Pan-African housing development financier Shelter Afrique Board has approved USD18.5 million commercial loan to Katanga-based real estate development company, Maison Super Development (MSD) based in the Democratic Republic of Congo (DRC).
The 5-year facility guaranteed by A-ONE BUILDERS, a construction firm that has worked with several government entities in DRC as well as the Central Bank of Congo, will be used to finance three on-going projects in the cities of Lubumbashi and Kolwezi that are expected to contribute considerably to the commercial and residential real estate in the areas.
The projects earmarked for the facility which include Jumbo Office Building in Kolwezi; Alilac Office Building project in Lubumbashi; and Munua Housing project in Lubumbashi are expected to be completed in the year 2022, 2023 and 2024 respectively.
In a press statement, Shelter Afrique Ag. Managing Director Kingsley Muwowo noted that the facility is part of Shelter Afrique financial solutions targeted at Urban Regeneration.
“Lubumbashi and Kolwezi are two cities gradually being transformed into major cities in the DRC and Shelter Afrique is happy to support the process by ensuring we provide financial solution that makes it easy to create a mix where both affordable housing would exist with commercial spaces to spur business activities and employment,” said Muwowo.
Commenting on the deal, MSD Managing Director Mr. Dharmendra Kumar lauded the partnership between MSD and Shelter Afrique and the latter’s efforts in developing housing infrastructure in the DRC.
Kumar revealed that this is the third time Shelter Afrique has extended a line of credit to MSD since 2016, in addition to several other projects it has co-financed. “We are grateful for the partnership which will enabled us change the face of Lubumbashi and Kolwezi one housing unit at a time,” he added.
In the recent past, Shelter Afrique has ramped up its activities in the new EAC member by actively pursuing large-scale, low-cost housing projects through public-private partnerships and equity investments for instance the approved line of credit worth USD 11.4 million to a financial institution to finance 285 mortgages in the country.
Other projects so far financed by Shelter Afrique in the DRC include Devimco’s 7-floor office building for rental purposes, La Tradition, Le Concorde, L’Ambassadeur; Azda; and a 10-storey building in Kinshasa developed by ELOLO SPRL.
Shelter-Afrique is a pan African housing finance and development institution established by African governments to address the need for a sustainable housing delivery system and related infrastructure projects in Africa. Shareholders include 44 African countries including Kenya, the African Development Bank, the African Re-Insurance Corporation, and the Fonds de Solidarité Africain (FSA).