November 1, 2019

At $8,040, Millard Fuller Foundation is providing affordable homes for low-income earners

Yemisi Okunowo

The Millard Fuller Foundation (MFF) describe it as a faith-driven organization promoting collaborative partnerships with individuals and organizations in a bid to provide affordable housing for those in need. Its partners are Reall and Family Homes Funds.

In contributing to bridging Nigeria’s housing gap, Reall UK partnered with MFF in 2016 to fund the first phase of the GrandLuvu Estate. Situated in Luvu-Madaki, Masaka, Nasarawa on the outskirts of Abuja, the GrandLuvu Estate features 600 units of one and 2-bedroom semi-detached bungalows targeted primarily at a specific group of Nigerians earning between ₦50,000 to ₦150,000 a month. The 32sqm. one-bedroom homes have a sales price of ₦2.8 Million ($8,040).

At $8,040, MFF is providing affordable homes for low-income earners
At $8,040, MFF is providing affordable homes for low-income earners

How are the houses this affordable?
According to MFF, the construction of the ₦2.8 Million ($8,040) house results in an estimated cost of ₦2.3 Million ($6,394.98) even without receiving any form of government support on land purchases. The components of each building are listed below:

  • 150mm hollow sandcrete block walls.
  • Aluminum casement windows.
  • Sharp sand from a river and Cement from Dangote cement plc, Obajana plant.
  • Screeded floor finish.
  • Wet rooms and kitchen tiled (floor and walls; backsplash in the kitchen).
  • No kitchen cabinets installed.
  • Internal painting (one coat only).
  • Externally finished with tyrolean with window and door panels painted.
  • Electrical conduit & wiring; No fittings.
  • All plumbing fittings installed with water connected.
  • PVC ceiling finish.
  • 0.55 Long span Aluminum roofing sheets on well-seasoned wood trusses.

Other facilities provided by the estate are:

  • Overhead and underground water tanks from industrial boreholes.
  • Laterite graded road network.
  • Dedicated Estate transformers with power connected to homes.
  • Good drainage layout.
  • Good sewage and refuse disposal system.
  • Adequate water reticulation for home consumption.
At $8,040, MFF is providing affordable homes for low-income earners
At $8,040, MFF is providing affordable homes for low-income earners

In 2018, Nigeria’s state-funded initiative, the Family Homes Funds, bulk-bought 400 completed units for resale, meaning that MFF was able to completely re-pay the original loan to Reall. The houses were then sold to first-time homebuyers on an owner-occupier basis through a bridging facility provided by the Family Homes Funds pending the release of applied mortgages by the Federal Mortgage Bank of Nigeria. Some units were also sold through an internal mortgage arrangement provided by the Millard Fuller Foundation.

MFF won the award for “The Affordable Housing Project of the Year 2018” for the 3rd consecutive time at the Nigerian Housing Awards. In 2019, The Centre for Affordable Housing Finance recently found the GrandLuvu Estate to be the most affordable African home to be sold by a private developer.

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