This research project aims to determine whether fully subsidised BNG house developed within an integrated development such as Cosmo City can fetch sufficient value to bridging the ‘gap’ between BNG house and an affordable house and thereby assisting a house hold to leverage itself up the housing ladder. Based on Cosmo City as a case study the research investigates real value verse perceived value of BNG houses within an integrated development. The information and data collected includes; the replacement cost of a BNG house, Cosmo City’s BNG residents perception of value, professional commentary on BNG house value, capital growth within the entire development of Cosmo City, a comparable analysis of three houses within Cosmo City and official Municipal Valuations. The literature review reveals that the creation of integrated developments are the way forward to urban and community sustainability, as they provide a platform for social and economic development by alleviating poverty and assist with wealth creation. This is achieved by constructing environments which have better access to amenities and work opportunities and which provide for lifestyle and income changes. The analysis of the research determined that a BNG house has real value (replacement cost), perceived value, (BNG and professional interviews) and market value (Municipal Valuation) and should command sufficient value as a result of the attributes associated with integrated development’s, which include mobility, accessibility, service levels and locality. The conclusion is that my hypothesis cannot be substantiated as yet as a BNG house cannot be sold or purchased due to the pre-emptive clause which restricts the sales of BNG houses for a period that is no sales of BNG houses have as yet taken place. However, the research does determine that BNG house has both perceived and real value.

The main aim of the study was to investigate the extent to which the implementation of Cosmo City Project has accomplished the aims of housing policy. The main areas of housing policy which were explored are: partnerships, public participation, tenure security, and integration (spatial, institutional, economic, and social). In order for this study to be successful, primary data was collected from ten residents from Cosmo City, Cosmo Environmental Control Officer, and the Project Manager. A research questionnaire was administered to each of the identified respondents. In addition, secondary data was collected from books, journal articles and relevant policy documents. The analysis of findings used research questions as themes to ensure that the data collected respond to the objectives of the research. The findings of the study revealed that the implementation of Cosmo City achieved most of its objectives such as tenure security, environmental sustainability, spatial integration and institutional integration. However, economic and social integration were not achieved by the project. These findings led the researcher to conclude that an attempt by South African government to create socially and economically viable human settlements did not succeed in Cosmo City. This was due to lack of effective public participation. Consequently, it was recommended that there was a need to strengthen the capacity of the Local Authorities in terms of housing policy formulation and implementation. Again, thorough research on urban poverty and urban integration processes were to be clearly incorporated into housing policy.