LEADING mortgage lender, CABS, says its low income housing project in Bulawayo is on course, with work beginning “soon”, managing director Simon Hammond has said.
BY MTHANDAZO NYONI
CABS, a subsidiary of Old Mutual Zimbabwe, is set to build over 2 700 housing units in Bulawayo’s Nkulumane high-density suburb.
“We acquired land in Bulawayo, Nkulumane and Pumula South suburbs, for affordable housing schemes, as part of our housing delivery thrust. We have been exploring the best method of housing delivery given experiences elsewhere in this market segment,” Hammond said.
“Part of the feasibility has been to assess servicing costs, and these have proved favourable. In the very near future, CABS proposes to begin the process of selling off serviced stands with options for qualifying buyers to access mortgage finance to build on their own.”
He said the bank was excited about the model, as it would give options for house owners to build at their own pace and their own lifestyle.
The construction of the houses under the project is being done under the Old Mutual Housing Fund aimed at easing accommodation challenges in the country.
The first project under a similar fund was done in Budiriro high-density suburb in Harare, where 2 795 houses have been built.
The Budiriro Housing Project saw Old Mutual, through its subsidiary, injecting $15 million into the project.
The project, if complete, will contribute significantly to addressing accommodation challenges to potential home seekers especially in Bulawayo.
Over 100 000 residents in Bulawayo are on the housing waiting list, while the country has a national housing backlog of 1,25 million.
Meanwhile, as at 30 September 2016, CABS’ total asset base was $960 million.