Real estate sector needs more transformation – PSCC

South Africa's real estate sector is making reasonable efforts for transformation, but it needs to pick up speed, says the Real Estate Charter Council (PSCC).

PSCC publishes this week's results of its 2016-2017 State of Transformation Report, which sampled institutional investors, large private owners, mutual funds and listed real estate entities.

He found that the real estate sector was achieving a general average recognition of Level 4 of Black Economic Empowerment (BBBEE).

"Research shows that commitment to transformation varies across the sector.The commercial real estate sector is leading the progress in transformation.On the other hand, the sector of the commercial real estate is leading the progress in the transformation. 39, residential real estate is lagging behind, with a very limited number of BBBEE certificates submitted.

"In addition, the report shows that the public sector does not take active leadership of the expected transformation The CEO of PSCC Portia Tau-Sekati

Specifically, the real estate sector has achieved excellent results in business development (105.6%) and socio-economic development (117.2%). %). ; achieved good results in terms of ownership (80.2%) and preferential supply (83.7%); but weak in skills development (65.7%) and management control (57%), employment equity (32%) and economic development (38%)

"Management Control, the employment equity and skills development are interdependent. This trio of underperforming people shows an under-representation of blacks and black women at all levels of management, including participation in the board of directors, "said Tau-Sekati.

"It is essential that companies in the real estate sector invest adequately in skills.This must be strongly linked to employment equity, which is the least efficient element. relative to the stated goal There are pockets of excellence in the many companies reporting on their efforts, but this has not translated into success at the sector level. "[19659002Thesectorneedstopromoteskillsdevelopmentatthesectorlevelratherthanattheenterpriselevelthismustbedoneincollaborationwithacademicinstitutionstobuildaprogramthatmeetscurrentandfutureneedssheadvised