has the following purpose:

• Organised Development: Land consolidation can help provide for organized urban development in areas for certain projects.
• Scale: A consolidation of erven or land will increase the property and land area.
• Development Controls: Consolidation of erven can lead to increases in the permissible footprint area of a building.
• Infrastructure Development: Consolidation can facilitate and provide for the implementation of services such as parking, attenuation ponds, service roads, irrigation systems, and other infrastructure required for communities.

 

Technical Considerations for Consolidation 

The following technical considerations need to be investigated before a consolidation can be considered:

• Location of Property: The land parcels for consolidation need to be situated within the same township.
• Zoning: The land parcels for consolidation need to have the same or identical zoning.
• Title Deed: Conditions in the Title Deed need to be investigated to determine if consolidation can be done.
• Servitudes: Existing servitudes need to be investigated to determine if consolidation is viable.

 

What Documents are Required for a Consolidation Application? 

The following Documents can typically be required a Consolidation Application.  

• A pre-application, as may be determined by the relevant municipality
• Cover letter addressed to the relevant municipality
• Completed application forms.
• Motivation Report which complies with the relevant Municipality By-laws
• A locality plan indicating the locality of the property
• A zoning plan indicating the zoning of the current and surrounding properties on an appropriate scale
• A land use plan indicating the land use of the current and surrounding properties on an appropriate scale
• Site Plan: A scaled drawing that displays the property cadastral, with proposed and existing structures aligned to the consolidation proposal. The site plan can also indicate the elevations of the proposed building work.
• Consolidation Plan
• Details of the surrounding properties that require notification List of neighbors
• Zoning certificate (issued by the municipality)
• Proposed Annexure/Zoning Rights
• Registered title deed
• A power of attorney is signed by the owner.
• Conveyancing Certificate complied by a Conveyancing Attorney
• A land surveyor certificate compiled by a land surveyor
• Consent from the bondholder (if applicable and if bonded with a bank) must be submitted with the application.
• Specialist Studies: Depending on the consolidation proposal and requirements of the municipality, specialist studies such as services reports, agricultural potential studies, geotechnical reports, traffic impact studies, market studies, etc. may be required.

 

Understanding the Consolidation Process 

A consolidation process in South Africa is subject to the relevant requirements of the respective local municipality. Each municipality has different requirements for a consolidation application and the consolidation process. The following process is generally applicable for a consolidation application:

• Inquiry Stage: The landowner or developer interested in consolidating the properties contacts a professional town planner. Basic information should be provided for the purpose of the proposed consolidation (i.e., number of land parcels, proposed land use, etc.).. The appointed town planner will conduct a desktop assessment to determine if the proposed consolidation aligns with council policies.

• Pre-Application Consultation Stage: A meeting is typically arranged with the municipality’s town planning department and consulting town planner. During this meeting, the potential consolidation is discussed, and the municipality provides guidance on the viability of the proposal based on council policies. The pre-application can also be provided in written format and is subject to council requirements. A pre-application process is helpful as it will give guidance on whether the consolidation proposal will be supported in principle. It also provides the property owner with transparency and assurance that the proposal will be supported in principle and eliminates the risk of receiving a consolidation refusal in the process.

• Formal Application Stage: Once the landowner or developer decides to proceed with the consolidation application, a formal application for consolidation needs to be submitted to the municipality, compiled by a competent and professional town planner. This application includes various documents, such as the consolidation plan, motivation report, and payment of the relevant application fees. It is always advised that a professional and competent town planner compile the application.

• Public Participation Stage (if required): Most municipalities in South Africa do not require a public participation process for a consolidation application. The public participation process is only applicable if the zoning of the property is changed or altered, or if a simultaneous subdivision is also done with the consolidation application.

• Technical Assessment Stage: Each required department at the municipality must provide comments on the proposed consolidation application. The municipality may also request comments and input from external or provincial departments, depending on the nature and location of the proposed consolidation application.

• Evaluation Stage: As soon as input from all the respective and required departments has been received, can the responsible town planner at Council evaluate the proposed consolidation application? The municipality will make a decision on the application. This decision could include approving the consolidation, approval subject to certain conditions, refusal of the consolidation, or referring it back to the applicant for further information or amendments.

• Compliance Stage: Once a consolidation application is approved, the application will, in most cases, be subject to certain conditions. It remains the responsibility of the owner to ensure that all the conditions are met based on the consolidation condition requirements. An example can be the payment of bulk contributions to the municipality, ensuring that the SG diagrams are approved and that the required services and infrastructure are installed to the satisfaction of the relevant municipality. Once all the conditions have been met, a Spluma Certificate, or PCP, can be issued by the municipality confirming that all the conditions of the consolidation approval have been complied with. In South Africa, the compliance process is sometimes referred to as a SPLUMA Certificate or PCP Application.

• Implementation stage: After completion of the compliance stage, the property owner or developer can proceed with the transfer of the consolidated land parcels.

 

It should be noted that the consolidation process can vary slightly between different municipalities in South Africa. It is therefore advised that you contact a Professional Town Planner to start the consolidation application process. 

Contact Urban Arrow to consolidate your property.

 

What professionals are involved in the Consolidation process? 

Various professionals are involved in the consolidation process. This ultimately depends on the scale and location of the consolidation application. The following professionals are typically involved in the consolidation process:

• Town Planner: The Town Planner will ensure the consolidation application is approved and the conditions of approval are complied with in terms of Council requirements.

• Land Surveyor: A land surveyor can be used for a survey to ensure that the topographical data and existing structures are accurately captured for the consolidation diagram. The land surveyor also needs to compile a SG diagram after approval of the consolidation application.

• Architect: Depending on Council requirements, an architect might need to compile a site plan or site development plan for the proposed consolidation application.

• Civil and Electrical Engineers: Civil and Electrical Engineers are required to ensure that the proposed consolidation and connection to services within the area.

• Geotechnical Engineer: The council might require a geotechnical report compiled by a professional geotechnical engineer. This is normally required in areas where there are bad soil conditions or a risk of dolomite.

• Attorney: Certain municipalities also require a conveyancing certificate that is compiled by an attorney. The attorney will also take charge of the transfer of the newly consolidated land parcels later in the process.

• Environmental Practitioners (if applicable): An Environmental Practitioner can be required in the consolidation process should there be any environmental sensitivity on site and ensure that the listing notices in terms of NEMA area are upheld. The environmental practitioners can also be required to submit a landscape development plan if required by the council or the relevant governing body.

 

How long does it take for a consolidation application to be approved?

• Depending on the type of application and municipal jurisdiction, obtaining approval for consolidation can take between 5 and 9 months or even longer.

• A consolidation can also trigger the need for a rezoning application, depending on the zoning restrictions of the property. This can also extend the process of consolidation.

• After the application is submitted by the town planner, the consolidation application is circulated to relevant council departments for comments on the application. The consolidation application is then processed by a municipal planning officer, who makes a recommendation as to whether the application should be approved or not.

• Certain municipalities also require public participation for a consolidation application. Should objections be received during the public participation process, the timeframe for a decision can cause serious delays in the processing and approval of the consolidation application. If an agreement cannot be reached between the owner and objectors, a hearing must be held, which can extend the finalization period by 9 months or even longer. 

 

Why do I need to Consolidate?  

There are several reasons why a property owner would want to consolidate. Some general reasons include:

• To maximize the land area: Consolidation of properties allows the property owner to increase the size intended for development. This is extremely useful for a larger development with smaller land parcels.

• Monthly Expenses: A consolidated property will generate only one (municipal) account. The property owner can save considerable fees over a prolonged period.

• Access to land and opportunity. The consolidated property can attract interest from developers and investors.

Contact Urban Arrow for Professional advice on your Consolidation Application