Alarm bells over monopolies in complexes and estates

Africa Melane chats to Victor Ngomane, a luxury property expert based in Cape Town.

The trend of anti-competitive behaviour in estates and complexes is becoming a concern.

“Body corporates and homeowners associations are imposing service providers, such as internet service providers, and in some cases even property management sale and rentals.”

– Victor Ngomane, property expert

In October, the Competition Commission received several complaints regarding internet service provider monopolies.

ALSO READ: Complexes and residential estates MUST allow competition between Internet service providers

This infringes the rights of the homeowners and tenants, says Ngomane.

“They have the right to choose which agencies can sell their property because it is their property. They also have the right to negotiate commissions and service providers,”

– Victor Ngomane, property expert

Homeowners and tenants can take body corporates on the legal route but it can be costly. 

Ngomane recommends that current homeowners and tenants be active members and attend meetings so their voices are heard as several other tenants may share the same view. 

“[To] potential homeowners and tenants… Read up on the homeowner association or body corporate rules in terms of that type of scheme before you commit.”

– Victor Ngomane, property expert

Scroll up to the audio player to listen to the discussion