Building plans approved in 2011 rose

THE value of building plans approved by the City of Windhoek fell by 28.1% in the final quarter of 2011, while approvals were 24.4% higher in 4Q11 than in 4Q10. In total the value of approvals was 3.7% higher in 2011 than in 2010.

The value of building plan completions within the city of Windhoek fell 67.2% in 4Q11 compared to 3Q11. Completions were 21.8% lower in 4Q11 than in 4Q10. In total the value of completions was a robust 20.3% higher in 2011 than in 2010.

When adjusted using the Namibia consumer price index, the value of new building plans completed was 13.5% higher in 2011 than 2010. However, only 229 new houses and flats were actually completed in 2011 compared to 360 in 2010.

After a strong start to the year, approval of building plans – a good indication of future building intentions – lost steam in 2Q11, picked up in 3Q11, and fell again in 4Q11. In general the value of approvals is once again running well ahead of the value of completions in contrast to the convergence of approvals and completions seen in 2008.

However, the number of new completions of residential houses and flats is at its lowest level for at least six years suggesting the capital’s housing shortage is likely to become ever more acute.