All is set for the commissioning of Family Homes Funds housing project on the 12th of July 2019 in Asaba, Delta state.
The estate developed by Family Homes Funds in partnership with Delta state government is made up of 650 housing units for low income earners, and will be commissioned by the Vice President of Nigeria, Prof Yemi Osinbajo, alongside the MD/CEO of Family Homes Funds, Femi Adewole and other special guests.
The affordable housing project consists of one, two and three bedroom bungalows with all necessary facilities for home functionality. The estate has adequate access to water supply, power, security and good road network.
Built with high quality and sustainable materials, the houses are structured in ways that give each owner and his or her family a decent living space and some sense of privacy.
According to the MD, Femi Adewole, the estate is built in a fast developing and serene area with a lot of greenery. It represents the Funds’ vision to not only build houses, but to build ones that are healthy to live in and affordable for the owners.
650 affordable housing units built by Family Homes Funds in Delta State
The estate is one of the Federal Government special interventions in tackling the country’s housing deficit through Family Homes Funds. Family Homes Funds is a partnership between the Federal Ministry of Finance and the Nigerian Sovereign Investment Authority as founding shareholders.
The Fund is the largest affordable housing-focused fund in Sub-Sahara Africa, leveraging its significant capital (in excess of N500 billion by 2023) to facilitate access to affordable housing for millions of Nigerians on low to medium income groups. Through strategic partnerships with various players in the sector and some of the world’s main Development Finance Institutions, the Fund has an ambitious commitment to facilitate and supply 500,000 homes and 1.5million jobs for the low income earners by 2023.
As a strong sign of commitment, this estate in Asaba is developed in line with this critical objective, and this is just one of the many housing projects currently underway in almost all states of the federation.
Beneficiaries of the project will enjoy a deferred loan for up to 40% of the cost of their home. For the first 5 years of the loan, no payments need to be made. From the 6th year, monthly payments will be made to start repaying both interest and capital to assist the purchaser. The amount paid starts low and increases each year in gradual steps (average 6.5% per annum) in order for the HTB loan to be fully repaid by the 20th year, the same year the mortgage is expected to be fully repaid.
Speaking more on affordability, Femi Adewole said, ‘’we want to ensure that 1 bedroom unit should not be more than N3 million; 2 bedroom unit should not be more than N4.5 million, and 3 bedroom should not be more than N6.5 million.’’
So far, projects that have been completed or ongoing in states like Nasarawa, Borno, Ogun, Delta, Kaduna etc. have directly and indirectly employed at least 15, 000 workers, artisans, suppliers and all categories of housing professionals, with about 360,000 to be created from current development pipeline. Couple with the goal of providing affordable houses for millions of Nigerians, the Fund and its projects have been of significant economic impact through the commercial activities and jobs that have been created in relation to the housing projects.
The Fund which is developing projects in the six geopolitical zones of the country had also recently announced that it is currently building 4700 homes in Borno state, out of which 3000 will be very low cost homes for Internally Displaced Persons (IDPs). According to Adewole, the project will be ready in months because the sites have been identified and the drawings have been done.
Prior to now, the fund has completed the construction of 400 homes with an average cost of N3.5million in Grand Luvu, Nasarawa State – part of over 4,000 homes under construction in five states namely Ogun, Nasarawa, Kano, Delta and Kaduna. A further 30,000 homes are at advanced stages of negotiation with development partners and has commenced since November 2018.
As the new company builds capacity through the ongoing recruitment campaign, it will achieve a program of 80,000 homes by December 2019.
According to an official of the fund, “our focus is to create homes that people, particularly those on low income can afford but beyond that, ensure that we provide opportunity for them to earn decent wages consistently through our investment in these projects.
“We have spent the last year building very strong foundations for a major take off and now we should start seeing the results in affordable homes and jobs for local people.”
Through a combination of these activities, the Family Homes Fund aims to create or support up to 1.5 million jobs by 2023 making a real difference to the quality of life of their families and the economy.
By Ojonugwa Felix Ugboja