Business / Companies
CBZ splashes over $47m on mortgage lending
17 Nov 2011 at 23:27hrs | Views
CBZ Bank Limited, one of the country's top four banks, has advanced over $47 million in mortgage lending since the beginning of the year, Daily News reported on Thursday.
Laura Gwatiringa, CBZ corporate affairs executive, said a total of 1 200 applicants had benefited from its loans, which accounts for a sizable share of the mortgage market.
"The Bank's market share in the mortgage market is in excess of 24 percent. The Bank has advanced mortgage loans of $45,6 million to 1 200 mortgage applicants," she said.
Gwatiringa said the financial institution aims to invest in excess of $200 million into The Grange Estate Development which was recently put on the market.
"The Bank invested in excess of $5 million for the infrastructural development and a further $200 million will be spent on the superstructure (housing development) through a combination of mortgage finance and self-funding by the beneficiaries," the banking executive said.
She said the bank had so far sold 69 out of 139 residential stands that make up the housing development and would be developed in partnership with the property owners.
"The Grange Estate Development has a total of 139 residential stands only. CBZ Home Loans have sold out 69 smaller stands ranging from 2 000m2 to 3 499m2.The 70 bigger stands ranging from 3 500m2 to 6 600m2 are now on sale and the enquiries since Monday November 14, 2011 are quite encouraging," Gwatiringa said.
The announcement comes as bank chief executive John Mangudya said earlier this month that CBZ had advanced more than $120 million towards reviving the country's manufacturing sector.
For half year to June 2011, the bank was sitting on loans and advances totalling $643 million up from $450 million as of December 2010.
The greater part of the loan book was made up of agriculture $181 million, manufacturing $110 million and commercial at $32 million, while $9 million was advanced to the mining sector.
The country's largest mortgage lender, Central African Building Society (Cabs) in the same period under review increased its mortgage lending by 485 percent to $124,6 million from $21,3 million prior year.
The building society said it mortgages were mainly issued to low-cost housing developments.
According to finance minister Tendai Biti, the country's housing waiting has soared to more than 1,2 million due to the continued shortages of affordable housing.
He said major constraints for housing development include; unavailability of affordable land, cost of servicing land, high cost of building materials and absence of mortgage facilities.
Laura Gwatiringa, CBZ corporate affairs executive, said a total of 1 200 applicants had benefited from its loans, which accounts for a sizable share of the mortgage market.
"The Bank's market share in the mortgage market is in excess of 24 percent. The Bank has advanced mortgage loans of $45,6 million to 1 200 mortgage applicants," she said.
Gwatiringa said the financial institution aims to invest in excess of $200 million into The Grange Estate Development which was recently put on the market.
"The Bank invested in excess of $5 million for the infrastructural development and a further $200 million will be spent on the superstructure (housing development) through a combination of mortgage finance and self-funding by the beneficiaries," the banking executive said.
She said the bank had so far sold 69 out of 139 residential stands that make up the housing development and would be developed in partnership with the property owners.
"The Grange Estate Development has a total of 139 residential stands only. CBZ Home Loans have sold out 69 smaller stands ranging from 2 000m2 to 3 499m2.The 70 bigger stands ranging from 3 500m2 to 6 600m2 are now on sale and the enquiries since Monday November 14, 2011 are quite encouraging," Gwatiringa said.
The announcement comes as bank chief executive John Mangudya said earlier this month that CBZ had advanced more than $120 million towards reviving the country's manufacturing sector.
For half year to June 2011, the bank was sitting on loans and advances totalling $643 million up from $450 million as of December 2010.
The greater part of the loan book was made up of agriculture $181 million, manufacturing $110 million and commercial at $32 million, while $9 million was advanced to the mining sector.
The country's largest mortgage lender, Central African Building Society (Cabs) in the same period under review increased its mortgage lending by 485 percent to $124,6 million from $21,3 million prior year.
The building society said it mortgages were mainly issued to low-cost housing developments.
According to finance minister Tendai Biti, the country's housing waiting has soared to more than 1,2 million due to the continued shortages of affordable housing.
He said major constraints for housing development include; unavailability of affordable land, cost of servicing land, high cost of building materials and absence of mortgage facilities.
Source - Daily News
