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Herald Reporter
Harare City Council, which has come under fire for leasing a commercial stand for $58 per month to FBC Bank, last week downplayed the furore, with Harare Mayor Councillor Bernard Manyenyeni saying the land in question is “just a borehole site”.

The local authority was mainly accused of corruptly leasing out the stand.

Clr Manyenyeni said the land, which measures 25 square metres, is reserved for a borehole.

“There has been social media hyperactivity around the seemingly low pricing of $58 per month for a lease to FBC, a banking group, by the Harare City Council,” he said. “That land being leased to FBC is a just a borehole site. It measures only 25 sqm.

“The banking group has drilled a borehole to provide water to the flats which they built close to that site. It is unfortunate the advert provided neither size nor specific use of the leased land. Indeed, this justified eyebrows being raised.”

The advert read: “Notice is hereby given in terms Section 152 of the Urban Councils Act (Chapter 29:15) that the City of Harare intends to (i) lease Stand 385 Philadelphia Township to FBC Building Society for an initial period of 10 years at a monthly rental for commercial purposes.

“Copies of the municipal resolutions and the detailed terms conditions of the proposal will be open for an inspection during normal business hours at the office of the City Valuer and Estates Manager, First Floor, Rowan Martin Building, Pennefather Road, Harare, until 24 May 2018.”

The city said any person who wished to object to the proposal may lodge an objection in writing with the Town Clerk.

The city was inundated with objections, which prompted Clr Manyenyeni to explain the transaction.

Last year, council and the bank wanted to partner in low-cost housing development, starting with a project in Kuwadzana.

The land in question has 858 stands ranging from 200 to 1 000 square metres.

In the proposed partnership, FBC Bank would provide funding for the project, which funds would cater for infrastructure development for both residential and non-residential stands.

The non-residential stands would be surrendered to council, while FBC would further effect super-structural development on the residential stands.

FBC would be required to commence and complete infrastructural and super-structural development within 24 months.