City of Cape Town v Helderberg Park Development (Pty) Ltd (429/05)
City of Cape Town v Helderberg Park Development (Pty) Ltd (429/05) [2006] ZASCA 91; [2007] 1 All SA 517 (SCA); 2007 (1) SA 1 (SCA); 2007 (6) BCLR 628 (SCA) (31 August 2006)
The Supreme Court of Appeal held that the expropriated strip of land had no development potential and its market value was negligible. The sterilisation of the strip for canalisation was a necessary precondition for township development, and Helderberg purchased Phase 3 with full knowledge of this limitation. The court found no causal link between the planning condition and the expropriation that would justify disregarding the depreciation in value under s 12(5)(f). The compensation must reflect the agricultural value of the land, as proposed by the local authority, and no upward adjustment w…
Source excerpt
- Expropriation Act
- Just And Equitable Compensation
- Pointe Gourde Principle
- Market Value Assessment
- Planning Restrictions
- Costs Award