IDBZ to build more students accommodation

The Infrastructure Development Bank of Zimbabwe (IDBZ) will shift focus to other locations around the country after completing the construction of the Bulawayo Students Accommodation Complex, chief executive Mr Thomas Zondo Sakala has said.

The world-class Bulawayo students accommodation facility, built for US$16 million, is a joint venture housed under a special-purpose vehicle called ZimCampus.

Its shareholders are Old Mutual (49,37 percent), Zimnat (23,52 percent), Motor Industry Pension Fund (19,44 percent), and IDBZ (7,67 percent.

While other investors hold majority shares, IDBZ played a crucial role in initiating the project.

The bank acquired the land and financed preparatory activities using resources from its Project Preparations and Development Facility to bring the project to an investable stage.

Once packaged, IDBZ then brought in institutional investors to fund the project.

“We are exploring funding models similar to Bulawayo, potentially including bonds or construction-capable investors,” Mr Sakala said during a sideline interview during a familiarisation tour by board members of the bank’s projects in the southern region.

The directors also toured the Willgrove housing project where the bank invested US$2,6 million to develop 114 low-density residential stands ranging from 3 500 square metres and 9000 sqm. They also toured Esihlengweni Medical Centre in the Bulawayo central business district where the bank is leasing its property to diversified medical services providers.

The bank, Mr Sakala said had ambitious plans, including constructing a similar accommodation facility at the Lupane State University with double the capacity of Bulawayo and building another student accommodation complex in Kwekwe.

Mr Sakala also said discussions were underway with the National Social Security Authority (NSSA), which owns land in Mutare, for a potential student accommodation project there.

The facilities won’t just be dormitories. Mr Sakala emphasised the inclusion of commercial spaces within the complexes, creating a one-stop shop for student needs.

The Bulawayo facility exemplifies this concept, with its ground floor offering 33 commercial units for businesses like food courts, grocery shops, a sporting facility, a bookshop, banks, a pharmacies, laundromats and supermarkets.

The commercial areas will also be accessible to the general public, fostering a vibrant community around the student residences.

Construction on the Bulawayo complex began in May 2019. It boasts 516 double rooms, accommodating 1 032 students.

While current occupancy sits at 498, there is a significant commercial space already leased, with 15 tenants having signed on while some businesses are already operational.

Security is a priority, with 24-hour CCTV monitoring and patrol guards ensuring a safe environment for students and the general public.

IDBZ regional manager Mr Saxon Makwasha said the Bulawayo Students Accommodation Complex serves as a successful model for the bank’s upcoming student accommodation projects, aiming to address the critical need for decent and affordable student housing across Zimbabwe.

Securing decent and affordable student accommodation remains a significant challenge in Zimbabwe.

Many students are forced to reside in cramped and substandard housing offered by private landlords. The environments can be unhygienic and lack proper amenities.

In the early stages of the implementation of the Bulawayo project, there was serious lobbying against it from local homeowners who felt the new complex would take business away from them.

“This place is amazing,” said a student from the National University of Science and Technology.

“It’s a huge difference from the overcrowded house I used to share with friends. Now I have a clean, secure room to myself. It is so much easier to focus on my studies now.

The major tertiary institutions in Bulawayo are NUST and Hillside Teachers College.

To reflect its broader mandate encompassing all economic sectors, IDBZ has been renamed as Infrastructure and Development Bank of Zimbabwe. This expanded scope allows the bank to play a more comprehensive role in driving economic growth.

-herald