The Property Charter

Property Charter


If you need any information on the property charter you may find the following site useful: www.propertycharter.co.za

This website gives detailed information about transformation within the property sector and, in particular, to the implementation of the property sector charter. It contains explanations of how the Charter works on a practical level.

There is in existence a Property Sector Charter Council, the composition of which is listed on the above website. There is also a copy of the Constitution of the Council on the website.

It must be kept in mind that the property sector charter has been gazetted in terms of section 12 of the BEE Act, and is thus an expression of commitment to transformation by the property sector. The property sector charter is not, however, a binding document.

Companies who are committed to complying with the goals set in the charter often call in an independent ratings agency to determine their extent of compliance. Once a ratings agency has rated the transformation in a company it will issue a certificate reflecting the extent of compliance. There is no formal reporting requirement for companies in the property sector at the moment. Listed companies may, however, publish information as to the extent of compliance on their websites and in their annual reports.

As stated above, because the property sector charter has been published in terms of section 12 it is not a set of binding requirements. However, whether the goals set out in the charter have been attained may be relevant, for example, where a tender is made for work from the state. The panel evaluating the tender will ask questions regarding transformation and the answers to these questions are relevant in determining who the tender will be awarded to.

(This text is adapted from an email received by Charl Heydenrych from Nikki Stein, a candidate attorney at Bowman Gilfillan, in Johannesburg - 17 April 2008)

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Contact:
Charl Heydenrych
082 637 3710
011 672 9019
proplib@tiscali.co.za