Multiple Private Companies Express Interest for Saglemi Housing Project-Minister
The Minister of Works and Housing, Kojo Oppong Nkrumah, has announced significant progress in the government’s efforts to complete the Saglemi Affordable Housing project.
Addressing Journalists in parliament on Wednesday, June 19, 2024, Oppong Nkrumah said ten companies, both international and local, have shown interest in taking over the project.
These companies, he explained, are currently engaged in a proposal process aimed at finding a private developer or a consortium of developers to invest in and operationalize the project.
“We announced a process through which the government will select a private developer or a consortium of private developers to complete the uncompleted Saglemi Affordable Housing projects and operationalize them.
“The government initially took a loan of about $200 million to build 5,000 housing units, 1,506 of which were partially completed. These units often seen at Saglemi are missing three major components: water, electricity, and sewage works. The Ghana Institute of Surveyors assessed that about $100 million is needed to complete these 1,506 units. Given the financial constraints, it is difficult to find this additional $100 million after already spending $200 million.
“The cabinet decided to select a private developer or consortium of private developers to make the investment and operationalize the project. We issued a request for proposals a couple of months ago. To date, around ten companies, both international and local, have expressed interest, picked up forms, visited the project site, and inspected the current state of the project.”
Oppong Nkrumah further mentioned that all bids are expected by July 8, after which an independent evaluation entity will review them.
“By the 8th of July, we expect to formally receive all the bids. We will do this openly in front of the media and then hand over the bids to an independent evaluation entity for assessment. Based on the evaluation report, the government will select one of the bidders, which may be a single entity or a consortium. After obtaining the necessary cabinet approvals, we will sign a contract and hand over the Saglemi project to the selected entity for completion and operationalization.”
Currently, about ten entities are actively participating in the process, and the ministry is preparing to select an independent evaluation organization.
The progress on this project marks a significant step towards addressing the housing needs in Ghana.
Source: Felix Nyaaba/expressnewsghana.com
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