A Johannesburg tenant spent nearly R1 million renovating a rental property, based on a verbal agreement that he would eventually buy the house. He later submitted a formal offer to purchase, but it was rejected by the landlord.

Despite extensive upgrades - including plumbing, waterproofing, and a new kitchen - the landlord sold the property for R3 million after evicting the tenant over R896 000 in rent arrears. The tenant sued for over R900 000, claiming unjust enrichment, but the court found no binding agreement and upheld the lease terms.

The High Court ruled in the landlord’s favor and ordered the tenant to pay rent arrears and legal costs.

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