Buganda Kingdom invests in mega US$65m housing project

BICUL ED Roland Ssebuwufu and Stephen Zhang MD for Guoji Group Company showing the Master plan

Roland Ssebuwufu and Stephen Zhang MD for Guoji Group Company showing the Master plan

The housing sector in Uganda remains very critical in the country’s overall socio-economic development and has numerous multiplier effects, which include contribution to economic growth; fixed capital formation; employment creation and ensuring macro economic stability amongst others.

However, despite housing being a basic human need for all, the government of Uganda still remains unable to meet the housing needs of all people and cannot afford to build and maintain pool houses.

But now the government has adopted an enabling policy to guide housing development, improvement and management which has enhanced the role of various actors in the sector.

To bridge the housing gap  , several industry players have invested huge sums of money in the sector  , among them Buganda Kingdom  which has launched a master plan for 220 housing units on a 70 acre piece of land in Kigo, Wakiso district.

Through Buganda Investments and Commercial Undertakings Limited, the investment arm of Buganda Kingdom, the Kingdom has partnered with Guoji Group Company (U) Limited, a Ugandan based Chinese company to undertake the US$65m project under which 81 units will be constructed in the first phase.

Speaking to this website in the Ugandan capital, Kampala, the Chief Executive Officer of Buganda Investments and Commercial Undertakings Limited, Roland Ssebuwufu said that the first phase of the project will be completed in twelve months. “The project will be an upscale residential suburb, have well integrated sustainable human settlements, where all have adequate shelter with secure tenure, enjoy a healthy and safe environment with good  infrastructure services,” he said.

He said that the project which started with four model houses will be officially opened by the Kabaka of Buganda Ronald Muwenda Mutebi II in July this year ahead of his Coronation celebrations. “Ugandans here and in the Diaspora will have a chance to acquire decent housing at an affordable fee with a 99 year lease title under this project,” he added.

The Chinese company which is a subsidiary of Henan Guoji Industry Group Company Limited ,  based in the Chinese Province of Hernan has interests in Real Estate Development in several African countries among them Uganda, Sierra Leone, Tanzania, Zambia and Malawi. Others are DR Congo, Congo-Brazaville and Mozambique.

A recent survey by the Uganda Bureau of Statistics indicates that Uganda has a housing deficit of 550,000 units. About 160,000 of this backlog is in urban areas.

Kampala alone has a housing deficit of 100,000 units. Uganda’s population of 38 million, which is growing at a rate of 3.3% per year, is projected to increase to 63 million by 2030. With a rapid rate of urbanization, it is estimated that two decades from now, Uganda will have a housing shortage of close to 8 million units, of which 2.5 million will be in urban centres and one million in Kampala.