RYAN CHIGOCHE
Listed property investment and development firm, Mashonaland Holdings (Masholds) says it will deliver the first batch of housing units at Mashview Gardens, in Buff Hill suburb , Harare, in the first quarter of 2022 Business Times can report.
Works on the Mashview Gardens project resumed in October this year.
Company secretary, Egness Madhaka confirmed the latest development saying the the first batch should be expected early next year.
“The development of the Mashview Gardens cluster housing project in Bluff Hill Harare is ongoing with construction activity in progress for delivery of the first batch of houses in Q1 2022. Project marketing is ongoing, and the company is in negotiations with a potential buyer for completed units,’’ Madhaka said.
Mashview Gardens sits on 2.3 hectares of land. The property will will have 25 modern cluster houses with each housing unit sitting on sizes ranging between 600-900 square metres.
The concept design of the cluster houses offers two types of single-story houses in a gated and walled complex offering 24-hour security.
The whole complex will be serviced by prolific boreholes, one already sunk, and a guardhouse as well as pretty established gardens with an asphalt driveway and covered carport suitable for parking two family vehicles.
Low demand for space particularly in the CBD office sector due to low economic activity has continued to hurt the property market although there have been improvements in occupancy for the retail sector as the economy mirrors its retail concentration.
As the industrial sector has remained resilient, average yields of 8% across the market, as well as occupancies above 90%, were recorded in the reported period.
On the supply side of the property market, the dominant sector has been the residential sub-sector which continues to attract new development activity due to the high demand for residential space and also the low risk is given the sizes of residential units reported by Masholds.
In its financial results for the 12 months to September 30,2021, Masholds reported a 37% increase in revenue to ZWL$359.7m from ZWL$262.7m reported in the same period last year .
The increase was attributed to periodic rent reviews.
The improved revenue performance was also driven by new leases concluded during the period, Madhaka said.
Occupancy levels also increased by 2% from 79.2% to 80.6%.
Operating profit increased by 18% due to the revenue growth.
The operating profit margin however decreased by 14% following an increase in total operating expenses with the increase driven by movement in unofficial market exchange rates which had a bearing on Zimbabwe Dollar value of maintenance materials and services consumed by the company.
The company increased its investment in maintenance activities in an effort to retain occupancies and also to attract new lettings.
Madhaka also said the company’s collections increased by 3% to 93% compared to the same period last year.
