Sandton Civic Precinct (Pty) Ltd v City of Johannesburg & Another

The case concerned contested rights to develop the Sandton Civic Precinct, a ten‑acre publicly owned property in Sandton. In November 2000, the Eastern Metropolitan Local Council (EMLC) adopted a resolution which "resolved to recommend" that development rights, subject to conditions, be awarded to the Sandton Civic Precinct Consortium. The consortium comprised Mr Bart Dorrestein’s interests, JHI Development Management (Pty) Ltd, and two black economic empowerment (BEE) entities: Ndodana Becker & Associates and Sithembele (Pty) Ltd/Domestic Workers Association Investment Company (Pty) Ltd. The City of Johannesburg, as successor to the EMLC, later resolved in 2005 not to proceed with that recommendation and instead awarded the project to the Bombela Consortium. Sandton Civic Precinct (Pty) Ltd claimed to hold the development rights flowing from the 2000 resolution and sought to enforce them. However, one BEE partner joined Bombela and the other BEE entity was never incorporated. The appellant alleged that their interests were held in trust by Mr Dorrestein.

The appeal was dismissed. The City of Johannesburg was deprived of its costs in both the Supreme Court of Appeal and the High Court.

The case is significant for clarifying the strict requirements of legal standing in asserting contractual or administrative rights, particularly where consortium arrangements and BEE components are involved. It underscores that parties must demonstrate a clear legal lineage or authority to enforce rights arising from public‑law decisions. The judgment also illustrates the court’s willingness to penalise improper conduct by public authorities through adverse costs orders.