adminTinashe Makichi Business Reporter
Listed property developer, Zimre Property Investments Limited’s proposed development of 238 stands in Ruwa has been put before National Physical Planning department after having received approval from the Ministry of Local Government, Public Works and National Housing.
ZPI is expected to invest about $5 million to start developing the residential property project. The company’s construction of the residential facility is part of the company’s long term plans to boost revenue.
ZPI Finance manager Mr Nyasha Zhou told The Herald Business yesterday that the company has made progress in terms of getting all the regulatory approvals required for the Ruwa project to commence. He said the project is still at the preliminary stages and the company is looking at investing in low cost housing projects to boost revenue.
“We have received approval from the Ministry of Local Government, Public Works and National Housing and I can confirm that the project is now under the jurisdiction of the department of physical planning. Once all the approvals have been given then we will start construction of the project.
“The movement in terms of sales from 2012 to 2013 enabled the company to earmark $5 million towards the Ruwa project,” said Mr Zhou.
He said capital for the construction of the facility would be raised mostly from rentals and selling of finished properties.
This new project is the latest of several that ZPI has undertaken across Zimbabwe in the past few years.
The project is located about 20 kilometres east of the Harare and comprises 238 residential stands measuring from 600 to 800 square metres east. The project is estimated to take 10 months to complete and an Environmental Impact Assessment is being carried out and finalisation of regulatory approvals is in progress.
Mr Zhou said the Masvingo project is selling and all the construction work was completed.
“Masvingo project is currently selling and as we head to the festive season where most people would be coming back from foreign countries for holidays. We are expecting a rise in sales during that period,” said Mr Zhou.
He said for the period to September 2014, rentals for Masvingo were contributing 56 percent of the company’s revenue.
The company’s projects for the same period were contributing 38 percent to the revenue. Over 190 stands had been sold by the first half of 2012 at a value of $3,8 million.
In spite of the deteriorating economic environment, private sector-led housing development projects have continued in Zimbabwe.
Online Reporter