The administrator returns the condos with more than 60% price adjustment
The Addis Ababa city government has handed over 25,000 condominium houses, with a price increase of 61-77% per square meter from the previous rate.
Condo units have been built under the 20/80 and 40/60 housing programs since 2013/14. The first obliges buyers to pay 20% in advance, while it is 40% in the case of the second. The rest is to be paid in 20 years in both cases.
The city administration organized a draw for 14 rounds under the 20/80 program and three rounds for the 40/60 housing program.
In the last cycle, the cost of 20/80 housing was 7,997.17 birr per square meter, a jump of 77.2% from the previous cycle. It also saw a 61% increase in the case of 40/60 slots.
The 13th round draw was held three years ago on March 6, 2019. Yesterday’s 14th round draw was the first since Mayor Adanech Abebe took office in Addis Ababa.
A total of 79,794 residents were eligible for the draw, while at least 52,599 registered residents, who saved at least 40% through February 28, 2022, were eligible for the third round of the 40/60 lottery draw. .
Approximately 27,195 residents who registered in 2005 and saved the 20% deposit through February 28, 2022, were eligible for the 20/80 Program Round 14 draw.
The condominium houses built under the 20/80 program are located at the sites of Hayat, Bole Beshale and Bole Bulubla, while the 40/60 condos are located at Berket, Bole Arabsa 3, 5 and 6, Wotader, Yeka Tafo, Jemmo Gara, Goro Siassie, Furi Hana and Fanuel.
Currently, the market price of condominiums exceeds 30,000 birr per square meter. The price differs depending on the location of the house and its proximity to the center of town. The condominiums located in Balderas, Gotera, Gofa Mebrat Hayl and Gerji are the most expensive units in the city.
“We always deliver the houses at a low cost, compared to what is charged by private developers,” Adanech said.
The Condominium Housing Development Project was launched in 2005 to address urban poverty and improve living conditions for low- and middle-income residents.
Its main objective was to increase the ownership of low-income households. It was started based on the idea that successful applicants would only pay for the construction costs of their unit and the government would provide the land.