ZIMBABWE’s biggest commercial bank by balance sheet, CBZ, is looking at developing close to 4 000 medium high density stands in Marondera and Harare as part of efforts to unlock value from its $62 million land bank.
CBZ group Marketing and Corporate Affairs executive Laura Gwatiringa told Business Times that it is within the bank’s mandate to provide funding for the building of low cost housing for the majority of the people to have shelter.
“CBZ is currently sitting on a land bank of $62 million whose projects are in the pipeline for development. As a company that is involved in land development and mortgage financing to help ease the plight of home seekers in Zimbabwe, CBZ continues to scout for land to develop in towns and cities where there is demand.
“To date CBZ has had projects in almost all cities and towns in Zimbabwe. CBZ is looking at developing a total of 3 800 medium and high density stands in Marondera and 670 medium density stands in Mahatshula, Bulawayo,” said Gwatiringa.
She said over the past four years the group has had housing developments in Gweru (low and high density), Kwekwe (high density), Mutare (high density) and Victoria Falls (high density).
CBZ offers mortgage product like CBZ Home Equity Loan while Mortgage Finance Division offers a product that allows an option to unlock tied up capital in immovable properties. CBZ Bank will fund a maximum of 60% of the property market value depending on one’s qualification based on their income sources.
This year the country’s banking sector is expected to build 12 000 housing units valued at $400 million as the country moves to provide affordable and decent accommodation to all.
The development coincides with government’s push to reduce the housing backlog which stands at over one million and provide affordable housing to all Zimbabweans by 2030.
Reserve Bank of Zimbabwe believes that the provision of housing is a critical pillar in the infrastructure eco-system of an economy