Development Concept

 

Blok Raw is a new product by Blok aimed at introducing a new range of urban homes in a new price band and new locations within Cape Town's growing urban centre. We have selected FORTY ON L, located on Lion Street in the Bo Kaap, as the development in which to not only unveil the new Blok Raw product, but also a new development model that we wish to pilot, the 80:20 model.

 

WHAT IS THE 80:20 MODEL?

The 80:20 model is built upon extensive local and international research and looks to adapt the current development model to allow developers to deliver a more diverse mix of housing in well-located urban areas. The model exemplifies inclusionary housing which are homes supplied by the private sector to a market that would not have had access to the development nor the area within which the development takes place.

 

HOW DOES IT WORK?

This approach depends upon unlocking potential bulk on existing sites earmarked for development, which in this case, will add 20% more apartments to the original scheme that will be sold at a more affordable price through an audited, open draw system. This is because the sale of the apartments in the originally planned-for scheme, accounting for 80% of the total number of units, are to be sold on the open market at market-related values to subsidise the land, finance and planning costs of this 20%.

The goal is to evolve a model that can be used to illustrate the potential role of developers in shaping our city and to create awareness around their ability to undertake similar projects that will begin to assist in contributing well-located, inclusionary urban housing that is targeted at the stretched middle market.

Not only will the 80:20 development model enable more diverse income groups to live in well-located parts of the city, a medium-density approach will allow services to be delivered more efficiently and more sustainably whilst promoting cultural diversity and sustainable economic growth.