Codes immediately effective
The department of trade and industry (DTI) has published in terms of a government gazette a property sector charter setting out the sector’s codes of good practice for black economic empowerment.
It is immediately effective, the gazette states, being “binding on all stakeholders operating in the property sector”.
According to DTI the charter will apply to all residential and commercial property; all land zoned for development; and property services including “but not limited to valuation, sales, letting and management.”
The charter will also apply to the subsidiary of a holding company or the division/business unit of a company if the primary business of that subsidiary, division or business unit is dealing in property or providing services
DTI, as stated by the minister, Dr Rob Davies, seeks to “facilitate access to finance for ownership and development.”
Amongst activities excluded from the conditions involving B-BBEE regulations are amongst other things, the acquisition of mortgage loans; the “securitisation” of mortgage loans and matters dealing the banks.
The charter underwent a comprehensive consultation process and was published for comment in draft form late last year.
