BMWU tables fresh proposal on sale of BCL houses
Lesedi Mkhutshwa | Monday May 8, 2023 06:00
Tsimako was reacting to a recent press release by the BCL liquidator, Darusha Moodliar, announcing the sale of BCL residential properties in Selebi- Phikwe. Premium Nickel Resources (PNR) purchased key properties of the BCL mine with the exception of staff houses. In an interview with Mmegi, Tsimako welcomed the move by the liquidator to prioritise former and current employees for the sale of BCL houses.
He, however, pleaded with the government and the liquidator to take into consideration the fact that most of the current occupants (of the residential areas) are unemployed and might not afford the houses when they are sold at a relatively high price.
The houses are mostly occupied by former BCL employees who lost their jobs in October 2016 when the mine was liquidated following a string of cash flow problems. Tsimako called on the liquidator to offer the properties at a discounted rate to former BCL employees. “There should also be an alternative or unique payment plan for former employees who are unemployed but interested in purchasing the properties so that they can conveniently purchase the properties,” added Tsimako.
The BMWU president noted that that the liquidator could consider selling the houses to former employees particularly those who are employed and cannot access funding from lenders through a rent to pay scheme. He said the union intends to approach government to table its proposal on how the sale of residential properties should be conducted. In his press release Moodliar emphasised that the disposal of the residential properties will be through a structured process.
“The residential properties will be firstly offered to former and current employees of BCL with the attendant terms and conditions,” he added. Moodliar further explained that the offer to former and current employees of BCL mine will elapse after 90 days. “Employees currently occupying shared accommodation, will each be furnished with an offer in respect of the residential property concerned and the liquidator will accept the most competitive bid.
Each house will have a reserve price and the employees will be required to produce proof of financing from a reputable financial institution,” the liquidator added. He also disclosed that a reputable property valuer registered with the real estate council has been engaged to conduct valuations on the residential properties in order to determine the reserve price of each property.
The document by Moodliar stated that the offer shall lapse without any further reference to the employee if they fail to exercise the offer by the cut off date. Furthermore, employees were advised that after the cut off date, the liquidator will sell the properties to a third party in which event the continued occupancy of the properties will be an issue to be resolved between the employees and the new owner. The press release went on to state that employees that have shown interest in acquiring the properties and have produced an acceptable proof of finance by the cut off date, will be issued with a sale agreement to facilitate the purchase of residential properties, which will set out the information and terms on which the property will be acquired.