OLD Mutual Investment Group has raised a total of R9billion for the Housing Impact Fund which is aimed at improving access to housing for people with low incomes.
The fund is targeted primarily at meeting housing needs for South Africans earning less than R15000 a month.
It is one of the largest of its kind ever raised in the country and it finances the construction of "affordable" homes for sale and rent, as well as providing housing loans and rental accommodation for families and students.
Housing Impact Fund will help fill the gap in the market between government-provided housing and those who have access to bank finance to purchase their own homes.
Rojie Kisten, Omigsa's head of capital raising, said: "The Housing Impact Fund has been Omigsa's response to the government's call on the private sector to assist in finding lasting solutions to the housing challenge.
"Although much remains to be done to further improve general living conditions around the country, we believe we have established a successful model for housing investment in underdeveloped areas. "
Kisten said the fund and its partners already had several dozen projects under way involving the construction or development of about 70000 affordable housing units, with the ultimate target of building about 120000 in total over the life of the fund.
"We are very excited by the progress made to date and future plans for the fund, all of which have been made possible by both our investment and development partners spanning the public and private sectors," said Kisten.
Some investments by the fund for South Africa to date include one with Mettle Property Solutions - an Omigsa joint venture with Mettle Property Solutions. This project involves the construction of multiple housing projects across South Africa.
Currently there are eight projects under way involving over 11000 new houses which include the Karino Lifestyle Housing project in Nelspruit, Mpumalanga, which is aimed at building 1350 housing units at a cost of R450million.
Old Mutual fund to help fill housing gap
OLD Mutual Investment Group has raised a total of R9billion for the Housing Impact Fund which is aimed at improving access to housing for people with low incomes.
The fund is targeted primarily at meeting housing needs for South Africans earning less than R15000 a month.
It is one of the largest of its kind ever raised in the country and it finances the construction of "affordable" homes for sale and rent, as well as providing housing loans and rental accommodation for families and students.
Housing Impact Fund will help fill the gap in the market between government-provided housing and those who have access to bank finance to purchase their own homes.
Rojie Kisten, Omigsa's head of capital raising, said: "The Housing Impact Fund has been Omigsa's response to the government's call on the private sector to assist in finding lasting solutions to the housing challenge.
"Although much remains to be done to further improve general living conditions around the country, we believe we have established a successful model for housing investment in underdeveloped areas. "
Kisten said the fund and its partners already had several dozen projects under way involving the construction or development of about 70000 affordable housing units, with the ultimate target of building about 120000 in total over the life of the fund.
"We are very excited by the progress made to date and future plans for the fund, all of which have been made possible by both our investment and development partners spanning the public and private sectors," said Kisten.
Some investments by the fund for South Africa to date include one with Mettle Property Solutions - an Omigsa joint venture with Mettle Property Solutions. This project involves the construction of multiple housing projects across South Africa.
Currently there are eight projects under way involving over 11000 new houses which include the Karino Lifestyle Housing project in Nelspruit, Mpumalanga, which is aimed at building 1350 housing units at a cost of R450million.
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending
Latest Videos