Ten Thousand new 40/60 condos to be built


The Addis Ababa Savings & Houses Development Enterprise (AASHDE) has plans to start building 10,000 condos under 40/60 schemes in the city amid a backlog of more than 38,000 houses.
Some of the new condo areas will feature amenities such as shopping, parks and play areas. Construction is to begin after the Ethiopian New Year, it is not known when they are expected to be completed.
The Enterprise which budgeted 10 billion birr for the ongoing condos and for the new condos is talking with the Land Management Bureau to obtain land for the new condos.
The new buildings will be 16, 18 and 20 stories with two basements, and a 24 storey buildingwith three basements.
“The focus is not only having housing units delivered but there are secondary benefits like job creation especially for women and youth,” a source said.
Out of the total number of 38,000 residents registered under the 40/ 60 scheme, only four percent are registered for one bed room houses and 46 percent for the two bed rooms while half have registered for the three bed room houses.
From the total houses that are being constructed at nine sites across the city under the scheme most are 60 percent complete.
The construction cost of the buildings for the houses are adjustable based on the market price of the construction materials.
City residents who are registered under this scheme must save 40 percent of the value of the houses within five years and the government then arranges a loan for the remaining 60 recent from the Commercial Bank of Ethiopia (CBE) by mortgaging the house to be transferred to the user upon completion.
One, two and three bedroom houses under the 40/60 scheme cost 162,000 birr, 250,000 birr and 386,000 birr, respectively. The respective monthly savings are 1,033 birr, 1,575 birr and 2,453 birr for five years.
The Enterprise blamed the delay of the 40/60 houses on incomplete infrastructural works, including roads and electricity.