Fortune News | Jul 20,2019
Jul 13 , 2019
By TEMESGEN MULUGETA ( FORTUNE STAFF WRITER )
After four years of delay, Habesha Construction & Materials Development SC has delivered 50 housing and two commercial units.
Habesha, a local real estate firm and construction material supplier, has been constructing the houses for the past six years at its site in the Ayat area. Built for 61 million Br, the eight-storey building with housing and business units were delivered to the buyers on July 13, 2019.
The apartments host three-bedroom units along with a parking area, elevators and an electric power generator. The units rest on an area that ranges between 92Sqm to 126Sqm. The building also has two basements. Out of the 1,077Sqm covered by the site, the apartment occupies nearly 823Sqm of it.
The initial plan of delivering the houses was in two years, but it took over six years to finalise the houses and deliver them to the home buyers.
Shortage of foreign currency to import raw material and the price escalation of construction materials are the two reasons cited by the company for the delay, according to Teferri Zewdie, general manager of Habesha.
"We couldn't even import elevators on time due to a shortage of foreign currency," Teferri said.
Yerer Construction Plc, a local construction firm, completed the civil work of the project under the supervision of Habesha Construction.
The site is among 12 projects the company has undertaken in the city. On these sites, Habesha is constructing 1,160 homes, 394 offices and business units and 28 villas.
Last year, the company delivered 80 housing units built at Sunset Project for the first time since its establishment nine years ago. With 2,014 shareholders, the company planned to deliver two residential apartments and one business centre in the coming Ethiopian year.
ECA Apartments and Fame Villas, two residential projects, and Tigat Business Centre are the projects that are expected to be delivered to buyers in the planned time frame.
In 2018, Habesha Construction, which earned 13 million Br in net profits in 2018, sold 792 apartments, 352 offices and shops and 27 villas valued at 1.8 billion Br. In the same period, the company earned 44.9 million Br in gross income generated from the sale of apartments, investment from shares and the sale of cement.
Aziza Abdulfetah, lecturer and chairperson of landscape architecture at the Ethiopian Institute of Architecture, Building Construction & City Development, says that failure in delivering houses in the allotted time is the problem of most real estate firms in the country.
Price variation and exaggerated advertisement to attract home buyers is the prevailing trend in the industry, according to Aziza.
"To meet the demand for housing, the real estate companies, government and policymakers should work together and come up with new project designs," she added.
PUBLISHED ON
Jul 13,2019 [ VOL
20 , NO
1002]
Fortune News | Jul 20,2019
Fortune News | Jan 22,2022
Radar | Aug 27,2022
Radar | May 02,2020
Sunday with Eden | May 04,2019
Radar | Jul 08,2023
Radar | Jun 08,2019
Fortune News | Apr 12,2020
Radar | Apr 10,2021
Radar | Dec 28,2019
Feb 24 , 2024 . By MUNIR SHEMSU
Abel Yeshitila, a real estate developer with a 12-year track record, finds himself unable to sell homes in his latest venture. Despite slash...
Feb 10 , 2024 . By MUNIR SHEMSU
In his last week's address to Parliament, Prime Minister Abiy Ahmed (PhD) painted a picture of an economy...
Jan 7 , 2024
In the realm of international finance and diplomacy, few cities hold the distinction that Addis Abeba doe...
Sep 30 , 2023 . By AKSAH ITALO
On a chilly morning outside Ke'Geberew Market, Yeshi Chane, a 35-year-old mother cradling her seven-month-old baby, stands amidst the throng...
Mar 23 , 2024
Addis Abeba has been experiencing rapid expansion over the past two decades. While se...
Mar 16 , 2024
In a striking move that has rattled the corridors of Ethiopia's export sector, the Mi...
Mar 9 , 2024
Mamo Mehiretu's tenure at the central bank's helm is marked by a distinct shift in fo...
Mar 1 , 2024
In the corridors of the Ministry of Finance, on King George IV St., a recent visit by...