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​In order to focus on core business, the SOCs are disposing of property no longer required for operational purposes. As a first step, SOCs have undertaken an assessment of property required for current and future core operations (e.g. provision of electricity, freight movement). Property required for core business will not be sold.

Non-core property that has been earmarked for disposal, has been categorised as follows:

  • Transfer to other government departments
  • Transfer to Department of Human Settlements
  • Sale
  • Development

Transfer to other government departments

Government departments have been offered a first right of refusal on property for disposal in support of government’s public service delivery mandate.

Transfer to Department of Human Settlements

The Department of Human Settlements has identified SOC non-core property suitable for housing to assist with the alleviation with the national housing shortage. Negotiations for this bulk property disposal are at an advanced stage and will be concluded soon.


Property will be sold on open tender. Commercial property for sale is located mainly in urban areas and along rail networks throughout the country and includes office, retail, industrial as well as vacant land with development potential. These properties will be released onto the market over the next three years. The SOC will be responsible for the disposals.

In recognition of the role the property disposals can play in helping to transform the property sector, the DPE has developed a set of Broad-Based Black Economic Empowerment (B-BBEE) Guidelines to guide the SOC sales process. The guidelines are aligned to the Department of Trade and Industry’s gazetted Codes of Good Practice for B-BBEE. In addition, the Department of Public Enterprises is developing a Toolkit for B-BBEE Self Assessment to assist enterprises in measuring compliance with the Codes of Good Practice. The SOC Property Disposals, B-BBEE Guidelines and Self Assessment Toolkit will be available soon.


Property for development includes a number of precincts of strategic importance which are located adjacent to ports or Central Business Districts (CBD). These areas have the potential to promote mixed use and mixed income areas as well as urban renewal and integrated development. Opportunities for joint ventures, public private partnerships (PPPs) and B-BBEE promotion will be created through this process.