Afrigather 
Residences Beneath ‘Renewed Hope Estates Programme’ Value about N9 million – FG
The Federal Minister of Housing and City Improvement, Musa Dangiwa, has revealed that government-funded one-bedroom flats beneath the Renewed Hope Estates Programme value N8 million to N9 million.
Nevertheless, these developed by means of Public-Personal Partnerships (Renewed Hope Cities) are priced at N22 million.
Dangiwa attributed the worth disparity to variations in funding mechanisms, noting that Renewed Hope Estates are funded by means of budgetary provisions with subsidies for infrastructure and free land, making certain affordability.
In distinction, Renewed Hope Cities, unique to the PPP mannequin, depend on non-public builders who finance tasks by means of high-interest loans and bear land acquisition and infrastructure prices, driving up costs.
The Housing Minister made this disclosure throughout a presentation on the State Home Gallery, Aso Villa, on Sunday, seventeenth November 2024, with the speech later shared on the official web site of the ministry.
“A one-bedroom house on the Renewed Hope Metropolis in Karsana, constructed beneath a PPP mannequin, prices about N22 million, whereas an identical unit beneath the Renewed Hope Estates, funded by means of budgetary allocations, prices roughly N8–9 million.
“The distinction lies in the price of finance. Beneath the Renewed Hope Metropolis mannequin, builders buy the land, and safe financing at double-digit rates of interest, whereas as authorities, we facilate a Bankable Offtaker Assure from the FMBN. In distinction, Renewed Hope Estates are funded with interest-free allocations from the funds. State governments present free land, and infrastructure prices are sponsored and excluded from the housing unit costs,” Dangiwa said.
Learn Additionally:
The Housing Minister outlined the rationale for adopting the PPP mannequin, pointing to Nigeria’s housing deficit, which requires 550,000 models yearly over the following decade at an estimated value of N5.5 trillion per 12 months. He defined that budgetary allocations alone are inadequate, making PPPs a crucial technique to scale housing supply.
Dangiwa emphasised that PPP-driven Renewed Hope Cities cater to high- and middle-income earners who can afford market-rate housing, whereas Renewed Hope Estates are tailor-made for lower-income teams, making certain inclusive entry to housing.
Dangiwa additionally highlighted the urgency of accelerating the annual housing funds to successfully tackle Nigeria’s vital housing deficit, emphasizing that whereas PPPs are important, the federal government should additionally allocate extra funding to the Renewed Hope Housing Programme.
“As a Ministry, we’ve got championed this advocacy, and there may be now widespread recognition that the present N50 billion annual funds for housing is grossly insufficient in comparison with the N5.5 trillion required yearly to deal with the housing deficit,” he mentioned.
The Minister said that the Ministry has engaged the Nationwide Meeting management and gained their assist for rising the annual housing funds to a minimal of N500 billion, beginning with the 2025 funds cycle.
This enhance, he famous, would allow the enlargement of housing tasks to cowl the remaining 18 states and lift the unit depend per state from 250 to not less than 500, as initially deliberate.
The Minister reiterated that this funding enhance is crucial for making certain the Renewed Hope Housing Programme meets its objectives of addressing the housing wants of all Nigerians, significantly these in underserved areas, whereas increasing its attain and influence nationwide.
