Who lives there? SA government investigates more than 6,000 state-owned homes

Macpherson

Johannesburg – Public Works and Infrastructure Minister Dean Macpherson has ordered an investigation into 6,238 state-owned residential properties allocated to government departments and occupied by public officials.

“A parliamentary question has revealed that the government owns more than 6,000 residential properties for government officials, particularly when many already receive housing allowances or other housing-related benefits, the minister said in a statement.

Macpherson has instructed Director-General Sifiso Mdakane to submit a comprehensive report within 30 days, detailing who occupies the properties, why they were allocated and whether they are still required for government operations.

“I have therefore requested a comprehensive investigation into the 6,238 state-owned residential properties allocated to government departments, as well as a clear disposal strategy for those that are not required for legitimate operational purposes.”

“We must establish who occupies these properties, the basis on which they were allocated and whether they still serve a legitimate public purpose. Where there is no clear operational need, the properties should be sold through a transparent and legally compliant process.”

The investigation will examine whether the properties are being managed in line with legislation, whether occupants qualify for official housing, whether rental rates are market-related and whether surplus properties should be repurposed or sold.

KwaZulu-Natal has the largest share of the properties, with 3,626, followed by the Western Cape (566) and Gauteng (407).

The department said nearly R40 million was spent on maintaining state-owned homes during the 2025/26 financial year, although expenditure records were available for only 108 properties.

“It is my view that the State should not own more than 6,000 residential properties for government officials, particularly when many officials already receive housing allowances, subsidies or other housing-related benefits,” Macpherson said.

“Unless there is a clear and compelling operational reason for the State to retain a residential property, it should be sold.”

He added that the government must determine “who is occupying each property, the basis on which it was allocated and whether it still serves a legitimate public purpose.”

Macpherson said disposing of unnecessary properties would reduce costs, generate value for taxpayers and allow government to focus resources on infrastructure and assets that improve service delivery.

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