Land for RFA to establish regional office
The RFA is a state-owned enterprise that was established with the object of managing the Namibian road user charging system, securing and allocating sufficient funding for the achievement of a safe and economically efficient road sector.
Council recommended that approval be granted to the Road Fund Administration to erect a building, 154,2m² in size, on a portion of Erf 4618 Walvis Bay, directly adjacent to the western corner of the Natis Centre, and to lease such portion of land from Council, by a private transaction.
According to management committee chairperson Richard Hoaeb, Council also recommended that the monthly rental be determined at N$ 120.00 per month, plus N$ 18.00 (VAT), escalating with 10% per annum.
"Council recommends that the lease period be for a period of 10 years, to be extended for a further period as agreed upon between the municipality and the RFA. That the applicant guarantees and indemnifies the municipality against any action, claim or loss, injury, or damage which the applicant or any third party may suffer as a direct or indirect result of the land so covered by the Lease Agreement."
According to Hoaeb, the council acknowledged that the RFA is currently experiencing challenges to manage its affairs from the small space available within the Natis Centre.
"From a service delivery point of view, a separate building, with adequate space, therefore makes sense and the opinion is held that the request of the RFA is considered favorably. It is submitted that a formal lease agreement be entered into between Council and the RFA, to address the lease and other conditions. Council currently leases land within Town and Townlands at a monthly rental of N$ 0.77 cents/m²," he said.
Hoaeb pointed out that the RFA currently makes use of two cubicles within the Walvis Bay Natis Centre, to collect and process relevant Road User Charges and RFA-related administration.
"Such space is rented from the Roads Authority (RA), current custodians of the Natis Centre. The RFA has for some time now recognized the need for bigger space from where its operations could be handled. A first application was received from the RFA during 2020, to be allocated a small portion of land directly adjacent to the western corner of the current Natis Centre, to erect a building to use as offices from which RFA matters could be managed."
Hoaeb further explained that this resulted in building plans to be drawn up for such a building and such plans have in the meantime been approved.
"Although the erection of a small building, 154,2 m²in size, will not present an aesthetically pleasing environment, the portion of land applied for is currently not utilized. It is also accepted that this is Council property and a building, although established by the RFA at the cost of the RFA, will become the property of the Council, once completed. The opinion is further held that should the RFA in the future elect to vacate this premises, the building could, given its proximity, be easily linked to the current Traffic building," Hoaeb said.