Real estate developers have expressed fears regarding the transparency of the selection process for Central Bank of Nigeria’s N200bn housing intervention programme targeted at low-income earners.
They urged the apex bank to ensure that genuine developers with sincere intention benefit from it.
This was disclosed by the Chairman, South West, Real Estate Developers Association of Nigeria, Bamidele Onalaja.
Onalaja doubted the workability of the N2m price on a housing unit, except in places such as Gombe and Jigawa but not in major cities across the nation.
The CBN had approved N200bn as mortgage finance facility to the Family Homes Fund Limited to provide homes for low-income earners.
According to a CBN circular, this financing initiative is to be implemented in collaboration with the FHFL as the lead developer, as it is introduced to support the Federal Government’s economic sustainability programme.
This fund is to fast-track the construction of 300,000 homes in the 36 states of the federation and the Federal Capital Territory, and to create up to 1.5m jobs in five years
Onalaja, who is also the Managing Director, RevolutionPlus, advised FHFL to ensure that only those who were qualified with a track record of providing affordable housing got the job.
He said, “Land acquisition is a major issue, but it is not impossible. In states such as Jigawa and Gombe, a one bed (apartment) may be possible, excluding land.”
On the criteria for qualification, Onalaja stated that a developer should have genuine land with title, while the CBN would provide a consultant.
He said the association was elated because the facility type was a term loan to enable FHFL to finance the construction of social housing units for low-income earners for a three-year tenor from the date of disbursement.
According to a statement issued by the association on Sunday, the fund is to fast-track the construction of 300,000 homes in the country, in addition to creating up to 1.5m jobs in five years.
However, he lauded the initiative, adding that, if sincerely applied, it would achieve the long dream of affordable housing in the country.
“In that regard, the programme will deliberately aim to revitalise local manufacture of construction materials. If the government is able to effectively handle their side of the bargain, then the whole programme will run through,” he added.
