Construction Begins on R1.2 Billion Welmoed Affordable Housing Development in Eerste River

Construction has officially begun on the Western Cape Government's Welmoed Estate development in Eerste River, marking the start of one of the province's largest affordable housing projects.

Western Cape Minister of Infrastructure Tertuis Simmers turned the first sod on Thursday, signalling the beginning of a development that is expected to deliver around 8,000 housing opportunities by 2040 at an estimated cost of R1.2 billion.

The project follows months of public engagement, with the Western Cape Department of Infrastructure holding a series of community meetings from August last year. During these meetings, residents were able to raise concerns, ask questions and receive updates on the progress of the development.

The department also conducted two Beneficiary Verification Drives, allowing people registered on the housing demand database to update their information. A total of 6,253 beneficiaries visited verification centres in Mfuleni, Stratford, Blackheath, Kalkfontein and Hillcrest.

Minister Simmers said the project reflects what can be achieved through collaboration between government and local communities.

"This exciting day is only possible because of the residents being willing to walk this journey with us. From the many public meetings we held, to verification drives, to the sod-turning today, the Western Cape Government and the people of this community walked the journey together to make this possible."

The Welmoed Estate development will include more than just housing. Plans feature two large retail sites, four community facilities including a clinic and sports precinct, as well as five school sites, creating a fully integrated mixed-use community.

The first phase of the project is expected to be completed by 2030 and will provide 3,296 housing opportunities. Of these, 2,961 will be allocated for affordable housing through programmes such as First Home Finance, Rental Housing, Breaking New Ground and Deferred Ownership. A further 380 opportunities have been reserved for micro and private developers.

The first homes are expected to be handed over to beneficiaries towards the end of next year.

In addition to addressing the housing shortage, the project is expected to boost the local economy by creating jobs and supporting business activity throughout the construction period.

Minister Simmers said reaching the construction stage was a significant milestone.

"It brings me so much joy to get to this point in our housing delivery process. To turn the sod of a project that will not only provide housing opportunities for our people, but also establish a new community filled with opportunity, is a great pleasure."

The Welmoed Estate forms part of the Western Cape Government's broader strategy to accelerate affordable housing delivery through integrated, mixed-use developments located closer to economic opportunities.
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