GIPF invests over N.dollars 200 million in affordable housing in Erongo

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The Government Institutions Pension Fund (GIPF) has invested over N.dollars 200 million in the construction of affordable housing in the Erongo Region since 2012.

GIPF in a media statement on Tuesday said this investment is aimed at enabling lower-income communities to acquire affordable housing.

“Poverty and a lack of financial resources to acquire decent housing are major constraints in Namibia, and as a result, the mortgage market is focused on the middle and high-income segments of the market, excluding most Namibians,” it read.

N.dollars 14.5 million of this amount was invested in the first phase of KwaNkomo village under the KwaNkomo Village property owner and an Infrastructure Development Company, through a Special Purpose Vehicle (SPV) managed by Old Mutual.

This project has to date seen the development and construction of 122 houses, while eight are currently under construction with 20 yet to be constructed.

“An additional over N.dollars 84 million was invested in International Housing Solutions (IHS) for the second phase of the KwaNkomo village which boasts the erection of 12 blocks, consisting of 15 apartments each, where a total of 180 families reside,” it said.

KwaNkomo, which was the brainchild of the late Advocate Shakespeare Masiza, has the vision to uplift the living standard of underprivileged members of the community through affordable housing developments.

GIPF Chief Executive Officer David Nuyoma in the statement emphasised that the fund’s investment in affordable housing has proven to be sustainable as it takes a portion of members’ contributions and invests it in housing which the members then occupy.

“This formula is a win-win, as it is designed to benefit the members and their families by giving them a roof over their heads while benefiting communities through job creation,” Nuyoma said.

KwaNkomo Village Property Managing Director, Lorraine Masiza noted that the project too has been hit hard by the COVID-19 pandemic.

“The successful completion of this development is a befitting accolade and tribute to the legacy of the late Masiza and project manager Christo Van Wyk who both succumbed to COVID-19 this year without living to see the fruits of their labour,” Masiza expressed.

Source: The Namibian Press Agency