| Summary: | Property development (PD) is basically driven by the need or demand from the people. Sustainable property development has emerged in response to a global problem – and the need to maintain environmental integrity, according to Gurry (2011) cited by Botha (2013: 7). Keeping and Shiers (2004) state that property development, as a whole, has to balance social, economic and environmental needs. Emanating from the above, any successful development project must offer investors security, infrastructure and efficiency and should also put the needs of citizens at the forefront of all its planning activities. Availability of land, existing infrastructure, availability of finance, economic conditions, political influence and corruption always influence growth of property development in any area. This study aims to identify factors that contribute to lack of property development in Mthatha. Data collected shows that the challenges sometimes lead to failure and delays of the development. The purpose of this study is to identify these challenges, investigate the available literature, consider what has been done so far to address these challenges and make recommendations. It is essential to understand the state of the town and perceptions of the people in the area dealing with Property Development. Mthatha is the main focus of the study because of the perceived number of failed and delayed property development initiatives. The primary and secondary data collected provide the basis for understanding challenges that lead to such failures and delays. This research was conducted by means of a review of the related literature and an empirical study. The empirical study was conducted using a quantitative statistical approach by distributing research questionnaires to members falling within the sample population. The primary objective of the study is to develop a framework for successful implementation of property developments in Mthatha. The study’s findings reveal shortcomings which contribute to the study’s identified problems relating to property development in Mthatha, namely: decaying infrastructure, shortage of land, implementation of the IDP, availability of finance to promote real estate developments, political influence and corruption. Wikipedia defines Property Development as a “multifaceted business encompassing activities that range from the renovations and release of existing buildings to the purchase of land and the sale of improved land or parcels to others”. Harvey and Jowsey (2004), as cited by Botha (2013: 5), define Property Development as a process that involves changing or intensifying the use of land to produce buildings for occupation.
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