September 2018

TOPIC: AVAILABILITY OF URBAN LAND FOR HOUSING
ORGANISATION: NATIONAL HOUSING ENTERPRISE (NHE)
FORUM/COMMITTEE: 2nd NATIONAL LAND CONFERENCE

Introduction

As the country is urbanizing, cities, towns and villages are grappling with a
population that is growing rapidly, thereby increasing demand for land for housing.

This pressure on land and housing markets often is exacerbated by inappropriate or
inadequate policies and/or implementation of policies.

The result is a supply of land and housing that falls well short of demand, is not
within affordable ranges and thus results in the proliferation of poorly serviced
informal settlements, many of which are located far from jobs, services and
amenities.

Namibias urban population is growing at an unprecedented rate which exacerbates
the housing crisis going forward. Time is running out for the key role players in urban
land and housing delivery to act without delay in order to arrest the situation before it
gets out of hand.

The National Housing Enterprise (NHE) has built a good reputation over a period of
more than 30 years in:

" Housing Construction
" Housing Land Servicing
" Property Management
" Real Estate Management
" Mortgage Financing; and
" Financial Management

With proper support by Government the current housing crisis could be relatively
easily addressed in a reasonably short timeline. Government should make use of
proven and existing entities such as the NHE to help solve the urban housing
delivery issue thereby also saving on time and scare resources.


The NHEs mandate (Act 5 of 1993 as amended) can be summarized as follows:

" The financing of housing for the inhabitants of Namibia; &
" Providing for the housing needs of such inhabitants.

NHEs vision is To be a leading agent in providing adequate, safe and affordable
housing in Namibia.

NHEs mission statement is NHE provides and finances affordable, quality and
adequate housing thereby contributing to Namibias socio-economic development
and creating a stable, progressive human habitat.

Challenges

Namibia needs to urgently re-organize its urban land delivery approval process and
procedures. The current bureaucratic system has not yielded results. There should
be one approving authority, a one-stop-shop scenario in order to serve the Namibian
people effectively and efficiently.

NHE faces a challenge in sourcing affordable serviced and un-serviced land in urban
and peri-urban areas. This affects NHE in effectively contributing to its mandate as
well as to the National Development Plan (NDP), Vision 2030 as well as the
Harambee Prosperity Plan development goals in the provision of affordable housing.

Lack of Government funding further hampers the provision of affordable housing and
housing finance.

Land tenure and property right also affects the delivery and provision of housing.

Insufficient communication and coordination among role players in terms of provision
of housing units countrywide further exasperates solution to the housing deficit.

At present this has resulted in the waiting list for NHE houses to soar to
approximately 100,000 nationwide and a national housing backlog of over 300,000.

NHE set itself a target of constructing 1250 houses per year in the 4-year period
from 2017-2020. Due to funding and land availability challenges only 422 houses
could be commenced in first year of the period.

Proposed Solutions

Government should effectively fund Regional and Local Authorities in the provision
of land servicing and delivery. This funding should be ring-fenced to be used
exclusively for its intended purpose

Regional and Local Authorities should make available serviced land to NHE for
housing construction at the same or similar low/subsidized rates as provided for by
Government.

Regional and Local Authorities should make available 25% of all serviced land
available to NHE for development.

Government should recapitalize and fund NHE (or make zero interest funding
available) to fully unleash NHEs potential to bring housing to the people at lowest
cost.

Improved forums should be established to address communication and coordination
among role players in the national housing delivery framework.

Conclusion

National Housing Enterprise proposes:

" That Government increases funding to Regional and Local Authorities
for servicing of land for housing. This funding should be ring-fenced as
such.

" Regional and Local Authorities should make at least 25% of serviced
land available to NHE for housing provision.

" Government should make funding (or funding facilities) available to
National Housing Enterprises to fund housing construction as well as
purchase and servicing of un-serviced land.

" Improved forum to address communication and coordination should be
established

" Government land approval and delivery process should be reduced to
less than six months in order to easy the operations of NHE.