A quiet town in Limpopo found itself at the centre of a big money dispute. Nad Property Income Fund had its land taken for a new road in 2016. The fight over what the land is worth has now gone back to the high court.
Nad said the land should be worth nearly R17 million because it could become a shopping centre. SANRAL argued it only owed less than R200 000. The high court originally awarded about R933 000, but the Supreme Court of Appeal tossed that out.
Judge David Unterhalter called the high court’s mistake “an error of no small consequence”. He said compensation is not something a court may simply choose from a range of acceptable options. He added that the high court should have followed the Constitutional Court’s two‑stage approach.
The Supreme Court of Appeal sent the case back to the high court for more evidence on the land’s best use and the impact of the expropriation risk. It also dismissed SANRAL’s attempt to claim costs. Now both sides will have to bring stronger expert testimony before a final amount can be decided.