News / Local
Ascot Racecourse shop owners kicked out
08 Jun 2013 at 06:28hrs | Views
THE Bulawayo City Council has resolved not to renew lease agreements for tenants at the Ascot Racecourse, accusing them of failing to pay rentals.
Council said it was owed $58 306 by the 15 tenants who have reportedly been failing to pay rentals citing poor business. According to a report tabled at a full council meeting on Wednesday, the local authority's Housing and Community Services director Isaiah Magagula said the tenants had ignored several reminders to settle their debts.
"A few tenants had surrendered their shops and these were yet to be tendered," he said.
"An analysis of the sitting tenants' records indicated reluctance on the part of the tenants to renew their lease agreements with the majority of them having expired in June 2011.
"Part of reasons cited for reluctance to renew was that one-year tenure was too short to make reasonable investment.
"Other reasons cited were non-payment of debts, low business and use of bridged leases that had given rise to enforcement challenges."
Magugula had suggested that all lease agreements must be renewed subject to payment of outstanding arrears. However, councillors shot down the proposal and recommended that the lease agreements must not be renewed.
Council said it was owed $58 306 by the 15 tenants who have reportedly been failing to pay rentals citing poor business. According to a report tabled at a full council meeting on Wednesday, the local authority's Housing and Community Services director Isaiah Magagula said the tenants had ignored several reminders to settle their debts.
"A few tenants had surrendered their shops and these were yet to be tendered," he said.
"An analysis of the sitting tenants' records indicated reluctance on the part of the tenants to renew their lease agreements with the majority of them having expired in June 2011.
"Part of reasons cited for reluctance to renew was that one-year tenure was too short to make reasonable investment.
"Other reasons cited were non-payment of debts, low business and use of bridged leases that had given rise to enforcement challenges."
Magugula had suggested that all lease agreements must be renewed subject to payment of outstanding arrears. However, councillors shot down the proposal and recommended that the lease agreements must not be renewed.
Source - southerneye
