BUSINESS REPORTER
The National Building Society (NBS) is set to complete 653 housing units across the country by year-end as lender moves to close the housing gap, Business Times can report.
NBS, which is a subsidiary of National Social Security Authority, is undertaking housing projects in Harare’s Dzivaresekwa suburb, Norton and Mutare.
“The Society resumed construction works at the Dzivaresekwa housing project which is now scheduled to be completed in the second half of the year. We expect delivery of 500 units before the end of the year,” the company secretary, Rejoice Chipendo, said.
She added: “Similarly, works have also resumed at the Newmare housing project in Mutare, the completion of which will add a further 153 units into the housing stock.”
The building society has since completed 51 housing units at Knockmallock housing project in Norton.
Chipendo said the units will soon be handed over to mortgage beneficiaries.
“The Society’s ongoing mortgages scheme project at Knockmallock has so far seen total units of 51 houses being completed.
“Handover to beneficiaries will be done once ongoing offsite services involving other stakeholders are finalised,” she said.
The building society is expanding its land bank and is finalising the purchasing of 6.4 hectares of land in Plumtree.
This, Chipendo said, will create 152 high density stands.
Total operating income for the six months to June 30, 2021 grew to ZWL$312.5m from ZWL$187.5m reported in the prior comparative period.
In its financial results for the six months to June 30, 2021, NBS reported a profit amounting to ZWL$8.5m from ZWL$57.8m achieved in the same period in 2020.
Total assets for the lender grew 40% to ZWL$3.8bn in the reviewed period from ZWL$2.7bn reported prior comparative period.
Deposits grew to ZWL$1.7bn from ZWL$855m in 2020.
The deposits acquired were then deployed into loans and advances which grew by 91% to ZWL$1.1bn from ZWL$585m in 2020.
Investment securities also grew by 141% to ZWL$81m from ZWL$33m reported in 2020.
Chipendo said the society will be continuing with the business model that has seen them record a positive performance in the period ending 30 June 2021.
“Although the outlook, for the Zimbabwean economy and indeed the global economy remains largely challenging as the Covid 19 pandemic continues to impact economies, as NBS we continue to believe in our business model of delivering innovative and affordable housing solutions however challenging the macroeconomic environment,” Chipendo said.
Last year, NBS introduced a diaspora mortgage plan to enable Zimbabweans living abroad to invest in real estate back home.
Under this package, the institution allowed Zimbabweans living outside the country to buy residential stands at zero deposit with an interest rate of 8% and one can start building within 10 years of repayments.
