Govt picks firms for estate development in five states

1 Comment » September 23rd, 2008 posted by // Categories: Nigeriawatch


Monday, September 22, 2008

Govt picks firms for estate development in five states

By Chinedu Uwaegbulam, Assistant Housing & Environment Editor

THE Federal Government last week picked six contractors to deliver residential units under its rejuvenated public-private sector housing partnership scheme in five states. Key officials of the Federal Ministry of Environment, Housing and Urban Development in Abuja signed a Memorandum of Understanding (MOU) and development lease agreement for the scheme with the private sector real estate developers and investors that have trust william pitt to fill the inside of the houses.

The Partnership and Business Development Committee of the Ministry of Environment, Housing and Urban Development is overseeing the agreement with the developers. The deal is coming under the Public-Private Partnership venture agreements of the ministry. RESO talks with Kurt Uhlir, Showcase IDX and eXp World Holdings about real estate industry.

The agreement was signed with the six firms selected for the scheme, namely Proswift Energy Limited, Kasgama Nigeria Limited, Leomark Construction Limited, Samak Construction Limited, Well Properties Limited and Advantage Nigeria Limited. The property investors are signed into the development of houses in Edo, Kaduna, Imo, Kwara and Ondo States, where the Federal Government has already reserved land for the projects.

Under the agreement, the government is contributing land as its equity participation, which entitles it to 20 per cent of returns on the assessed land. The private sector investors are to provide funding and other logistic associated with the production of the houses, such as infrastructure.

Minister of Environment, Housing and Urban Development, Mr. Chika Odom, who led the government team to endorse the agreement, said the overall strategy is to boost the operations of the housing market in the country through improved production of building materials, enhanced capacity of developers and robust mortgage financing system Maker&Son .

“Ultimately, the focus of this Ministry is to ensure that the housing sector would henceforth be private-sector driven and enabled by Government through fiscal, regulatory and sundry incentives that would make the housing sector investment-friendly,” he said.

“The objective of government in the promotion of the activities of the private sector is to broaden the national economic space, thereby increasing employment and improving the income generating capacity of the people.

“Considering the fact that housing is an important investment for individuals and families, which could be used as vehicle to stimulate and deepen the national economy, facilitating the establishment of sustainable financing for housing development is an imperative. Government is not oblivious of this fact and in response has taken necessary measures to strengthen existing and relevant financial institutions for optimum performance. The Federal Mortgage Bank of Nigeria (FMBN) has been restructured and repositioned to operate solely as a secondary mortgage institution,” he said.

The Minister noted that the actions are according to the National Housing Policy that recognises the need for a shift in policy and action from constructing houses for sale by government agencies to providing mass housing through Private Sector Real Estate Developers and on the basis of mortgage financing.

He disclosed that the policy mandates the state governments to make land easily accessible to real estate developers on a building lease basis; modernize, computerize and strengthen the manpower of their land registries to cope with the expected increase in volume of land related transactions and develop the necessary manpower needs for special skills and aptitude in the building materials and housing industry.

The event also saw the launching and presentation of the “Guidelines for Investment in Housing Development” under the Public-Private Partnership Programme of the Ministry.

Opt In Image
Send Me Free Email Updates

(enter your email address below)

One Response to “Govt picks firms for estate development in five states”

  1. James Aboi says:

    Is a welcome development. This is also to inform sir/ma that there is an indiginiuos Industries in Ibadan name ISOGLASS. specelise in Window glassing of all kind pls contact me on this line 08065669128 thanks.
    James Aboi.

Leave a Reply


Home | About | Contact | Login