The EFF says about 500 people are currently occupying a plot of land in Khayelitsha, Cape Town.
The party says people have already begun erecting structures on the land near Nolungile railway station in site C.
Reports said EFF MPs Bernard Josephs and Nazier Paulsen led the occupation but the party's Godrich Gardee told News24 that the EFF merely supports community members in occupying vacant land.
Paulsen said he was merely doing what Jan van Riebeeck did - invading land and occupying it.
And he promised that the party will also target more affluent areas of Cape Town as they continue occupying vacant land.
Paulsen promised the Economic Freedom Fighters will lead communities in taking over land in Bishopscourt, Camps Bay and Rondebosch Common.