City reclaims land from deadbeat developers

The Addis Ababa Land Management and Administration Bureau announced that it retook 39 fenced pieces of land from developers and cancelled their contracts in the city over the last nine months.

Developers working on these land areas had their contracts canceled because they simply held onto the land as opposed to developing it after obtaining it through land lease auctions. Twenty three of these plots are in Nifas Silk Sub City, eight are in Bole and Arada and the rest in other sub cities. All of the plots have been returned to the land bank to be auctioned off.

According to a report from the Bureau, 138 fenced pieces of land are also awaiting the decision of the vice mayor to determine if they will be returned to the land bank or if developers will be given more time to build something on them. Thirty six of these plots are in Bole, 25 in Nifas Silk and 15 in Arada, with a few in other sub-cities.

From the direct order of the vice mayor 232 plots which were not developed also went to the land bank for special protection.

These include 76,684sqm of land held by Access Real Estate in Bole, Yeka, Kirkos and Ledeta Sub Cities for the last eight years. Most of this land is in Bole. They did not deliver houses despite promises for the last 8 years.

In the last nine months the city auctioned 22,526 hectares in land lease auctions.  Bole sold 74,526 square meters. In total the city has earned 566 million birr from the 20 percent down payments for the land lease sales.

The Bureau gave 309 hectares of land for housing to people who were relocated or for manufacturing projects. Around 400 hectares of land were expected to be given for condo construction so far however only 41.7 hectares has been given out.

According to the Bureau, lack of coordination among stakeholders, lack of efficiency of some land management staff are the major reasons for the small amount of land being provided for condo construction.

Previously the city administration announced that the 20/80 and 10/90 house scheme will not begin this fiscal year due to budget constraints. The city administration said it will attempt to speed up the construction of 133,321 houses.