Balwin faces court challenge

RESIDENTIAL ESTATES: AIRBNB-TYPE LETTING PITS OWNERS AGAINST DEVELOPERS, TRUSTEES

- Roy Cokayne

STORMY. The Blyde Riverwalk Estate, which was a 'beach holiday' destination for Gauteng residents when Covid lockdowns hit in 2020, is latest site of dispute.

(Picture: Supplied)

A legal battle is raging over the prohibition of short-term letting (STL) or Airbnb-type rentals in sectional title complexes and residential estates between some owners and homeowner associations, trustees and the developers of these schemes.

The latest dispute involves the validity and regulation of this type of letting at the Blyde Riverwalk Estate, a lifestyle estate in Pretoria being developed by JSE-listed Balwin Properties.

Phases one to 14 of the scheme have been completed, totalling 1 157 units.

It is envisaged that on completion of all 49 phases, there will be 3 281 units in the estate as well as a crystal-clear lagoon the size of two rugby fields that aims “to bring the beach to Pretoria”.

The first occupation at the estate took place in 2018, and access to the lagoon, which opened in September 2018, is available only to residents.

The roots of the dispute date back to the Covid lockdown in 2020, when the estate was seen as a destination providing Gauteng residents with a “beach holiday”.

Owners using their units for investment and commercial purposes started letting them out only as holiday accommodation.

However, the influx of holidaymakers in July or August 2020 resulted in an increase in complaints from permanent residents and owners about unruly behaviour and poor conduct by these short-term occupants.

The Homeowners Association (HOA) was forced to deploy extra management and security resources over weekends, incurring additional costs in the process.