Zambia Real Estate
Unpredictable inflation rates, high interest rates and volatile exchange rates in the past made investors reluctant to invest in any long-term real estate project in Zambia.
As a result, the cost of a houses in Lusaka is the highest in Africa which is directly impacting the affordability of the population.
The cheapest house built in Zambia by formal contractor or developer has been estimated at $70,000 in 2012.
In 2013, however the estimated price fell marginally to $68,363.
A house price that stands at US$68,363 is usually around US$30,000 in other countries.
In addition to high prices, the income of Zambian urban population is lower than other African states.
Based on the income distribution, only less than 1% of the Zambian population can afford formal house, representing as major impediment to the Zambian real estate and construction market.
However domestic credit including construction finance, foreign currency loans and mortgage loans increased by 32.6% to ZMW 26,164.7 million from KMW 19, 726.8 million in just six months from December 2012 to June 2013.
Investment Opportunities in Real Estate In Zambia
The Zambian government is actively promoting private and public investment to support housing development primarily to improve the overall living conditions of the population.
The motive is to expand its middleclass and enable Zambia to attain status of a middle-income economy by 2030.
There are various opportunities available for investors in real estate and construction sector of Zambia.
• There is a project for civil servants housing through which government will provide necessary guarantees to public private partnership.
The project includes 100 flats for civil servants based on rent to buy scheme including infrastructure and social amenities development.
This project also includes Urban renewal program which includes construction of 12,500 flats with roads, sewerage and water.
• The Konkola Housing, Lumwana Housing and Kaluimbia Housing projects. In Konkola housing, 51,000 flats are to be constructed, 10,000 flats in Lumwana Housing and 8,000 flats in Kaluimbia housing. All these projects are due to complete before 2030 in Zambia.
• As the Zambian economy is showing positive signs, the country has jointly set a program with collaboration of the UN called Green Jobs Programme.
It is a project focused on creating more and better green jobs in the Zambian real estate and construction industry especially medium and lost cost housing.
The plan is to create 5,000 new green jobs and 2,000 better green jobs including social security, gender equality, labor law and health and safety.
This program is currently in the implementation phase, completing in 2017.
More than 100 companies will attend the ZamReal property forum, which will be held in Radisson Blu Hotel in Lusaka, Zambia on September 28th 2016.
Real estate developer Zatem Investments Ltd is commercialising its innovative EAGLE VIEW Estate luxury housing project in Roma Park in Lusaka.
A panel discussion focused on the Zambian retail market will take place in Lusaka on September 28th 2016.
The 32nd Annual Conference on Housing and Africa Growth Agenda, aiming to support the growth of Africa’s economies through the development of a vibrant housing…
The ZamReal property forum, focused on the Zambian real estate market, will be held in Radisson Blu Hotel in Lusaka, Zambia on September 28th 2016.
The Center for Affordable Housing Finance (CAHF) in Africa recently presented new data about housing and construction in Zambia and the rest of Africa.
The second edition of Zambia Build that will take place on 23–24 June 2016 in Lusaka, will focus on green building.
Lusaka will host the 2nd Zambia International Building, Construction and Interiors Exhibition (ZambiaBuild), the leading and most significant event in the construction & building industries…
Tradehold Limited (JSE:TDH), a UK based investment holding company, has recently announced its plans to buy a 51% stake in Real Estate Investments Zambia Plc…