Source: Private sector tackles national housing backlog – herald
Online Reporter
PRIVATE construction firms are moving to fill Zimbabwe’s widening housing gap as the Government leans on private capital to meet its Vision 2030 goal of becoming an upper middle-income economy, amid an estimated national housing backlog of around two million units.
The Waterfalls Gated Community, developed by Picco Construction with part financing support from ZB Bank, exemplifies this trend.
While the development itself spans just a fraction of the country’s unmet housing needs, it highlights the growing role of private developers in addressing urban housing shortages that public funding alone has been unable to close.
“Housing is one of the clearest stress points in the economy,” said a Harare-based urban development analyst.
“Without private capital and execution capacity, the backlog simply widens every year.”
Picco Construction is rolling out several initiatives nationwide, including projects in Glen Lorne and a planned 700-unit residential scheme in Marondera in partnership with MCM Estate. The company also recently established a head office in South Africa, a move CEO Dr Rinos Mautsa described as strategic rather than symbolic.
“Establishing our head office in South Africa enables us to broaden our reach and harness regional opportunities,” Dr Mautsa said.
“The Waterfalls project is part of a wider push to scale up housing delivery while improving construction standards.”
Government policy has increasingly leaned on private initiatives. Vision 2030 identifies housing and infrastructure as critical enablers of productivity, household wealth and financial-sector growth.
However, public resources have proven insufficient, particularly in rapidly expanding urban areas.
Financing remains a key constraint. ZB Bank chief executive Mr Elisha Chibvuri said the lender’s involvement in the Picco project reflects a deliberate focus on real estate as an economic multiplier.
“Our mandate goes beyond financing; we aim to support developments that stimulate economic growth and promote long-term stability in the property sector,” he said, noting a recently approved Shelter Afrique line of credit targeted at the housing value chain.
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