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# South Africa: Western Cape High Court, Cape Town
South Africa: Western Cape High Court, Cape Town
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[2022] ZAWCHC 160
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## Habitat Council v The City of Cape Town and Others (10753/2018)
[2022] ZAWCHC 160; [2022] 4 All SA 378 (WCC);
2022 (6) SA 383 (WCC) (25 August 2022)
Habitat Council v The City of Cape Town and Others (10753/2018)
[2022] ZAWCHC 160; [2022] 4 All SA 378 (WCC);
2022 (6) SA 383 (WCC) (25 August 2022)
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sino date 25 August 2022
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
IN THE HIGH COURT OF
SOUTH AFRICA
WESTERN
CAPE DIVISION, CAPE TOWN
REPORTABLE
CASE
NO: 10753/2018
In
the matter between:
THE
HABITAT
COUNCIL
Applicant
and
THE
CITY OF CAPE TOWN
First Respondent
CORNELIS
ANDRONIKUS AUGOUSTIDES N.O
Second Respondent
MICHAEL
ANDRONIKUS AUGOUSTIDES N.O
Third Respondent
RAYMOND
JAMES WILSON N.O
Fourth Respondent
PANGIOTIS
ZITIANELLIS N.O
Fifth Respondent
(Second
to Fifth Respondents in their capacities as
the
trustees for the time being of the
GERA
INVESTMENT TRUST, I[...] 3[...]
)
SOUTH
AFRICAN HERITAGE RESOURCES AGENCY
Seventh Respondent
THE
EXECUTIVE MAYOR OF THE CITY OF CAPE TOWN
Eighth
Respondent
MAYORAL
COMMITTEE (“MAYCO”) OF THE CITY OF
CAPE
TOWN.
Ninth Respondent
Coram:
P.A.L. Gamble, J
Date
of Hearing: 9 and 11 March 2022
Date
of Judgment: 25 August 2022
This
judgment was handed down electronically by circulation to the
parties' representatives via email and release to SAFLII. The
date
and time for hand-down is deemed to be 10h00 on Thursday 25 August
2022.
JUDGMENT
DELIVERED ON 25 AUGUST 2022
GAMBLE,
J:
INTRODUCTION
1.
Martin
Melck was a German settler who accumulated considerable wealth as a
merchant in Cape Town during the latter part of the 18
th
century. As an adherent of the Lutheran faith, Melck and fellow
worshippers clandestinely attended church at a warehouse which
he
owned at the top of Strand Street in Cape Town. In 1779 the ruling
Dutch East India Company relented in its requirement that
all
colonists should adhere to the prescripts of the Dutch Reformed
Church and granted the right to German, Danish and Scandinavian
immigrants to erect a Lutheran Church in the city. Melck made certain
of his land available for this purpose.
[1]
2.
As a result, over the next number of
decades four large buildings were erected on that land, three of
which enjoy primary heritage
status today. The four buildings are
constructed immediately adjacent to each other and abut onto Strand
Street, a busy thoroughfare
running from south to north through Cape
Town’s CBD, and in the vicinity of its intersection with
Buitengracht Street, which
carries traffic from west to east around
the periphery of the CBD.
3.
Viewed
from Strand Street, the block between Buitengracht Street and Bree
Street (which runs parallel to Buitengracht and is located
to the
south thereof) contains, firstly, a building formerly known as the
“Kostershuis” (also sometimes called “The
Sexton’s
House
[2]
) which now houses the
Netherlands Consulate General. This is on the corner of Strand and
Buitengracht Streets.
4.
The
next building is the Lutheran Church, an ornate building in the
Rococo style with a very prominent spire, and adjacent thereto
is the
Martin Melck House, a grand 18
th
century mansion built in the Cape-Dutch style, which was formerly the
residence of the Melck family, later a parsonage for the
church and
which now houses a museum.
[3]
The aforementioned three buildings all enjoy national heritage
protection at the highest level.
5.
Lastly, on the corner of Strand and Bree
Streets, there is a building colloquially known as “the Melck
Warehouse”. Until
fairly recently it was a rather non-descript,
single-storey building with a flat roof which housed a variety of
retail outlets
accessed from both Strand and Bree Streets. The most
notorious of these enterprises was “Mike’s Sports”,
evidently
a family-owned business run by third respondent located on
the corner of Strand and Bree Streets.
6.
The Melck Warehouse has a narrow façade
onto Strand Street and runs the entire length of the block down Bree
Street where
it intersects with Waterkant Street – the first
street to the east of Strand Street. The Melck Warehouse is the
subject of
this application for review, which has a long history of
litigation. For the sake of convenience I shall refer to the
collection
of buildings as “the Melck precinct’.
OVERVIEW
OF THE REVIEW APPLICATION
7.
The Melck Warehouse (“the building”)
is owned by the Gera Investment Trust (“the Trust” and/or
“the
developer”) of which the second to fourth
respondents are the trustees. The Trust resolved to develop the
building by improving
its facades, upgrading the commercial premises
and locating a residential unit on top of the rear part of the
building towards
Waterkant Street. This ambitious project, which was
endorsed and designed by one of Cape Town’s leading
architectural heritage
firms, Gabriel Fagan Architects, required a
series of planning and related approvals from the first respondent
(“the City”).
8.
Rather
predictably, the erection of the residential component of the
development raised the hackles of many concerned citizens.
Annexed to
the founding papers herein are a series of newspaper articles and
even a cartoon by a well-known local cartoonist pillorying
the large
glass-enclosed cube which was to be erected on the roof towards the
rear of the building. The principal complaint was
that the modern
addition to the historic warehouse was out of character with the
other historic buildings in the Melck precinct.
[4]
In the result, and given the perceived heritage status of the Melck
precinct, the development was destined to be the site of a
strand-off
between heritage loyalists and commercial property developers.
9.
As
will appear more fully hereunder, the development of the building was
originally rejected by the City’s spatial planning
committee,
SPELUM
[5]
, in April 2011 and
again in September 2015. However, in November 2015 the ninth
respondent, the City’s Mayoral Committee
(“MAYCO”)
did not follow SPELUM’s recommendation and granted approval for
the development. Thereafter, the applicant
lodged an appeal against
the MAYCO decision to PLANAP
[6]
,
which upheld the MAYCO decision in March 2016.
10.
During
2016 the applicant filed a review application in this Division
against the PLANAP decision of March 2016. On 20 March 2018,
Cloete J
upheld the review and set aside PLANAP’s approval of the
development. In the meanwhile, and during 2016, the developer
applied
to the City for the approval of its building plans under the relevant
statute
[7]
. Such plans were
approved on 1 December 2016.
11.
Whilst
all of this was happening, the heritage status of the building was
being considered by the seventh respondent, “SAHRA”,
a
national body
[8]
. The applicant
believed the property should be graded as a provincial heritage site,
which would have had restrictive implications
for the proposed
development but SAHRA contended for a lower level. In March 2018, the
sixth respondent, “HWC”, a provincial
body
[9]
,
elected to join the fray and support SAHRA’s heritage grading
of the property as “Grade III A (local)”, which
is a
lower grading than the remaining buildings in the Melck precinct
which, as I have said, have national heritage status.
12.
On
5 November 2019, an appeal tribunal constituted by the Western Cape
MEC for Cultural Affairs and Sport in terms of the applicable
legislation
[10]
dismissed an
appeal by the applicant and confirmed that “Grade III A
(local)” was the correct heritage grading of the
property.
13.
In February 2020, the developer commenced
construction work on the building which continued throughout 2020
during the various stages
of lockdown implemented by the National
Government in response to the Covid-19 pandemic. In July 2020, the
developer obtained approval
of so-called “rider building plans”
and in February 2021 it obtained further approval for its balcony
plans which were
subsequently implemented. This balcony is on the
Waterkant Street side of the building.
14.
In April 2021 the developer received a
letter of support from SAHRA in respect of the project under
construction and throughout
2021 and early 2022 construction
continued apace. The Trust points out that, notwithstanding the
Covid-19 lockdown, the building
work has taken place openly and in
the full view of the public using two major thoroughfares in the CBD.
At the time that this
application was heard in March 2022, the Trust
said that the ground floor part of the development was largely
complete and that
it had concluded leases for a number of retail
outlets whose premises are accessed via either Strand or Bree
Streets. 6 tenants
have evidently already taken occupancy of their
respective premises.
15.
The residential “cube”,
however, is far from complete, with only the base for the first floor
having been cast. The
Trust says, nevertheless, that it has already
concluded 11 sale agreements in respect of sectional title units
forming part of
the development. It is not clear whether this is in
respect of both business and residential units in the building.
16.
In short, a significant portion of the
project had been completed by the time the Court heard the
application for review but the
part which appears to have drawn the
most public comment is uncompleted and stands forlornly, akin to the
weathered hull of a large
marine barge awaiting removal to a
breaker’s yard.
INITIATION
OF REVIEW PROCEEDINGS
17.
On 13 September 2018 the applicant, The
Habitat Council, launched the present application for review. It says
in the founding affidavit
that it is a voluntary association of
persons and organisations not for gain, whose objectives are –
“…
to
promote consultation, cooperation and, where appropriate, coordinated
action amongst its member organizations and State bodies
and any
other bodies in all matters pertaining to the environment, with a
view to ensuring sustainable conservation, utilization
and management
of the built and natural environment.”
Having
participated in the hearing before MAYCO and having initiated the
review of the PLANAP decision before Cloete J, the
locus
standi
of the applicant is not in
issue.
18.
In its notice of motion herein the
applicant sought the following relief.
“
1.
An order condoning the Applicant’s failure to adhere to the 180
day period prescribed in section 7 of the Promotion of
Administrative
Justice Act, 3 of 2000 (“PAJA”) for the institution of
these proceedings, insofar as it may be necessary.
2.
An order reviewing and setting aside the decision dated 3 November
2015 by the Executive Mayor of the City of Cape Town and the
Mayoral
Committee (“MayCo”) (hereinafter “the decision”)
to approve the Second to Fifth Respondents’
application for the
First Respondent’s approval in respect of Erf 1[...], Strand
Street, Cape Town:
2.1
to develop in a Heritage Protection Overlay Zone, in terms of section
2.3.1 of the first respondent’s Zoning Scheme Regulations;
2.2
to permit canopy/balcony projections within a Transport Use Zone, in
terms of section 9.1.2 (h) of the Zoning Scheme Regulations;
and
2.3
to agree to the development closer than 5m from a metropolitan road,
in terms of section 18.1.2 of the Zoning Scheme Regulations
(hereinafter ‘the decision’)(sic).
3.
In addition to paragraph 1 (sic), or in the alternative thereto, a
declaration that the decision of the Executive Mayor of the
City of
Cape Town and the Mayoral Committee (“MayCo”) is null and
void.
4.
An order directing the first respondent to pay the costs of this
application,
alternatively
,
and in the event of any of the other respondents opposing the
application, an order that the First Respondent and those other
respondents opposing the pay the applicant’s costs jointly and
severally, the one paying, the other to be absolved.
5….
[F]urther or alternative relief…”
19.
A lengthy founding affidavit, containing
much inadmissible evidence, was deposed to by Mr. van der Zel in
September 2018 –
the precise date was omitted by the
Commissioner of Oaths. After production of the Rule 53 record, a
supplementary founding affidavit
was deposed to on 11 September 2020
by Mr. Deon Jacobus Beukman, the applicant’s erstwhile attorney
of record. I shall revert
to the contents of this affidavit later.
OPPOSITION
TO THE REVIEW
20.
The
application for review was opposed only by the City (i.e. the first,
eighth and ninth respondents collectively), with the Trust
and the
other respondents abiding. As the applicant correctly points out,
this is somewhat out of the ordinary in matters of this
kind, where
the City mostly abides and leaves it up to the developer to defend
its planning decisions. But there is a further anomaly
here. The
answering affidavit filed on behalf of the City was deposed to on 29
October 2020 by its attorney Mr. Christian Louis
Faure of MHI
Attorneys in Bellville
[11]
.
21.
As is apparent from the answering
affidavit, much of the evidence to which Mr. Faure deposed did not
fall within his personal knowledge
and there was a complete absence
of confirmatory affidavits by any City officials. The answering
affidavit was rather in the form
of a narrative enclosing a
compendium of correspondence and minutes of decisions taken by the
City.
22.
The applicant’s answering affidavit
was deposed to on 16 November 2020 by Mr. van der Zel and it took the
City to task for
the manner in which it had gone about opposing the
matter by way the affidavit by its attorney. The City responded to
this criticism
by filing a 25-page supplementary affidavit deposed to
by its Legal Adviser, Mr. Sibusiso Dlamini, on 27 May 2021.
23.
On the same day the second respondent
deposed to an affidavit in which he purported to confirm the contents
of Mr. Dlamini’s
affidavit. He further sought to provide the
Court with an update regarding the status of the construction work on
the property.
Mr. Faure deposed to a further affidavit, also on 27
May 2021, confirming the contents of the affidavits of Mr. Dlamini
and the
second respondent.
24.
I should point out that in the course of
this casual yet protracted exchange of affidavits, the City took two
interlocutory steps.
Firstly, on 28 September 2020, it filed a notice
in terms of Rule 30 seeking to set aside the filing of the
applicant’s founding
affidavit as an irregular step in that
these had been filed “
hopelessly
out of time
” and no application
for condonation had been made. It is not clear what became of that
application because, as I have already
shown, the City’s
answering affidavit was deposed to just a month later.
25.
Secondly, an application by the City to
strike out large portions of the founding affidavit was lodged
shortly after 16 November
2020, the date the application was signed
by Mr. Faure, who also deposed to an affidavit in support of the
striking out application
on 17 November 2020.
THE
ISSUES ARGUED BEFORE THIS COURT
26.
It is common cause that the matter was
enrolled for hearing twice during 2021. On both occasions the matter
did not proceed because
the applicant had failed to file a Practice
Note and consequently no judge was allocated to hear the case.
27.
When the matter finally commenced on 9
March 2022, the applicant was represented by Adv. A. Maher and the
City by Adv. M. Schreuder
SC. The Court is indebted to counsel for
their comprehensive heads of argument and bundle of authorities which
have facilitated
the preparation of this judgment.
28.
It was clear from the outset that Mr. Maher
found himself on the horns of a dilemma. He argued that the papers
established a clear
basis for review of the decisions sought to be
impugned but that the building plans had been approved by the City
and that pursuant
thereto the Trust had commenced construction work,
with no interim interdict having been sought to suspend same pending
the hearing
of the review. In addition, the decision of the heritage
appeal tribunal on 5 November 2019 confirming the status of the
property
as Heritage III A (local), which decision has not been
assailed, effectively put paid to any argument that the development
should
be halted on heritage related grounds.
29.
Mr. Maher argued that, in light of the fact
that the City had conceded the review in September 2016, a
development which should
not have been permitted, had nevertheless
proceeded because the developer had duly obtained approval of the
requisite building
plans, the legality whereof had not been attacked.
It was further conceded that the developer had built as it was
entitled to after
the heritage issues had finally been determined by
the appeal tribunal. Counsel could not explain why the applicant had
taken no
steps to halt the project when it became apparent that
construction work was being undertaken from early 2020 in a busy
urban thoroughfare
and in full view of the citizens of the Mother
City.
30.
Mr. Maher accepted that the current state
of the building was such that no meaningful case could be advanced
for its demolition.
The conundrum, counsel argued, was really a rule
of law issue in which the court was being asked to condone an
illegality but not
to interfere with the consequences thereof.
31.
The thrust of Mr. Schreuder’s
argument was that the application for review was moot and that any
constitutional “indiscretions”
which the applicant might
establish did not afford a basis to refuse the application on the
grounds of mootness.
32.
Argument proceeded over 2 days – 9
and 11 March 2022 – and when the matter commenced on the second
day, Mr. Maher handed
up a revised draft order which he asked the
Court to consider making. That draft tracked some of the relief
sought in prayer 2
of the Notice of Motion and reads as follows.
“
1.
It is declared that:
1.1.
the decision dated 3 November 2015 by the
Executive Mayor of the City of Cape Town and the Mayoral Committee
(“Mayco”)
(hereinafter “the decision”) to
approve the Second to Fifth Respondents’ application for the
First Respondent’s
approval in respect of Erf 1[...], Strand
Street, Cape Town:
1.1.1
to develop in a Heritage Protection Overlay
Zone, in terms of section 2.3.1 of the first respondent’s
Zoning Scheme Regulations;
1.1.2
to permit canopy/balcony projections within
a Transport Use Zone, in terms of section 9.1.2 (h) of the Zoning
Scheme Regulations;
and
1.1.3
to agree to the development closer than 5m from a metropolitan road,
in terms of section 18.1.2 of the Zoning Scheme Regulations
(hereinafter ‘the decision’)
is
subject to being reviewed and is constitutionally invalid.
2.
Notwithstanding the aforesaid declaration
of invalidity, the decision is not set aside.
3.
The decision shall accordingly remain of
full force and effect and the declaration of invalidity shall have no
retrospective effect.
4.
The First Respondent shall pay the Applicant’s costs on a party
and party scale, as taxed or agreed, and the costs shall
be paid
within fourteen (14) days of the date of agreement or the Taxing
Master’s allocator without set-off or deduction
of any kind.”
33.
The revised draft order put up by counsel
for the applicant suggests that this matter is now limited to three
issues – mootness,
constitutional delinquency by an organ of
local government and costs. I shall thus approach the review on that
basis.
MOOTNESS
34.
In
advancing the argument in favour of mootness, Mr. Schreuder relied
heavily on
Normandien
Farms
[12]
where the Constitutional Court summarized the approach towards
mootness in earlier cases and observed as follows.
“
[46]
It is clear from the factual circumstances that this matter is moot.
However, this is not the end of the inquiry. The central
question for
consideration is: really it is in the interests of justice to grant
leave to appeal, notwithstanding the mootness.
A consideration of
this Court’s approach to mootness is necessary at this
juncture, followed by an application of various
factors to the
current matter.
[47]
Mootness is when a matter ‘no longer presents an existing or
live controversy’. The doctrine is based on the notion
that
judicial resources ought to be utilized efficiently and should not be
dedicated to advisory opinions or abstract propositions
of law, and
that courts should avoid deciding matters that are ‘abstract,
academic or hypothetical’.
[48]
This court has held that it is axiomatic that ‘mootness is not
an absolute bar to the justiciability of an issue [and
that this]
Court may entertain an appeal, even if moot, where the interests of
justice so require.’ This Court ‘has
discretionary power
to entertain even admittedly moot issues’.
[49]
Where there are two conflicting judgments by different courts,
especially where an appeal court’s outcome has binding
implications for future matters, it weighs in favor of entertaining a
moot matter.
[50]
Moreover, this Court has proffered further factors that ought to be
considered when determining whether it is in the interests
of justice
to hear a moot matter. These include:
(a)
whether any order which it may make will
have some practical effect either on the parties or on others;
(b)
the nature and extent of the practical
effect that any possible order might have;
(c)
the importance of the issue;
(d)
the complexity of the issue;
(e)
the fullness or otherwise of the arguments
advanced; and
(f)
resolving the disputes between different
courts.” (Internal references omitted.)
35.
Mr.
Maher did not seriously attack the claim of mootness, as such.
Rather, counsel focused on the date when the matter in fact became
moot and the costs implications in light thereof. The second string
to Mr. Maher’s bow was based on the decision in
Merafong
[13]
.
It was said that the City had committed reviewable errors in the
process of granting the Trust the requisite authority to continue
with the development and in so doing had failed to discharge its
obligations as a “constitutional citizen”.
36.
Reliance was placed by the applicant on the
following passages in the majority judgment of Cameron J in
Merafong
.
“
[59]
Was the Supreme Court of Appeal correct to disbar Merafong from
raising a reactive defence because it failed to take the initiative?
The answer is No - but the path to that answer must first be cleared.
First, as a matter of practice, and good constitutional citizenship,
it is undoubtedly so that Merafong should have gone to court to set
aside the Minister’s ruling. As a state organ, Merafong
had the
resources, and responsibility, to obtain judicial clarity in its
dispute with AngloGold about the ruling. Instead of doing
so, it
threatened to cut off AngloGold’s water. That was not nice.
Worse, it was not good constitutional citizenship.
[60]
As a good constitutional citizen, Merafong should either have
accepted the Minister’s ruling as valid, or gone to court
to
challenge it head-on. AngloGold did what Merafong advised it to do -
it appealed to the Minister. On legal advice, Merafong
later recanted
its view that AngloGold was entitled to appeal. But that didn’t
give it warrant to bully one of its ratepayers.
In enforcing its view
of the Minister’s disputed ruling, Merafong was resorting to a
form of self-help.
[61]
This was out of kilter with Merafong’s duty as an organ of
state and a constitutional citizen. This court has affirmed
as a
fundamental principle that the state ‘should be exemplary in
its compliance with the fundamental constitutional principle
that
proscribes self-help.’ What is more, in
Khumalo
[14]
,
this
court held that state functionaries are enjoined to uphold and
protect the rule of law by, inter alia, seeking the redress
of their
departments’ unlawful decisions. Generally, it is the duty of a
state functionary to rectify unlawfulness. The courts
have a duty ‘to
insist that the state, in all its dealings, operate within the
confines of the law and, in so doing, remain
accountable to those on
his behalf it exercises power’. Public functionaries ‘must,
where faced with an irregularity
in the public administration, in the
context of employment or otherwise, seek to redress it.’ Not to
do so may spawn confusion
and conflict, to the detriment of the
discretion and the public. A vivid instance is where the President
himself has sought judicial
correction for a process misstep in
promulgating legislation.” (Internal references otherwise
omitted)
37.
On
the assumption that constitutional delinquency on the part of the
City had been established, Mr. Maher argued that the
ratio
of
the Constitutional Court in
AllPay
[15]
should be applied in the instant case. Thus, the Court was invited to
first make a declaration of invalidity and then apply s172
of the
Constitution and make an order that was just and equitable in the
circumstances. The approaches suggested by both counsel
therefore
require a brief overview of the relevant facts.
SYNOPSIS
OF RELEVANT FACTS
SPELUM
38.
When the proposed development of the Melck
Warehouse first became known, there was a vociferous outcry from
various individuals
and public interest groups regarding its
inappropriateness in relation to the Melck precinct. In response
thereto, the City appointed
a Joint Evaluation Team (“JET”)
comprising specialists from its Departments of Planning and Building
Management, Environmental
and Heritage Management and Spatial and
Urban Design to report back on the proposal.
39.
The JET conducted investigations and on 30
March 2011 it recommended the rejection of the proposal on the
grounds of the proposed
impact of the development on the heritage
value of the buildings in the Melck precinct. The JET report served
before SPELUM on
13 April 2011: this was the municipal committee of
first instance which was required to evaluate the proposal. It is a
non-partisan
specialist committee which evaluates the desirability of
developments in the city from a spacial planning, environmental and
land
use management perspective. On that day, SPELUM unanimously
refused the Trust’s application and directed that SAHRA be
requested
to address the heritage grading of the building in the
context of its position in the particular city block and in light of
its
potential significance from a national perspective.
40.
Thereafter the Trust submitted a fresh
application in which it sought to address the grounds upon which the
initial application
had been refused. This application was placed
before SPELUM on 10 June 2015 and after it had conducted its own
investigations,
including a site inspection, SPELUM once again
refused the development proposal on 9 September 2015.
MAYCO
41.
On 9 November 2015, the application served
before MAYCO which had before it, inter alia, the SPELUM refusal of
September 2015. To
the applicant’s professed astonishment,
MAYCO overruled the SPELUM refusal and granted the application there
and then. The
applicant was concerned that there had been political
interference in favour of the development by the erstwhile mayor,
Alderman
de Lille, and her cohorts in MAYCO, but was unable to point
to any irregularity at that stage as the details recorded in the
relevant
MAYCO minute were scant.
42.
The applicant was advised by the City on 12
November 2015 that in the event that it was dissatisfied with the
MAYCO decision, it
was entitled to lodge an appeal to PLANAP. This it
duly did. On 11 March 2016 PLANAP considered the appeal and on 30
March 2016
it advised the applicant that the appeal had been
unsuccessful.
PLANAP
REVIEW
43.
The
applicant then resolved to approach this Division for the review of
the PLANAP decision. The matter was heard by Cloete J who
set aside
the PLANAP decision on 20 March 2018. In approaching the court in
that matter, the applicant said that it wished to review
the MAYCO
decision but that the PLANAP decision stood in its way. It went on to
inform the court that it had been informed by the
City, subsequent to
being informed of its right to appeal the PLANAP decision, that in
fact PLANAP was not empowered to hear the
appeal under s62 of the
Systems Act
[16]
.
44.
The response of the City to the PLANAP
review application was to oppose the application, notwithstanding the
fact that it had advised
the applicant that PLANAP did not have the
power to hear the appeal. In its opposition it, firstly, attacked the
locus standi
of
the applicant and then went on to suggest that the review was
unnecessary as the PLANAP decision was a legal nullity.
45.
A full-blown opposed application for review
followed with the same
drammatis
personae
involved. This encompassed an
application to strike out objectionable material in the founding
affidavit in which the applicant
suggested that political
skullduggery had led to the MAYCO decision to approve the
development. Eventually, on 8 December 2017
Mr. Faure made an open
tender on behalf of the City that it would agree to the setting aside
of the PLANAP decision with a limited
tender of costs up to the stage
of the filing of the answering affidavit. The tender was not accepted
by the applicant and the
review proceeded on 8 February 2018.
46.
In making the order of 20 March 2018, Her
Ladyship found that the applicant enjoyed
locus
standi
and consequently granted the
review thereby setting aside the PLANAP decision. The Court further
granted the order to strike out
and only granted the applicant its
costs up to 8 December 2017 – the day that the City conceded
the PLANAP review. Already,
at this juncture there is evidence of
constitutional delinquency on the part of the City. Following
Merafong
,
it should have approached the court
meru
motu
for an order setting aside the
incorrect decision of its functionary.
THE
SUBSTANCE OF THIS APPLICATION
47.
In any event, the decks had thus been
cleared for the commencement of this review application to set aside
the MAYCO decision of
3 November 2015 and the papers herein were
issued by the Registrar on 13 September 2018. The founding affidavit
again made claims
of malfeasance on the part of the City in approving
the development and alleged distinct bias on its part.
48.
It was said that Ms. De Lille, then a
member of the Democratic Alliance (“DA”) and her
political allies on MAYCO were
“pro-developer”, with
references being made, inter alia, to public utterances in which the
former Mayor had said that
the City was ready to roll out the red
carpet for developers. Predictably, these allegations were denied by
the City and a similar
application to strike out vexatious matter was
filed.
49.
In the founding affidavit the applicant
demonstrated that the MAYCO minutes for the meeting of 3 November
2015 reflected that the
Trust’s application was dealt with in a
matter of a minute or two. The applicant went on further to state
that a closed meeting
of the DA caucus had preceded the MAYCO meeting
(which is always open to the general public) and it asked the Court
to conclude
that that was where the Trust’s application had
actually been approved. The suggestion was that the DA used its
majority
in MAYCO to rubber stamp the prior decision of its caucus.
THE
HERRON AFFIDAVIT
50.
The
City denied that anything untoward had occurred within MAYCO on 3
November 2015 but much later in the course of these proceedings
the
applicant claimed to have located the proverbial “smoking gun”,
as Mr. Maher termed it. In a supplementary affidavit,
purportedly
filed in terms of Rule 53(3) in September 2020, the applicant’s
erstwhile attorney, Mr. Beukman, pointed out
that the Rule 53 record
delivered by the City reflected a complete absence of documents
relative to the MAYCO meeting and the decision
regarding the
development arrived thereat. Mr. Beukman went on to say that after
some great difficulty the applicant had managed
to procure an
affidavit from Mr. Brett Herron, the former member of MAYCO for urban
development and transport, and member of the
DA
[17]
.
51.
Mr. Herron’s affidavit attached to
Mr. Beukman’s affidavit confirmed that there had indeed been a
DA caucus meeting
before the MAYCO meeting of 3 November 2015 at
which agenda items for the upcoming meeting were discussed. Mr.
Herron goes on to
say that he and Alderman D. Smit excused themselves
from the MAYCO meeting when the Melck Warehouse application came up
for discussion
because they both served on PLANAP at the time and
were concerned that they may have to entertain an appeal in relation
to the
application. Mr. Herron notes that he was out of the meeting
for a relatively short time when the application was discussed.
52.
I am not sure that counsel’s
exuberance in Court regarding the location of the “smoking gun”
was warranted: had
I been sitting in a criminal matter I might have
required a ballistics test to have been produced. Be that as it may,
the Herron
affidavit does lend some credence to the claim that the
MAYCO decision was preceded by a DA caucus decision.
SETTLEMENT
NEGOTIATIONS
53.
In the supplementary Rule 53(3) affidavit
Mr. Beukman makes reference to a purported settlement of the matter.
He states that on
18 October 2018 and 22 January 2019, Mr. Faure made
certain written open tenders on behalf of the City in which
settlement of the
matter was proposed. Mr. Beukman says that the
offers were not acceptable to the applicant at that stage, but
prefers not to enclose
the complete exchange correspondence between
the parties to his affidavit.
54.
On
3 June 2019, Mr. Beukman says he wrote to Mr. Faure again suggesting
the basis of a possible settlement of the review application.
On 28
August 2019 he sent a further email in which the City was encouraged
to settle the matter. The reference therein to
Biowatch
[18]
suggests that the perennial issue of costs was a problem in
concluding a settlement.
55.
On 16 September 2019, Mr. Faure wrote to
Mr. Beukman proposing a settlement of the matter in terms of a draft
order which he enclosed.
That draft suggested the setting aside of
the MAYCO decision of 3 November 2015 and the referral of the matter
back to MAYCO for
reconsideration of the development proposal. There
was a tender to pay a part of the applicant’s costs (on an
unopposed basis
up to 18 October 2018) and provision for the striking
out of the contentious paragraphs in the founding affidavit. Mr.
Faure’s
letter expressly recorded that the proposed settlement
enjoyed the support of the developer –
“
6.
The Developer parties have indicated that they are amenable to the
review of MAYCO’s decision of 3 November 2015 and the
referral
thereof back to MAYCO for reconsideration.”
56.
On 18 October 2019 Mr. Beukman replied to
the open tender and indicated that the terms thereof were acceptable
to the applicant,
save that the applicant contended that the tender
of costs needed to make provision for the applicant’s costs of
perusing
the Rule 53 record. It later appeared that this was to avoid
any issue when the costs were subsequently taxed.
57.
There was no immediate reply to Mr.
Beukman’s last-mentioned letter. However, on 15 November 2019
Mr. Faure wrote to Mr. Beukman
in a letter which evidenced a clear
volte face
on
the part of the City. I recite the relevant portions thereof.
“
1.
It has now come to the attention of the City of Cape Town that the
Developer proceeded with
and has
completed
the proposed development on
Erf 1[...] Cape Town, in respect of which approval was sought and
confirmed in terms of the MAYCO decision
of 3 November 2015.
2.
Neither the Developer nor the City are aware or have knowledge of the
written undertaking referred to in your client’s
founding
affidavit filed in Cape Town High Court case number 17053/2018.
4.
In the present circumstances of this matter
a court will not be inclined to exercise its discretion by reviewing
and setting MAYCO’s
aforesaid decision aside and either
referring it back to MAYCO for fresh consideration or substituting it
with its own decision.
Instead, in the light of recent decisions by
the Constitutional Court, it is overwhelmingly likely that even if it
is found that
MAYCO’s decision is invalid, it will not be set
aside as the Developer’s accrued rights ought to be preserved.
5.
The Developer, in any event, reject (sic)
the proposal that the aforesaid MAYCO decision be reviewed and set
aside, by agreement
between the parties, by the High Court and
referred back to MAYCO for consideration and fresh decision.”
(Emphasis added)
The
letter concluded with a suggestion that the applicant should withdraw
the review on the basis that each party was to bear its
own costs,
failing which it was stated that the City would prepare its answering
papers. The applicant was expressly cautioned
that the City would
take the point in those papers that the review had been filed out of
time.
58.
The absence of knowledge of the undertaking
referred to in para 2 of the letter of 15 November 2019 is referenced
as follows in
the founding affidavit herein.
“
80.
Finally, I should point out that there is no prejudice to the
owner/developer as I understand that the Trust has given a written
undertaking to the City of Cape Town that it will not proceed with
the development until such time as the reviews have been finalized,
and at all times the Trust and the City of Cape Town have been aware
that there would be 2 reviews, including this final review
of Mayco’s
decision.”
59.
On 25 November 2019, Mr. Beukman replied to
the letter of 15 November 2019 as follows.
“
In
the light thereof that you sent us a draft court order, our client is
prepared to accept same as is. We are not going to insist
that you
place (sic) the words “Rule 53 perusal of the record”.
Your
letter of 15 November 2019 is in direct contradiction and therefore
the contents thereof is (sic) rejected.
Take
notice further that unless you confirm that you will proceed to have
the draft order made an order of court by no later than
Friday, 30
November 2019 at 14h00, we have received instructions to set up a
meeting with the JP for the purposes of having it
made an order of
court and we will notify you of the date.”
60.
Mr. Faure’s reply on 27 November 2019
was as follows.
“
2.
We note, as indicated in the second paragraph of your letter, that
your client is not prepared to accept the draft order which
we
earlier sent to you. However, you and your client lose sight of the
fact that our client’s proposal as embodied in that
draft court
order was explicitly withdrawn as conveyed in our letter of 15
November 2019, before your client accepted such proposal.
3.
Our client’s proposal as embodied in the said draft court order
was accordingly no longer open for acceptance as your client
has now
belatedly attempted to do.
4.
In addition and in any event, the circumstances regarding the vesting
of the developer’s rights have changed substantially
and have
only recently come to our client’s attention. In the
circumstances, neither our client nor the developer is in a
position
or prepared to consent to an order being taken by agreement as per
the terms of the draft order.
5.
We accordingly notify you that our
instructions are that our client cannot consent to the draft order
being made an order of court.
There is furthermore no basis for you
to set up a meeting with the Honourable Judge President for purposes
of having the draft
order made an order of court. This draft order
has been withdrawn and is not consented to by our client and the
other party directly
affected thereby, the developer…”
61.
Matters went nap for a couple of months
until Mr. Beukman took up the cudgels again on 19 February 2020.
“
We
take note that your client adopted a passive approach and took no
steps to either advise us or stop the developer from proceeding
with
the development notwithstanding that a review application was pending
in the High Court. We shall raise this issue at the
appropriate time
and in the appropriate forum.
Furthermore,
the City of Cape Town was aware of the averment in the founding
affidavit that there was an undertaking and if this
is not the case,
as alleged in your correspondence, it was incumbent upon the City of
Cape Town to notify the applicant that it
was labouring under the
misconception (if this is indeed the case) that there was an
undertaking or understanding and that, in
fact, the City of Cape Town
would idly standby and permit the developer to proceed with the
development. This, too, will be raised
at the appropriate time in the
appropriate forum. Your client is well aware that the Melck warehouse
is a landmark heritage building
and that the development proposal and
approval were highly contentious and deposed by a large number of
individuals, NGOs and organizations.
In fact, SPELUM, a specialist
committee of the City of Cape Town, itself advised Mayco not to
approve the development. In the circumstances,
your client’s
conduct is to be deprecated.
We
disagree with your conclusion that the proposed development has been
‘completed’ as per the approval granted by Mayco
on 3
November 2015. This contention is patently incorrect. The development
proposal includes the installation of a large glass
dome and the only
work that has been done, albeit improperly, is limited to the
interior of the warehouse.
In
the circumstances, kindly confirm that the City of Cape Town will
ensure that all work ceases forthwith, failing which our client
will
have no choice but to approach the High Court to obtain an urgent
interdict to stop any further work continuing until such
time as the
review application has been finalized…
We
place on record our dismay and concern that your client has reneged
on the settlement agreement and, again, this will be raised
at the
appropriate time and in the appropriate forum. The City of Cape Town
made a settlement proposal in correspondence dated
16 September 2019,
which proposal was accepted, in writing, by our client on 18 October
2019.
We
are also concerned by the allegation in your correspondence that the
settlement offer was ‘withdrawn’ on 15 November
2019. We
point out that the settlement proposal, as tendered, was accepted in
writing prior to November 2019 and on 18 October
2019. It follows
that it was never open to your client, in any event, to purportedly
‘withdraw’ the settlement offer
after it had been
accepted…
We
have grave concerns about the statement in paragraph 4 of your
correspondence dated 15 November 2019 to the effect that the
developer rejected the proposal that Mayco’s decision be
reviewed and set aside by agreement between the parties. We point
out
that you categorically stated exactly the opposite in paragraph 6 of
your correspondence dated 16 September 2019 viz. that,
‘the
Developer parties have indicated that
they
are amenable to the review of MAYCO’s decision of 3 November
2015 and the referral thereof back to MAYCO for reconsideration
.”
The
applicant went on to say that it would proceed with the review, while
seeking to hold the City to its settlement proposal.
62.
On 6 March 2020 Mr. Faure replied,
indicating that the City stood by its view that the matter had not
been settled. In regard to
the demand that work be ceased, the
following was said.
“
3.
Regarding your demand that we confirm that our client will ensure
that all work ceases forthwith, failing which your client will
approach the High Court for an urgent interdict, we point out that
apart from other insurmountable obstacles that your client will
face
in such an application, it would be well advised to recognize that
our client does not have the statutory power to direct
the Developer
to halt any work executed in accordance with approved building
plans.”
63.
The battle lines were thus drawn and the
application for review proceeded. As I have already noted, the matter
was on the roll twice
in 2021 but did not proceed due to the
applicant’s dilatoriness. All the while, the Trust was entitled
to proceed with construction.
The City says that it refused to issue
a “stop-works” order because the construction was taking
place in accordance
with approved plans and the applicants took no
steps to procure an interdict.
THE
STATE OF THE BUILDING WORKS
64.
In Mr. Faure’s abovementioned letter
of 15 November 2019, the City alleged that construction work on the
development had been
completed. That allegation is manifestly false.
Not only was the building far from complete when this application was
heard in
March 2022 but various photographs annexed to a
supplementary affidavit deposed to by the second respondent on behalf
of the Trust
on 27 May 2021 depict the incomplete state of the
building works over the years - the photographs were digitally
recorded and reflect
the respective dates thereof.
65.
So, for example, one can see that on 22
November 2019 trucks were still removing rubble from the interior of
the warehouse, while
some preparatory work was taking place on the
roof in the area where the glass accommodation cube was to be built.
Then, on 7 February
2020, construction was seen to be taking place on
the roof of the building with concrete being piped up from a truck
standing in
Bree Street. The sides of the building were clad in
protective netting and a large sign erected thereon reminded
customers that
“Mike’s Sports” was still in
business, with its entrance then located in a different part of the
building.
66.
On 9 June 2020 the barge-like base for the
glass cube can be seen to be in its preparatory stages while an
aerial photograph taken
in September 2020 reveals that concrete was
still being pumped up onto the roof of the building and that the
proposed glass cube
was mercifully nowhere to be seen. By November
2020, the barge-like base was still under construction, with sundry
pieces of steel
reinforcing protruding skywards.
67.
In this supplementary affidavit, the second
respondent explains that the Trust’s building plans were
approved in December
2016 and that neither the applicant nor any
other interested party had challenged these, whether on review or
otherwise. Thereafter,
he says, construction commenced in December
2016 and has since continued unhindered.
THE
AFFIDAVITS FILED IN FEBRUARY 2022
68.
For some reason which is not explained in
the papers, construction work on the barge-like slab appears to have
been suspended. Nevertheless,
in a further supplementary affidavit
dated 22 February 2022 and filed shortly before the hearing, the
second respondent says that
if the Court were to grant the relief
sought by the applicant, the Trust would suffer irreparable harm,
particularly if the matter
was reviewed and sent back to MAYCO. In
this regard, the second respondent says that the Trust has at all
times acted lawfully
and conducted construction work in accordance
with plans lawfully passed by the City.
69.
The second respondent points out further
that the state of the completed construction work on the street level
of the building has
enabled the Trust to conclude binding long term
lease agreements with various retail outlets – 5 such
agreements are annexed
to the affidavit.
70.
The second respondent also says that the
applicant omitted to bring to the Court’s attention material
facts relating to the
heritage status of the building. He points out
that in March 2018, long before the papers were issued, HWC resolved
to support
SAHRA’s Grade IIIA (Local) grading of the property.
Further, the second respondent refers to the finding of the appeal
tribunal
of 5 November 2019 which confirmed the HWC heritage grading
and refused to declare the Melck Warehouse a Provincial Heritage Site
(Grade II).
71.
The criticism of the second respondent is
unfounded: it does not appear from the papers that the applicant had
knowledge of either
of these decisions before mention was made
thereof by the second respondent in the affidavit of May 2021.
Further, upon consideration
of the finding of the appeal tribunal
(annexed to the second respondent’s earlier supplementary
affidavit of May 2021), the
Court notes that the applicant was not a
party to those proceedings: the appeal was lodged by “The
Association for the Protection
of Historic Cape Buildings” with
the Lutheran Church as an interested party.
CONCLUDING
REMARKS ON MOOTNESS
72.
In light of the aforegoing facts, Mr.
Schreuder submitted that the only reasonable conclusion to be drawn
is that the matter is
indeed moot. He pointed out that the heritage
status of the building, about which the applicant was so seriously
concerned, had
been determined at first instance before this review
was launched, was confirmed on internal appeal and there has been no
judicial
challenge thereto. Further, counsel noted that the building
plans for the development of the Melck Warehouse were approved in
December
2016, some 22 months prior to the lodging of this
application. There was, similarly, no attempt to impugn that decision
or to interdict
the developer and the building work which has
subsequently taken place on the property has, at all material times,
been lawful.
73.
It
seems to me that the case as it now stands falls squarely within the
ambit of the judgment of Ackerman J in
National
Coalition
[19]
.
“
A
case is moot and therefore not justiciable if it no longer presents
an existing or live controversy which should exist if the
Court is to
avoid giving advisory opinions on abstract propositions of rights.”
74.
In
Stransham-Ford
[20]
the Supreme Court of Appeal pointed to the distinction that was to be
drawn between the situation where cases were moot before
the court of
first instance and where mootness ensued thereafter and the matter
was nevertheless entertained by the Constitutional
Court.
“
[22]
Since the advent of an enforceable Bill of Rights, many test cases
have been brought with a view to establishing some broader
principle.
But none have been brought in circumstances where the cause of action
advanced had been extinguished before judgment
at first instance.
There have been cases in which, after judgment at first instance,
circumstances have altered so that the judgment
has become moot.
There the Constitutional Court has reserved to itself a discretion,
if it is in the interest of justice to do
so, to consider and
determine matters even though they have become moot. It is a
prerequisite for the exercise of the discretion
that any order the
court may ultimately make will have some practical effect either on
the parties or on others. Other factors
that may be relevant will
include the nature and extent of the practical effect that any
possible order might have, the importance
of the issue, its
complexity and the fullness or otherwise of the argument.
[23]
The common feature of the cases, where the Constitutional Court has
heard matters notwithstanding the fact that the case no
longer
presented a live issue, was that the order had a practical impact on
the future conduct of one or both of the parties to
the litigation.”
75.
In my view, this is the context in which
the aforesaid
dictum
in
Normandien Farms
is to be understood. In that matter the decisions of the court of
first instance and the Supreme Court of Appeal were rendered
moot
when, shortly after an application for leave to appeal to the
Constitutional Court was launched, the relevant party withdrew
its
application for a mining right which had been the subject of the
review application at first instance. The Constitutional Court
refused to entertain any further appeal as it was of the view that
“
an order by this Court in this
matter will not have a practical effect.”
76.
Mr. Maher could point to no practical
effect that an order in this matter might have other than to
castigate the City for its constitutional
delinquency, as in
Merafong
.
And, as I have said, on the strength of
All-Pay
,
counsel argued further for a just and equitable order under s172
(1)(b) of the Constitution in which this Court sets aside the
MAYCO
decision without affecting its efficacy. The Court was urged to thus
exercise its discretion and remind the City of its duty
to conduct
itself as a good constitutional citizen and to do what it was
statutorily obliged to do.
77.
What real purpose would such an order
serve? To tell the City that it was wrong and that in future it
should do its job properly?
I am not sure that that is quite what
s172 (1)(b) contemplates. But in any event, it seems to me that, at
least as early as September
2019, the City appreciated that a
reviewable error had been committed by MAYCO which had so hastily
granted the approval sought
by the Trust: perhaps because MAYCO’s
functionaries were biased in favour of the developer, as the
affidavit of Mr. Herron
could be read to suggest. At that stage the
City initially did the right thing and conceded the review. But
almost immediately
it changed its mind and squirmed its way out of a
self-created predicament by quibbling over the wording of the costs
order it
had conceded in Mr. Faure’s letter of 16 September
2019.
78.
In my view the conduct of the City to which
the applicant has objected is correctly categorized as lacking in
constitutional citizenship
in the sense in which that concept was
discussed by Cameron J in
Merafong
.
The basis for this criticism of the City’s conduct will be
dealt with more fully hereunder but it suffices to say that the
City’s deviation from the norms and standards expected of it
under the Constitution can be adequately addressed in an order
for
costs. In my considered view, the matter does not warrant the
granting of an order against the City which will have no practical
effect.
79.
In the result, I conclude that the
application for review is moot in that it raises no live issue
between the applicant and the
City and that the application thus
falls to be dismissed on this basis.
COSTS
80.
Ordinarily
costs should follow the result. However, an award of costs is always
in the discretion of the Court and there are circumstances
where, in
appropriate cases, a court may exercise that discretion and deprive a
successful party of a costs order and even order
the successful party
to pay the losing party’s costs. This is particularly so in
circumstances where the conduct of the successful
party falls to be
deprecated
[21]
. I consider
that in this matter fairness requires that the City should bear part
of the applicant’s costs on account of the
manner in which it
conducted itself overall and the resultant costs which the applicant
was obliged to incur. I say so for the
following reasons.
81.
Firstly, the City has expended ratepayers’
money in defending a decision which held no benefit for those
ratepayers or the
public at large - it was only for the benefit of
the Trust. In fact the decision might, in a certain sense, be
considered to be
to the detriment of those members of the public who
have Cape Town’s heritage spaces at heart and are now saddled
with a
development which the City’s own committee rejected. The
City ignored the advice of SPELUM – its own specialist advisory
body - and rather than to leave it up to the Trust to defend its
rights accrued under the MAYCO decision, the City has actively
advanced a case in the interests of the Trust. To date the City has
advanced no cognizable reason for MAYCO’s rejection of
SPELUM’s
specialist advice nor its decision to grant the application for the
development. The MAYCO decision was thus irregular
and the applicant
was within its rights to seek the review thereof.
82.
As I have already observed, the City’s
conduct in opposing the review was out of the ordinary and was not
warranted. Effectively,
the Trust was afforded a “free ride”
on the back of the ratepayers and this in circumstances where the
applicant is
a public interest body acting in the public interest by
seeking to preserve the heritage of the city’s buildings and
historic
precincts, and which had to rely on its own resources to
confront the financial muscle of the City.
83.
Further, in opposing the application the
City did not put up any evidence by way of affidavits from its
officials who had knowledge
of the matter. Rather, the City relied on
an answering affidavit by its attorney, which affidavit was largely
based on hearsay
evidence of which Mr. Faure had no personal
knowledge. It was only much later (in May 2021), when the applicant
took this point,
that the City put up the affidavit of Mr. Dlamini in
a desperate attempt to shore up the obvious inadequacies in its
answering
affidavit.
84.
Importantly, as the letter of Mr. Faure
reflects, the City was prepared to agree that the MAYCO decision be
set aside in September
2016 and alleged the Trust’s agreement
thereto, only to renege on that undertaking a month or so later. And,
when it did
so, the City relied on grounds that were manifestly
false: it told the applicant’s attorneys that there was no
sense in reviewing
the decision as the building work was finished. It
is not clear how this deliberate untruth which was designed to
mislead the applicant
was perpetrated, but at best for the City it
must be concluded that it was probably misled by the Trust. And given
that the Trust
has decided to abide this application, no costs order
can be considered against it in respect of any such misleading
allegation.
85.
That fact that it may have been misled by
the trust does not assist the City in any event. How then does one
reconcile the initial
allegation by Mr. Faure that the Trust agreed
to the review? Did he make an errant assumption that he would be able
to persuade
the Trust to agree to the review or did the Trust
actually mislead the City’s attorney by telling him a
deliberate lie? The
unfortunate demise of the City’s attorney
leaves this question unresolved as he was unable to file an
explanatory affidavit
to assist the Court.
86.
But there is more. When the allegation was
made by Mr. Faure that the work had been completed, the actual extent
of the works was
readily capable of being established in that the
City would have readily had recourse to one of its own to verify the
allegation.
The City’s building inspectors are notorious for
their diligence in arriving unannounced at construction sites and
stopping
unlawful building works, and it would have required no more
than a phone call by the City to the building inspector for the area
to establish the true state of the affairs. But it did it not do so
and offers the Court no explanation for such an obvious oversight.
87.
Then there is the issue of the plans. The
City would have known, via its office which processes applications
for building plans,
that these had been approved almost two years
before the review was launched. Given that there was correspondence
between the parties
prior to the launch of the application it would
have been prudent for a good constitutional citizen to point out to
the applicant
that this step had taken place.
88.
Yet, when it received the review
application, the City failed, as it was duty bound to do, to inform
the applicant of the position
and of the obstacles which such
approval presented for the review of the MAYCO decision. After all,
that decision embraced departures
from the City’s Zoning Scheme
Regulations and the plans could not have been passed without such
departures having been granted
to the Trust. However, the City
remained silent when there was an obvious duty on it to speak.
89.
Then there is the City’s conduct in
relation to the PLANAP appeal process. First, the City advised the
applicant that it enjoyed
a right of appeal to PLANAP against the
MAYCO decision. When the appeal went against the applicant and it
reviewed the matter,
the City initially opposed the review before
Cloete J when it should have known that its opposition was baseless.
In so doing,
it put the applicant to the expense of incurring further
costs and the City itself incurred further costs on behalf of its
ratepayers
which were a complete waste in the circumstances.
90.
Then, realising the error in its ways, the
City conceded the PLANAP review and tendered to pay the applicant’s
costs up to
the date of that concession. Cloete J’s order then
mulcted the City with the costs so tendered, but the applicant would
still
have been left with an attorney-client costs bill which it
would have had to foot out of its own resources. A good
constitutional
citizen would have initiated such a review itself and
limited the expenditure of its resources, and that of the applicant,
accordingly.
91.
The heritage approvals also reflect
adversely on the City’s duty as a good constitutional citizen.
When the review papers
in this matter were received the HWC
determination had already been made but the City, which was clearly
aware thereof as Mr. Dlamini’s
affidavit shows, did not inform
the applicant thereof. So too, when the appeal tribunal upheld the
HWC determination in November
2019. In fact, it appears that the
decision of this tribunal only came to the attention of the applicant
in May 2021 when Mr. Dlamini
attached a copy thereof to his
supplementary affidavit.
92.
On the other hand, it has to be said that
the applicant has litigated with a marked degree of tardiness. There
are long periods
in the progress of the litigation when nothing
happened and it took no steps to progress the matter. For instance,
the removal
of the case from the roll twice in 2021 at the
applicant’s behest speaks to this.
93.
Further, there is the concerning factor
that the applicant took no steps to restrict the progress of the
building works while these
took place in full view of the public and
adjacent to busy urban thoroughfares. The applicant appears to have
dropped the ball
and it (and the public and those interested in
heritage protection in South Africa’s oldest city) must bear
the consequences
thereof: a glass cube that proclaims to all who pass
by that the City’s approval of the Trust’s building
favoured development
over respect for the heritage of the Melck
precinct.
94.
Given that the applicant knew by the end
May 2021 that it had lost the heritage battle, I am of the view that
it should have taken
steps to call a truce and bring the proceedings
to an end, for by then it ought to have known that the war against
the development
could not be won. In the circumstances, I am of the
view that it should not be entitled to any costs after that date.
Given that
it is not apparent from the papers when Mr. Dlamini’s
affidavit was served on the applicant, I am going to assume that the
applicant received same shortly after it was deposed to and that it
was entitled to a short period of time to assess the contents
thereof
and consider its positon. I intend to fix the date at 30 June 2021.
95.
In the result, I consider that in the
peculiar circumstances of the matter, it would fair, just and
equitable to order the City
to bear the applicant’s party and
party costs up to 30 June 2021 and that thereafter each party is to
bear its own costs
of suit.
STRIKING
OUT APPLICATION
96.
There remains one final issue – the
City’s application to strike out allegedly vexatious and
irrelevant matter in the
founding affidavit, filed during November
2020. In light of the fact that the matter is now regarded as moot,
no purpose would
be served in determining the merits of this
application.
ORDER
OF COURT
Accordingly
it is ordered that:
A.
The application is dismissed.
B.
No order is made on the first, eighth and
ninth respondents’ application to strike out.
C.
The first respondent, the City of Cape
Town, is to pay the applicant’s costs of suit herein on the
party and party scale up
to 30 June 2021.
D.
Save as aforesaid, each party is to bear
its own costs.
GAMBLE,
J
APPEARANCES
For
the applicant: Mr. A.D. Maher
Instructed
by
Raymond McCreath Inc.
Somerset
West
C/o
Lionel Murray, Schwormstedt and Louw
Cape
Town.
For
the first, eighth and
ninth
respondents: Mr. M. Schreuder SC
Instructed
by
MHI Attorneys
Bellville
C/o De
Klerk & van Gend
Cape
Town.
[1]
See SA History Online (
www.sahistory.org.za
)
sv
Martin
Melck and the founding affidavit of Dirk Willem Van der Zel herein.
[2]
“Koster” is the Afrikaans word for a verger or sexton of
a church building. (see Bosman Van der Merwe and Hiemstra,
Bilingual
Dictionary)
[3]
See
generally, Wikipedia Online Encyclopedia (
www.wikipedia.org
)
sv
Martin Melck House
[4]
If
I may be permitted to provide an uniformed judicial description for
the sake of the record, the glass-enclosed accommodation
block
appears to be designed to float on top of the roof, resembling the
superstructure of a modern cruise liner such as one
sees in the
nearby Cape Town harbour
[5]
“SPELUM” is the acronym for Spatial Planning,
Environmental and Land Use Management.
[6]
“PLANAP” is the acronym for the Planning and General
appeals Committee of the City of Cape Town.
[7]
The National Building Regulations and Building Standards Act, 3 of
1977 (“the Building Act”)
[8]
“SAHRA” is the South African Heritage Resources Agency
established in terms of s11 of the National Heritage Resources
Act,
25 of 1999. (“the NHRA”)
[9]
“HWC” is the provincial heritage resources authority for
the Western Cape established by the MEC under s23 of the
NHRA.
[10]
s49(2)
of the NHRA
[11]
The Court was informed that Mr Faure had unfortunately passed away
after a long illness on the day before argument herein was
finalised. He was a senior practitioner in Cape Town who had a long
and distinguished career as a litigation attorney in this
Division.
[12]
Normandien
Farms (Pty) Ltd v South African Agency for Promotion of Petroleum
Exportation and Exploitation (SOC) Ltd and others
2020 (4) SA 409 (CC)
[13]
Merafong
City v AngloGold Ashanti Ltd
2017 (2) SA 211
(CC). The case involved a decision by a municipality
to provide water to a mine at an increased tariff which was later
held by
the National Minister responsible for water affairs to be
excessive. The municipality failed to adhere to the minister’s
ruling in that regard and the mine applied for review.
[14]
Khumalo
and another v MEC for Education, KwaZulu – Natal
2014 (5) SA 579 (CC)
[15]
AllPay
Consolidated Investment Holdings (Pty) Ltd and others v Chief
Executive Officer, South African Social Security Agency and
others
2014 (1) SA 604
(CC) at [23] –[26]
[16]
Local Government: Municipal Systems Act, 32 of 2000
[17]
Mr Herron left the DA during November 2018 and subsequently joined
the Good Party, headed up by Ms de Lille. See
www.mg.co.za/article/2018-12-03-herrons-all-good-former-ct-councillor-joins-de-lilles-party/
[18]
Biowatch
Trust v Registrar, Genetic Resources and others
2009 (6) SA 232 (CC)
[19]
National
Coalition for Gay and Lesbian Equality v Minister of Home Affairs
2000 (2) SA 1
(CC) at [21] fn 18
[20]
Minister
of Justice v Estate Stransham-Ford
2017 (3) SA 182
(SCA). The case involved an application to authorize
a terminally ill patient’s physician to assist in the
patient’s
suicide. The patient had died before the court of
first instance heard the application, but the Court was not aware,
nor informed,
thereof when it granted the applicant relief.
[21]
RAU
v Venter’s Executor’s
1918 AD 482
at 488;
Mahomed
v Nagdee
1952(1) SA 410 (A) at 420E-421A;
Palley
v Knight N.O
1961 (4) SA 633
(SR) at 638H-639A;
Michael
and another v Linksfield Park Clinic (Pty) Ltd and another
2001 (3) SA 1188
(SCA) at [10] – [12];
Pilot
Freight (Pty) Ltd v Von Landsberg Trading (Pty) Ltd
2015 (2) SA 550
(GJ) at [76];
De
Lille v Democratic Alliance
2018 (4) SA 171(WCC)
at [47]
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