LIVINGSTONE MARUFU
Listed financial services provider, Financial Holdings (ZBFH), has acquired more strategically located pieces of land across the country as part of efforts to preserve its balance sheet.
Group chief executive officer, Ron Mutandagayi told Business Times this week that the lender has splurged more than US$1m in expanding its land bank.
ZBFH, Mutandagayi said, was now constructing houses and office parks on some of the land to get the full value of the project.
“We are in the process of purchasing a huge business stand at Mount Pleasant Business Park (Harare)at a price of over US$250,000 where we will be constructing a mini head office for most of our units that are dotted around the city [of Harare],” Mutandagayi told Business Times.
“The bank has also used over US$600,000 in various projects with some of the construction projects being the building of three model houses in Beitbridge.
“We have bought the Chisipite property for over US$450,000 where we are going to move our Integrated Data Centre to this place as we have been facing challenges of congestion and accessibility issues when there are some civil disturbances in the city at Western Complex corner Robert Mugabe and Chinhoyi Street.
ZB has also acquired over 63 Hopeview stands. Mutandagayi said management was evaluating what can be done with the strategic land that goes to the Bulawayo Airport for the financial institution to monetise that land.
ZB is still assessing the Plumtree housing project to see if it is still viable or not as the cost of doing business has almost doubled in the process, according to Mutandagayi.
He said the cost of setting up of an offsite infrastructure has skyrocketed with a number of contractors asking for United States dollar payments.
“Therefore, we will put the Plumtree project at bay while taking a relook at the economics and see how best it can be progressed,” Mutandagayi said.
ZB has completed three model houses at its Beitbridge land and would want to test the market and come up with a price.
He said the reason for building these houses was to evaluate the total cost of constructing a house and see if it is a viable project.
The bank has also acquired a farm in Ruwa where it is in the process of regularising with the Housing and Social Amenities ministry together with five cooperatives there.
Mutandagayi said the financial institution now wants the residents to start paying the land to ZB, who are the owners of the land.
ZB plans to purchase more land around the country for housing projects, according to Mutandagayi.
