Ethiopia has witnessed an increase in the capacity of its citizens to afford stately housing. A land once ravaged by the onslaught of natural calamities like drought is now seeing better days. Areas where nothing but agricultural land predominated are now being populated with top class housing this is the development in the elite suburb of Yerrer View.
The World Bank has noted an annual 10 percent growth rate in Ethiopia this is the most leading figure in Africa so far and is attributed to higher productivity in engineered construction works, improved trade and agricultural output. Many well to do Ethiopians have opted to have a housing plan that blends in with their high economic status.
Ethiopia is highly populated but nonetheless economic growth has been observed and the acquisition of these estates by locals is an indication of the truthfulness of the elevated socio-economic standing. Haile Mesele an engineer of Country Club developers notes that a new living standard is being reflected by the new estates. The fraction of millionaires living in Ethiopia has well over doubled since 2007 and has now reached a record two thousand seven hundred, the fastest growth in Africa.
The consumer population was initially those in the diaspora but after a boost in national economic status the tables have turned; over 80% of people accessing the luxurious dwellings are indigenous. There is an emerging middle class in Ethiopia and this class has been catered for in the construction planning. When the Yerrer View housing project is finished the estate will possess a golfing facility, a mall, an academic institution, health center and farm land. State of the art security systems will be in place to monitor the housing complex entrance.
A standard apartment ranging between 140-170 sq.metres will be offered for rent for around $1,800 for a particular month, this will be the cost at a housing project by May Real a real estate developer working in the Ethiopian capital. The project is named ‘Addis Gojo’ and is to be established in a 10-storey high rise and will possess about 113 apartment spaces.
A problem for developers has been labour force; Mesele made known that some Chinese specialized workers had to come in due to lack of a readily available skilled workforce. Yoseph Mebratu a key shareholder in May Real Estates has bemoaned the difficulty in sourcing raw materials, majority of items are brought into the country with hefty tax implications. Inflation sometimes can slow down the rate at which business is done such as the 64.8% inflation rate experienced in July 2008 which later stabilized improving profitability according to Haile.
