Monday 3 March 2014

Namibia: newly registered companies awarded housing tenders

12 of the 25 companies that were awarded multi-million dollar tenders to build houses for the ambitious government mass housing project were only registered recently.
A total of 216 companies applied for the tenders, 38 were pre-qualified and 25 chosen for the contracts worth N$2,9 billion in the next two years.

According to official documents from the Ministry of Trade and Industry’s registrar of companies, three companies were registered last year, while one was registered this year, and eight others in 2011 and 2012.

NHE awarded contracts to the companies, despite rules stating that local contractors should have a track record of having built a minimum of 250 housing units, technical and financial capacity, quality and extensive experience.

7 Sirs Group, a firm that got the tender to build 1 595 houses at Walvis Bay is in the process of being registered while other companies either do not exist or the information regarding their ownership and registration is not available at the Ministry of Trade.

Oshipe Turnkey was registered on 15 January this year, but it received a tender to upgrade 175 houses at Gobabis in Omaheke Region for N$41 million. It is owned by Hileni David, president of Athletics Namibia Alna Similo, Pierre de Weet and Jacques Coffee.

De Weet declined to comment on the company’s registration and experience: “I am not responding to your questions,” he told The Namibian last week.

Headhigh Investment was registered on 15 August 2013 and is owned by Eberena Izolda. The company got the contract to build 272 houses at Okahao for N$76,6 million.

Afrina Property Developers, a local firm owned by Chinese nationals Ganfu Yang, Bo Xue, Zhang Chao and Yantie Liu was registered in September 2013, about a month before the Minister of Regional and Local Government, Housing and Rural Development, Charles Namoloh, addressed stakeholders from the construction sector in October about the mass housing project.

Namibian Homes, which was registered on 26 June 2013, got the deal to upgrade 320 houses at Keetmanshoop for N$37,7 million. It is owned by law firm owner Simon Steyn.

Registered on 19 March 2012, Oruhapo Property Solutions is owned by Sam Shafishuna Ekandjo, Mavis Tjombonde, Ngatitjire Ndjiharine, Bo Lin and Wiihong Bao. Ekandjo is the son of former Minister of Regional, Local Government and Housing Jerry Ekandjo, who is currently the youth minister.

Hadago Investments, registered in September 2012, is owned by Luther Kapukare. The company won the contract to build 91 houses in Opuwo for N$20,6 million, while Anker Bay Investments that was registered in April 2012, and is owned by Christiaan Gouws, has the task to build 351 houses for N$98,7 million in Otavi.

Jointly owned by Tobias Mwaaluki and Nestory Kamati, Neto Construction was registered in January 2012 and was awarded the job to construct 20 houses in Outjo for N$5,3 million.

Registered in July 2011, Ferusa Capital Financing Partners is owned by Thobias and Nelson Akwenye. They received a N$173 million contract to build 600 houses at Swakopmund. Akwenye is a former Brave Warriors player.

Onjanja Construction is owned by Ogin Hewicke, Old Mutual’s business development executive Lovelace Kauta, Joseph Mundia, Reino Tjimookara, Simeon Kahona and Thomas Kalimbo. The firm was registered in 2011, and it landed a N$76, 8 million deal to build 267 houses at Karasburg.

Although some of the profiles of the companies were not available, there are some companies that were registered before 2010. Among them is Green Cycle Investments, which is co-owned by Henny Seibeb, the ex-special assistant to former secretary general of Swapo party Pendukeni Iivula-Ithana, and businessman Ndeulipula Hamutumwa. Seibeb yesterday said his firm that got the tender to build 308 houses at Rundu in Kavango East for N$89 million, was registered in 2010.

Caprivi Building Constructors, owned by Francis Sikumba was registered in 2008. He got the job to build 70 houses at Bukalo in Zambezi Region for N$74 million.

Madawa Investment, which was first known as Tameka Shelf Company Three, was registered in 2005 and is owned by TransNamib’s general manager of properties Struggle Ihuhua, Aron and Hage Stephanus.

P.R.O Housing, a firm registered in 2001 and owned by Paul and Helen Ockhuizen received the tender to build 80 houses at Henties Bay for N$17,4 million.

Homenet Property Developers was registered in 2001. The company, owned by Ivan Drotsky, received the tender for building 60 houses at Rehoboth worth N$15 million.

The National Housing Enterprise (NHE) chief executive officer (CEO), Vinson Hailulu, admitted that the parastatal awarded a N$345 million mass housing contract to a company co-owned by his brother-in-law, Titus Nakuumba.

Hailulu defended their selection of local companies.

“The 250 (units) is the requirement we could not stick to strictly, hence the flexibility that government put there, meaning that yes there are companies that might not have done 250 housing units before but we assessed their capacity to deliver the project. You will also realise that some of the projects are having less than 200 units,” he said last week.

NHE spokesperson Eric Libongani declined to comment on the merit of each company when asked about their dates of registration. He, however, said that NHE “took due diligence during the selection of the companies”.

Identities of the four joint ventures which received the large chunk of the mass housing tenders are sketchy as they are yet to be registered in Namibia.

Companies were invited to express interest in the mass housing project and the deadline was November 15 last year.

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