In a statement issued by the City of Durban on Wednesday, they revealed that they had received an "unsolicited proposal" from Seaworld Investment Holdings to redevelop the site. "The development will comprise commercial, hotel, upmarket residential, offices, leisure and related developments. Total capital outlay for the project is R6.1bn.
"The municipality is not required to fund the development and will only offer its services and expertise in the implementation of bulk infrastructure and services," according to the statement. In return the city would receive 10% shares in the company which owns the development and benefit from an expanded rates and tax base.
Seaworld Investment Holdings would also endeavour to build an airport five times the size at Scottburgh on the KwaZulu-Natal south coast, according to the statement. "This proposal has been treated strictly in line with the provisions of legislations and policies governing Supply Chain Management (SCM) in this country.
"It has also been circulated on print media and city's website for comments and input by members of the public, National Treasury, Provincial Treasury and the Auditor General of South Africa as directed by relevant legislation. "Once the city receives input and comments, a decision whether or not to accept the unsolicited proposal will be made," it said.
The Virginia Airport had leased the land which expired in 2011, and has since then been on tenterhooks regarding the future of the aerodrome. The company behind the proposal was formed in 2013, according to publicly available documents.
Source: News24
Read this report on News24Wire.com
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