The project started in 2005 and was later put on hold in 2006 due to the disagreement between the implementing agent and the uPhongolo Municipal Council. The council obtained bridging finance in the amount R3.2 million to finalise the 250 houses that were not completed in order to prevent them from being vandalised. A new implementing agent was appointed to package the application for submission to the Department of Human Settlements. The council reported that there was a severe hailstorm that hit the municipality and most of the houses were severely damaged. The beneficiaries of the housing project were approved and were ready for their houses to be built.