A programme to address urban decay and rejuvenate the Johannesburg CBD was launched by the city's mayor, Amos Masondo

"... The state and appearance of a CBD is an important barometer to determine the ability of a city to attract and retain investment," Masondo said at the launch of the Inner-City Property Scheme (ICPS).

"It is also a reflection of the extent of the advancement of commerce and overall economic development," he said.

Masondo said the ICPS was a partnership with the private sector and would replace the Better Buildings Programme (BBP), which had tried to turn "bad" buildings into "better buildings"

He said the BBP had been only moderately successful because of the lengthy expropriation process, the screening of participants and the need to provide evicted people with transitional housing.

The ICPS, which was developed by the economic development department, would transfer expropriated properties to an inner-city property portfolio. There were 30 buildings which would be refurbished.

Broad-Based Black Economic Empowerment (BBBEE) participants would hold the controlling shares, with each having to invest R5 million.

A panel of BBBEE service providers would be created and would be responsible for the rejuvenation of the buildings.

"This makes the ICPS one of the most far-reaching BBBEE transactions yet introduced in South Africa, and definitely the biggest in the property field," said Masondo

He said the city would transfer properties that were dilapidated, abandoned, illegally occupied or hijacked, and vacant pieces of land through a developmental lease with an option to buy.

Once the buildings were transferred they would be refurbished and brought in line with the city's building code to turn them into viable and productive economic assets.

The city would ensure that the option to buy was exercised only once the dilapidated property had been refurbished.

Masondo said the city would provide transitional housing for people living in the buildings at the moment.

A Transitional Housing Trust had been formed to manage the process.

The trust would acquire buildings that would be revamped and turned into transitional housing facilities.

Economic development executive director Jason Ngobeni said this transitional housing would be provided until people could find new homes.

He said that as the old buildings were refurbished, rates would increase, which would make them unaffordable to many of these former residents, who were RDP housing candidates.