World Cup Housing Shortage

November 13 - As the time for the FIFA World Cup draws near, property owners in South Africa are hoping to cash in by renting out to the 440,000 foreign visitors expected to descend on the country.

However, property owners have come under fire by the Local Organizing Committee boss, Danny Jordaan, who accused some of inflating their prices by up to six times the normal amount in the hope of cashing it out.

Jordaan said that if the visitors feel that that they have been cheated, they may not return to South Africa after the World Cup, and this could have a detrimental effect on the country's tourism long term.

"Unfortunately, this is one of the things that has emerged around major events," said Jordaan.

"They [property owners] say it is the market forces of supply and demand," said Jordaan. "You know, huge demand and the price must go up. But I think it does not make good business sense for sustainable business. If people feel they did not get a fair deal, they will think twice about coming back."

Regardless of the price, there is still a shortfall of 46,000 rooms to offer foreign visitors. 220,000 are expected on long haul flights, while the others will enter South African from other African nations.

With schools and universities closed during the World Cup celebrations, it was suggested that these establishments could be used to house soccer fans due to the shortage.

Smaller cities such as Polokwane and Nelspruit are expected to suffer the most from a shortage of accommodation, where masses of fans are expected to descend for the bigger World Cup matches being played out.

11/13/2009 12:17:43 PM