NHC joint venture policy to spur real estate growth

MASSIVE transformation is envisaged in real estate sector, following plans by the National Housing Corporation (NHC) to start implementing the reviewed Joint Venture (JV) Policy

The reviews joint venture policy, aims at providing opportunities for private investors both local and foreign to invest their capital in state owned corporation, which is charged with the responsibility of providing and facilitating the provision of houses and other buildings.

The development comes after, NHC announced its 11 priorities of the corporations in July this year, which are going to be implemented in the financial year 2022/23, including projects to be undertaken through the Public-Private Partnerships (PPPs).

According to him, the latest review of the joint venture policy was made in 2022 as the corporation remained strong-willed to attract investors.

“We will launch its Joint Venture Policy on October 21, 2022, as one of the initiatives of the corporation in providing opportunities for local and foreign private investors to invest with the NHC, ” the corporation’s Public Affairs and Information Manager Mr Muungano Saguya said when addressing the press conference in Dar es Salaam yesterday.

He said improved policy will generate broad interest for the NHC, investors and the nation as a whole.

“The joint venture projects were beneficial to the corporation and the public at large,” he said, adding that the theme for the launch of this joint venture policy is ‘We are building our nation through a partnership with the private sector.’

“This theme encourages the participation of the private sector in developing prime plots in various areas including city centres that have more valuable plots than the existing buildings, to increase the income of the Corporation,” he said

He said the corporation is committed to redeveloping prime plots hosting condemned buildings in partnership with potential real estate investors.

In a course, he added that the first version of the JV policy was approved by NHC Board of Directors on June 11, 1993 and underwent several reviews depending on the timely needs.

Mr Saguya said that since the start of this procedure in 1993, a total of 111 projects have been implemented countrywide worth 300bn/-.

He said out of those projects, a total of 81 worth 240bn/- have been completed, while 30 projects worth 60bn/- are expected to be completed soon.

He underlined that those projects have contributed to the availability of employment, improving the outlook of several cities, increase the corporation’s income, increase the scope of government taxes, and increasing areas for business and housing.

In a related development, he unveiled that during the launch, they  expected about 600 participants from various private and government  institutions; associations and boards of professionals  as well as private investors both local and foreign who have been invited” he stressed

According to the Director of Business Development at NHC, Mr William Genya

After the launch of the joint venture policy, the NHC expects to provide approximately 60 plots across the country to investors who will meet the criteria and conditions set.

“Among 60 plots that will be given to investors, 40 plots are located in Dar es Salaam and the other 20 are located in other regions including Arusha and Mwanza,” he said