General: OTJIWARONGO BETTERMENT POLICY
What is a betterment fee?
It is a levy that is charged on lands within areas where the value of land has increased as a result of the construction within those areas of certain development projects.
Guidelines for charging of betterment fees as per table below:
Deposit prepayment system
| PREVIOUS ZONING | CURRENT ZONING | MAXIMUM BETTERMENT FEE % |
| Institutional, private open space – no subsidized price | Residential 1Residential 2 | 50% |
| Institutional, private open space – no subsidized price | Office, Business | 50% |
| Institutional, private open space – subsidized price applicable | Any other zoning | 75%Where land had been provided at a subsidized value which is not going to be recovered in any other way. |
| Residential 1 | Higher density residential | 20% |
| Residential 1 | Residential 2 | 20% |
| Residential 1, Residential 2 | Office or Business | 40% |
| Residential 1, Residential 2, business | Industrial | 30% |
| Office | Business | 30% |
| Office or Business | Increase in bulk | 30% |
| Any zone | Institutional | No betterment fee |
| Any zone | Special | On own merits up to 50% |
| Undetermined Agriculture | Any zone | 30% |
| Special | Any zone | No betterment fee |
| Any zone – where an unauthorised activity or illegal building works is being legalised | Any zone | 75%Only when legalized use is authorized in terms of the scheme. (Unauthorised uses to be terminated if not compatible with surrounding land uses) |
| State (Owned by Government) | Any zone | No betterment fee payable provided land is and remains in State ownership |
| State (state owned enterprises) | Any zone | Betterment fee based on existing legal usage before rezoning. |
| Municipal | Any zone | No betterment fee |
| Township development on private land | Any zone | 30% |
For more information contact the office of the Town Engineer @ 067 30 2231
