Enterprise Announces Construction of 8,428 Condo Houses

Addis Abeba is going to get additional 8,428 homes under the middle-income housing scheme. The last construction under this scheme was embarked four years ago.

For this construction project, the Addis Abeba Savings & Houses Development Enterprise (AASHDE) has obtained 38ha of land in Bole District from the Addis Abeba City Administration. The new homes, which will be constructed around Bole Arabsa, are enclosed in 54 buildings. Where 40 of them have 15 storeys while the remaining have 13 storeys and two basements. The homes will be constructed in one, two and three bedrooms having 59sqm, 75sqm and 100sqm floor areas, respectively.

Expected to be finalised in a two-year period, the construction is scheduled to commence by the beginning of the upcoming fiscal year. The Enterprise is in the process of reviewing the bidding documents of the consultancy firms that are vying to supervise the construction of the buildings.

Along with the selection process of the consultancy firms, the Enterprise is preparing contractual manual and prequalification criteria to hire contractors, according to Yohannes Abayneh, communications head at the Enterprise.

“Once the companies are selected, the contractors will be working on the projects with fixed prices to be set by the Enterprise,” he said.

The Addis Abeba Construction Bureau has recently issued a new directive which introduced fixed prices for projects to be executed in Addis Abeba. The directive comes to life after the suspension of 116 small and medium-sized contractors due to delays in the construction of projects, wastage of materials and lower quality of work.

In the current construction, the contractors will be responsible for the provision of construction inputs..

“We will only be assisting the construction companies in providing inputs which need foreign currency, such as elevators and re-bars,” Yohannes told Fortune.

The Enterprise has construced over 38,000 homes in the middle-income homes scheme since 2013. Last year in July, it drew a raffle for 876 middle-income houses located at Senga Tera and Crown sites, through the Commercial Bank of Ethiopia (CBE). These houses were found in 17 buildings, and 320 of them were for commercial purposes. For three homes, 164,779 individuals have registered and opened a blocked saving account at the CBE.

However, CBE recently disclosed that 35,880 people withdrew their savings, 20,041 individuals have deposited the full amount, and 47,139 have saved and are saving 40pc of the total amount of the housing units.

In addition to the middle-income housing scheme, two other schemes – middle-lower income and lower-income – are also under implementation by the city administration. The projects kicked off with the main aim of replacing substandard residential units in the city, on top of satisfying the housing demand of the city’s inhabitants. For these housing schemes, a total of one million home-seekers are registered.

Since the inception of condominium housing project in 2005, around 175,000 housing units under the middle-lower income housing schemes were transferred to the residents through eleven rounds.

The project could absorb more than 10,000 jobs in different levels, according to Yohannes. The Enterprise recently opened its fifth branch office with 85 professionals to support and control the construction process.

Abebe Dinku (Prof), a civil engineer and a university lecturer with over three decades experience, appreciates the move but he believes that private companies should be involved in such kinds of developments.

“When private companies get involved in the process, there will be competition which will have effects on quality, price and time of delivery,” he said.



Published on May 26,2018 [ Vol 19 ,No 943]



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