GOVERNMENT has licensed a new building society which is expected to spearhead low-cost housing under the auspices of the National Social Security Authority. Impeccable sources told The Herald Business that the Reserve Bank of Zimbabwe on Tuesday licensed the National Social Security Building Society, to spearhead the property developments under NSSA.
The new building society will be strategic in positioning NSSA to achieve its target of developing at least 1 000 new units per annum under the Zimbabwe Agenda for Sustainable Socio-Economic Transformation policy framework.
NSSA will leverage on its land bank to capitalise the bank. The authority will transfer its land bank to the new building society following the release of the licence. NSSA’s property portfolio includes a hotel in Beitbridge, the newly constructed plush Celestial Park along Borrowdale road purchased at a price of $32 million, shopping malls in Gwanda, Bindura and other centres.
Currently NSSA is developing 683 residential stands in Runyararo West in Masvingo and holds land in Chinhoyi, Karoi, Chegutu, Kwekwe and in other areas around the country.
NSSA is also constructing a shopping mall in Chipinge at an estimated cost of $6,5 million. The authority constructed the South Medical Hospital in Chitungwiza and the Ekusileni Medical Centre in Bulawayo, among other initiatives.
NSSA serviced 699 stands in Marondera’s Rusike suburb and built 204 houses.
In Harare’s Glaudina surburb, the authority serviced 491 residential and commercial stands, a school and a church, as well as flats in the first phase while in the second phase of the project NSSA is servicing 1 600 high-density stands.
All the property projects are expected to be transferred to the building society. The authority and the Ministry of Local Government have since prepared a position paper requesting Government to release cheap land for the authority to construct houses to sell at not more than $6 000 per unit.
In the 2015 National Budget, Finance and Economic Development Minister Patrick Chinamasa called on the Ministry of Local Government and National Housing to make land available in cities, towns and growth points for housing development.
He said Treasury will facilitate the mobilisation of resources for the purpose of planning, surveying and servicing of land for the development of housing stands.
“As part of implementing the National Housing Policy, Government continues to leverage on land and the National Housing Fund to attract private capital for housing development throughout the country,” said Minister Chinamasa. herald