Shelter Afrique the Housing development financier has approved an $18.5million (Sh2.2billion) commercial loan to DRC-based development firm Maison Super Development (MSD).
The loan which has been guaranteed by construction firm A-One Builders, will finance three ongoing housing projects in Lubumbashi and Kolwezi cities in the Democratic Republic of Congo (DRC).
The funds will be used for Jumbo Office Building in Kolwezi, the Alilac Office Building project, and Munua Housing project in Lubumbashi which are expected to be completed in 2022, 2023, and 2024 respectively.
The projects are expected to boost the commercial and residential real estates in the areas.
“The facility is part of Shelter Afrique financial solutions targeted at Urban Regeneration. We are happy to support the process by ensuring we provide a financial solution that makes it easy to create a mix where both affordable housings would exist with commercial spaces to spur business activities and employment,” said Kingsley Muwowo, Shelter Afrique Ag. Managing Director.
Shelter Afrique has boosted its activities in DRC by actively going for large-scale, low-cost housing projects in the country through Public-Private Partnerships (PPP) and equity investments.
Commenting on the deal, MSD Managing Director Dharmendra Kumar hailed the partnership between the two firms and Shelter Afrique’s efforts in developing housing infrastructure in DRC.
“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 enable us to change the face of Lubumbashi and Kolwezi, one housing unit at a time,” said Kumar.
The loan approval comes after Shelter Afrique recently approved a line of credit worth $11.4million (Sh1.3billion) to a financial institution to finance 285 mortgages in DRC.
The Pan African lender has also financed Devimco’s 7-floor office building for rental purposes, La Tradition, Le Concorde, L’Ambassadeur, Azda, and a 10-storey building in Kinshasa which was developed by Elolo SPRL.