Annual Report 2010

Chairman’s Report

The year 2009 into 2010 was, none the less, a tough one for many people and organisations the world over.

In this changing economic environment – and despite the challenges it is facing – JHC continues to perform well. This is a tribute to the commitment of staff and management, and to the systems and procedures that JHC has put in place over the years. In managing
occupancy levels and rent collection, JHC’s systems have been tested over the past year – and, with a few adjustments and due focus, they have served us well.

It is also a tribute to the steady direction from Ayesha Rehman who kept JHC on course over the transitional period between CEOs, and to our new CEO, Elize Stroebel, who has brought fresh momentum to the group.

In this equation, we must pay tribute also to our tenants who, for the most part, have met their rental obligations. We are aware of the difficulties some tenants are dealing with in these tough economic times and we appreciate their honouring their responsibilities.

In its mission to deliver affordable urban housing JHC is confronted with property prices that have remained high in the Johannesburg inner city and continuing high construction costs. Increasing costs or services and utilities also need to be taken into account in considering the viability of potential projects. The cost of commercial finance, though relatively stable over the past year, is another factor that tends to push rentals up when it forms part of the financing mix for new developments.

JHC has consistently urged government, at all levels, to speed up the decision making that would facilitate, among other things, the release of subsidies, land and buildings and enable the delivery of housing for the
urban poor. However, government too is facing its own budget and capacity constraints.

While the National Department of Human Settlements has seen some progress with projects that reflect its revised policy focus, it is at the same time preoccupied with rectifying a host of inherited projects that are defective in construction or where contractors have not delivered on their commitments. JHC fully supports the policy focus on creating human settlements – aimed at developing sustainable housing in cohesive and complementary environments that encompass the kind
of amenities which enable communities to grow.

Pat Lephunya

Chairman

Click on the link below to view and download the complete JHC 2010 Annual Report:
JHC 2010 Annual Report