Latest feedback, as per the Overstrand Municipal Council meeting on 25 March 2026: The property is currently under a valid long-term lease agreement (45 years) with a private developer. However, the project has effectively been “placed on hold” due to a High Court challenge.

While the lease exists, the developer has been granted “relief,” meaning certain compliance deadlines have been paused until the legal uncertainty is resolved.

The Court Case

In December 2024, a private individual (Ms. E de Kock) launched a High Court application to set aside and cancel the tender award and the lease agreement.

• Current Status: The matter is sub judice (under judicial consideration).
• Impact: Because the developer’s right to the property is being challenged in court, they cannot reasonably be expected to spend millions on construction until the court makes a final ruling.

Tender Winners

The tender was awarded to Point Caravan Resort (Pty) Ltd. They were selected after a competitive bidding process in 2024. They are currently managing the existing sub-leases on the property, such as De Vette Mossel and Klein River Lagoon Park.

The Lease

• Duration: 45 years.
• Rent: The agreed rent is R117 735.80 per month (including VAT).
• Current Adjustment: Because of the court case, Council has approved that the full rent payment be postponed for one year from when it would otherwise have been payable, i.e. starting July 2026. Instead, the developer will pay a reduced rental amount taking into account the actual income they receive from the current sub-tenants, as well as any expenses incurred.

Security and Vagrants

• Responsibility: According to the lease agreement (signed July 2024), the Lessee (Point Caravan Resort) took “full responsibility” for the property, which explicitly includes security and maintenance.
• Vagrants: The developer is legally responsible for preventing illegal occupation and managing the property. However, the Council report (page 60) acknowledges that when the developer attempted to clear areas for safety/security, they faced complaints from some community members.

Alien Clearing and Fire Hazard

The developer is responsible for the upkeep of the property. The report notes that the developer has already started clearing certain areas for safety reasons. The Municipality supports this clearing as it is necessary to reduce fire risks and improve sightlines for security, despite some pushback from the public regarding the clearing activities.