SA Affordable Housing January / February 2017 // Issue: 62 | Page 10

NEWS

Boosting the lives of 20 000

first-time Gauteng homeowners
More than 20 000 Gauteng families are set to become
first-time homeowners and secure a firm foothold in the
residential property market.

Cosmopolitan has planned to roll out a total of 30 000 homes over the next eight to 10 years.

A

n investment by Futuregrowth Asset Management of
R625-million in major housing projects currently
developed by the Cosmopolitan Group, is primarily
being used to fund regulatory approvals and install bulk
services for integrated housing developments that have
been designed to include amenities ranging from schools
to shopping centres in areas close to major CBDs in
Gauteng.
Cosmopolitan are lower-to-middle-income housing
specialists and have more than 20 years of experience.
Their houses are priced from R400 000, with packages
tailored for families earning between R10 500 to around
R30 000 a month.
“Demand for housing in this income group far outstrips
supply,” says Futuregrowth portfolio manager and
investment analyst Paul Semple. “These developments
enable mainly first-time homeowners to move from
outlying areas into growing metropolitan suburbs situated

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JANUARY - FEBRUARY 2017

AFFORDABLE
SA HOUSING

closer to places of work and with amenities and facilities
on their doorstep.
"This is real social transformation and wealth creation.
It gives young families upward mobility by enabling them
to create equity and eventually trade up in the property
market.”
Futuregrowth’s investment will fund the installation of
internal and external bulk services ranging from the
provision of water to sanitation, electricity and roads prior
to proclamation of council-approved stands that will be
developed with new houses for sale in the market.
Futuregrowth views its investment in the projects as
part of its commitment to the principles of responsible
investing, explains Semple. “This is a major investment in a
market where there is huge demand and a strong social
need but where many developers have failed due to
problems with financing and because margins are so tight,”
he says.