New affordable houses project in Port Moresby a model for elsewhere in Papua New Guinea

The construction of 100 affordable houses in Port Moresby will be the launchpad for similar projects elsewhere in Papua New Guinea, predicts Joe Webb, the Managing Director of Australian joint venture partner Amode.

Amode's Joe Webb

Amode’s Joe Webb

Amode has formed a 50-50 joint venture with Papua New Guinea’s Anitua Group, a landowner company based in New Ireland Province, to form Amode RCS PNG Limited.

Together they are developing an affordable housing estate at 7-Mile, near Jacksons International Airport on the Hubert Murray Highway and close to shopping centres, schools and the CBD.

The dwellings are built to Australian standards, with steel frames, aluminium skirting boards and door jambs, as well as fibre cement floors and walls.

The structure has been designed for a 50-year life, which ‘few others’ could offer in Papua New Guinea, Amode’s Managing Director, Joe Webb, tells Business Advantage PNG.

The first stage of the project involves building 100 affordable houses, 40 of which have already been built, with varying designs and styles.

‘It’s housing for the local people, the rising middle-class, not the expatriate market,’ says Webb.

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‘It will transition people out of state housing or settlements.

‘The structure has been designed for a 50-year life, which ‘few others’ could offer in Papua New Guinea.’

‘We are working through pricing and sizing for future stages at the moment. It’s potentially substantially larger but we’re not a point where we can discuss the next stages.’

RCS is also putting in a 4,400 square metre commercial precinct, which will house a supermarket, hardware store and a mezzanine level area with offices for doctors and other professionals.

‘There are several communal areas, like a pool and basketball courts and open parks and land.’

The first batch is priced between K400-500,000 as a house and land package. It’s a secure compound with perimeter fencing and sealed roads. All the infrastructure – power, water and sewage – is now in place.

Anitua ‘a natural fit’

Webb says Amode’s joint venture deal with Anitua ‘is a natural fit’.

‘We will have one or two expatriate specialists with 60-100 workers on site. We’re expecting that once we train the local people, they can take those skills to other locations across PNG.’

‘It has its own construction company and they have secured the rights to our system for the rest of PNG, including Bougainville, and Solomon Islands. The system itself is not only for housing but also education, commercial and industrial precincts as well.

A model Amode RCS PNG house

A model Amode RCS PNG house

‘Some of the building materials will come from offshore and some from onshore. The building doesn’t come as a module, but it’s a system that will be installed on site. It gives us the ability to train local people.

‘We will have one or two expatriate specialists with 60-100 workers on site. We’re expecting that once we train the local people, they can take those skills to other locations across PNG.’

Launchpad

‘The 7-Mile project is a launchpad for bigger plans,’ says Webb.

‘There’s been a lot of investment over the last 10 years for expatriates and executive housing and during that time a rising middle-class has developed,’ says Webb, ‘and there is a much larger market that sits below the K400-K500,000 level.

‘We want to be able to provide affordable housing from the village level to the cities like Port Moresby and Lae.

‘Given PNG’s position in the region, it’s critical to get the infrastructure – roads, housing – put in place now. We want to play our part in the education and housing now and we’re excited about the potential.’

Funding

The 7-Mile housing project is part of an ambitious O’Neill government plan to build 40,000 affordable houses in Port Moresby in the next 10 years to relieve a chronic housing shortage. The government has allocated K200million to the project, funded by China’s Exim Bank.

Mortgages are provided under a 2014 agreement between the National Government and the Bank of South Pacific, which will be able to provide housing loans to approved first home borrowers, over a 40-year term and at an interest rate of four per cent per annum.

So far, 25 loans worth K8.4 million have been approved, according to local media reports.

Comments

  1. Please notify me for inspection/ look see, email me relevant information the soon possible.

  2. Lester BASA says:

    Please can we have such organize project in Lae, Morobe Province.

    Very interested at looking forward to in the future for such affordable price.

    Thank you
    Lester BASA

  3. Serah Nikints says:

    Interested in buying a house between K300 000 & K400 000. Please send details via the information provided..

    Thanks intetested client.

  4. Jackson says:

    Interested in buying house for k400,000. I need some assistance.

  5. Selina Coleman says:

    I am interested and would like pricing /quote to submit to BSP for Loan.
    Phone 76898026

  6. Email prices and the contact numbers, interested.

  7. Edward Timan says:

    Hi,

    I am interested. I would like more information on this. Who do I contact for an inspection.

    Thanks

  8. Samuel Hinei says:

    I am interested pls i would like more information on the cost and type of properties you have.

  9. I would like to have the contacts please to contact you any time when you when I am ready with the requirements/more written information

  10. Buruka Udu says:

    I am interested, and looking at price range of K300.000 – K400.000.
    Please supply more info.

  11. Very interested. Please email me details

    Thanks
    Ben

  12. Hello Phil.Arcadiou
    could you send me your email address please

  13. Robert Kera says:

    Please supply me detail of the homes and the prices.

    Thank you.

    R. Kera

  14. Interested so please send me the prices for the different types of house available for sale

  15. Email me details of any that is currently available to buy.

  16. Charlie Kone Rupa says:

    Hi, I am interested, and am looking at properties within the price range of K300.000 – K400.000. How do I apply? Please need more infor..

  17. GABBY says:

    Interested, please send me details and prices.

  18. Kenneth KACHAU says:

    Interested by too expensive for a average wage earner in PNG…

    • Francis Mendaki says:

      Still not meeting the standard of Average Wage yearn , Therefore many average wage yearnings can’t afford and still striving to own a house in the near future. I am one of the average earners can’t get one becaus if i have applied for one house than i can’t meet the food, School fees for Children, Hospital injurance, and …….etc.
      Therefore needs review.

  19. Hebert Piwili says:

    Sir,
    I’m interested in properties between the price range of K300-400,000.00 so please supply me with price listings and other property details like , bed room, floor area and etc.

    Regards

  20. I am a Public Servant and these houses are more expensive than what I earn annually, how can the government of the day preach about providing affordable accommodation or housing for Papua New Guineas and yet a medium type house can cost K400,000.00 Plus PGK.

    Please something has to be done the government with its stakeholders, commercial Banks and the developers have to come up with a solution to help public servants, because in other words they(Public Servants) are the men on the ground that implements and moves the economy where services cannot reach.

  21. William Tiru says:

    How can I get the application ,criteria for eligibility and some more information

  22. Frank Asaeli says:

    Please send me more information, designs and costs.

  23. Andy Pagere says:

    Please email me details of this project as I am interested.

  24. Hi
    I’m interested in properties between the price range of K300-400,000.00 so please supply me with price listings and other property details like , bed room, floor area and etc.

    Cheers

  25. I think the Papua New Guineans can’t meet the requirement of home shortage. It too costly according to people working under wages. This looks like only for rich getting homes and poor living in settlements. The government need to learn from how it is done in Australia, more housing homes for people who can’t have homes. Wrong decisions made by the Png government for people with money, still not reducing the issues face today in png.

  26. Norah Ovis says:

    How could we get sales prices of the homes you are selling?

  27. I am interested and would like full information on the house and how to purchase it. Please forward me the information.

  28. Faith Debessa says:

    Please email me details of the houses including the price .

  29. Albert.Maru says:

    Very much interested. Enquire for further details.

    Cheers
    Albert

  30. Josephine Mase says:

    K300,000. to K200,000. is not at all affordable for an average Papua New Guinean like me who want to provide quality housing for my small family. I have planned and prayed on buying a home for years and half of my life span is gone but I still pursue my dream come true of owning a home and I am ready to proceed with my plans next year.
    looking forward

  31. Dason says:

    I’m enquiring about two separate things.
    1. I am interested to buy a property. Please email me more information on the design and the cost.

    2. I have a small family run professional cleaning business – we can provide construction clean up service, and carpet (vacuum & shampoo) and vinyl floor polishing.
    Email me for more information if you are interested. Thank you,
    Dason

  32. Peter roy says:

    I’m so interested, could you please send me the design and cost of the house…

  33. Am interested for my parents in the village, they have land, would like the cost of one of these homes.

    Thank you,
    Fonzie

  34. Thomas says:

    Iam very interested. Please forward pricing for housing products

    Thanks

  35. Newton says:

    hi, could you please email me the details as am interested in just the house costing if i were to purchase..

    thank you

  36. Stelly Stead says:

    I am interested please email me more information.

    Kind regards,

    Stelly

  37. Remena Iari says:

    I Am Interested.
    Please forward me details of pricing.

  38. Jacqueline Suag says:

    I’m interested. Please email me more information on the prices, the houses and how I can apply for one.

    Thank you.

  39. Rhonda A says:

    Email me pictures of sample houses and the price list and land size..

  40. Robert Yentha Bagiel says:

    House & Land price between K400, 000.00 – K500, 000.00 for middle class Papua New Guineans is not affordable. Anything below K400, 000.00 is affordable. I think the term affordabilty should be re-looked at in this case.

    A hint: Land Area of 400-450 m2 is minimum for a single 3 bedroom high set house. In keeping with Physical Planning & Building Board Requirements, houses built on each allotment should be positioned to achieve maximum privacy plus the surrounding areas better utilised. Also high set houses give home owners flexibilty in rooming the underneath when family expands.

    I’m currently designing an Affordable Housing that will costs Land/House below K400, 000.00 for Middle Class Papua New Guineans. This will be rolled out in the very near future. Keep an eye out for this for those who may be interested.

    • i am interested please email me details jpitz12@hotmail.com

      • Louis Miria says:

        I am interested, could you email me details of the plan you have. i am organizing a HOS for an entity.

    • Sharon says:

      I am very much interested. Please email me pictures of house and size of land & prices.

    • Joyce Sap says:

      Pls email me further information about purchasing and inspection. Thanks

    • Elizabeth Namono says:

      Hi Robert,

      Please keep us kin first home loan buyers posted about your housing project. I agree with you, K400-500,000 is not at all affordable for average working class Papua New Guineans who want to provide quality housing for our growing families. My husband and I have planned and prayed on buying a home for years and we are ready to proceed with our plans come next year.
      I will be looking out for your posts.

      All the best!

      God bless.

    • Philomena says:

      Please forward me detail

      • Walter says:

        Really interested to buy house and land package priced from k300,000 to k350,000. please let me know through contact provided.

    • Jori Kesi says:

      Hi,

      I work for the Dept Of Treasury as Housing Officer. If you can email me so I can chat with your on our staff housing matters. (Correction on email address.)
      Thanks,
      Jori Kesi

    • Philip Vagi says:

      Bro, I am interested, I do agree with the collegues. Please keep me posted

    • Raymond Lari says:

      Hi Robert,

      I am very interested, please kindly forward me any information/updates about your project.
      Thanks
      Ray

  41. Daniel Kui says:

    I am interested.. Please email with more information.

  42. Hi Phil,
    If I were to go for the K440,000.00 haus, how much equity I need to secure to get a loan from BSP?
    Thanks

    • Bruno MALAU says:

      Hi,

      I am interested and would like to request for more information regarding the housing project.

  43. Please email the details plus the price listing to my email address~lsilas89@gmail.com. I’m interested.

  44. Yvonne Lola says:

    Hi, pls send me details on how i can apply on purchasing a house. Very interested .

  45. Jacklyn Kauhat says:

    oh Great will there be any for Madang in the near future and for Pom please supply me with Price List.

  46. When will the first batch of home buyers be moving into their houses? Give an approximate time please

  47. Great development but cost can accelerate with high inflation rate in PNG and fluctuation of floating bank rates. Fixed term might be good for the borrower as there is no rate reductions but rising rates are the usual bank practices world-wide. 4% is still too high even though govt has provided guarantee. Bring it down to 3-3.5% would be appropriate for middle income earners (low income earners will not qualify under this scheme).

  48. Stephannie Manu says:

    Could you send me more informtion on the this matter. This includes the costings and types of house available.

  49. Timothy Mataro says:

    Could you send me more informtion on the this matter. This includes the costings and types of house available

    Below is my address

  50. more information please on how to have access to this facilities

  51. hi there
    am interesting in purchasing a pty please provide pricelist for me to choose from

  52. Its a great opportunity for Papua New Guinean..Could you provide me with the price list for its type of house and the application form.

  53. Timothy Mataro says:

    Great opportunities. Can you sent me more information regaring the price an types of houses available to customers. Thank you

  54. Ruth Aba says:

    Am interested. Please send me more details of the houses , land area and the price range.

    Thank you,

  55. Mairi Mathew says:

    Great start… Please send me information i would like to visit, especially when you consider that the land sizes are between 400 and 600 square meters, larger than any other developer i have visited. Really interested.

  56. Angela says:

    I’m interested and Would like more information on the cost off the pre done homes please.

  57. Interested, How do i go about?

  58. I am interested how can i apply and enquire for further details

  59. Elizabeth says:

    We are interested, how do we apply now. please send me a email as soon as possible with contact details.

    kind Regards

  60. Mary R Martin says:

    Please need more information on the cost in building the houses — any contact details?

  61. Trevor Guise says:

    Hello, how much would it cost to build a H90 house alone, town water, electricity, building material plus labour…rough estimate will do.

    Thank You,
    Trevor Guise

  62. Viviannne Kanawi says:

    Hello, please send me details andprices on the houses. Thank you.

    V.Kanawi

  63. Petrovic Kunda says:

    Its okay in the name of development and of the place and the new face it might look of the environment it is located but then it is business after all because two banks are involved in this case which in return will be expecting profits and divident out of the borrowers (individuals) and Govt for (China Exim Bank) in this the Contractor/Developer walks away without any burden of the loans. The total number of such building is 100 and so on.
    Generally, this is done to settle housing issues and to met some of the Govt development plans but then if we view our employment statistics in the nation’s capital, you find out that only 10 or less 5% of the people are at a decent stage to apply for loans and or can afford such luxury. Majority of the population in POM are middle classes/low classes and settlement dwellers or ordinary people of this nation.
    Comment is yet to complete need more detail data on that…………..

  64. I would like to meet with someone here in the Pom office to discuss supply of paint for the homes so if someone can give me details of contact numbers and personnel so I can arrange an appointment to meet with them.

    Regards,

    Gaye Kapi
    DuluxGroup

    • Phil.Arcadiou says:

      Sorry Gaye,
      All homes are pre done in the factory before arrival. No painting needed.

  65. John Sliviak says:

    This whole imagined affordable housing scams are turning ordinary hard working Papua New Guineans into slaves.
    The only real winners is the State, BSP and the Developer.
    Selling prices above K75,000.00 cannot be “affordable housing” at all for the PNG middle class. At the bank’s rate of interest, it will take too long and cost at the end about a K1m for a K 500,000.00 house. The would be paid half way past the life of a 50 year life span.

  66. I would like to request more information on the cost of houses to be built by Amode. I have a block of land therefore only need the building costs plus builder’s costs to seek finance for.
    Thank you.
    Regards
    Linus Kaidoga

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