Calgro M3 Holdings Limited, a construction company specializing in residential and mixed use  property development which listed on AltX in November 2007, initiated and secured the public private partnership (PPP) residential housing project in Ekurhuleni, Johannesburg for the delivery of a first phase of 14 700 housing units. 

The Public Private Partnership brings together Nedbank Corporate Property Finance (Affordable Housing) as financier, Ekurhuleni’s Department of Housing as development partner, and Calgro M3 Holdings Limited as developer.

The project is situated approximately seven kilometres from the Midrand CBD on the K27 leading to Olifantsfontein and adjacent to the Kaalfontein, Ebony Park, Ivory Park and Tembisa townships.  It addresses the acute social housing needs of the community by providing affordable housing in the R100 000 to R600 000+ category in an area which currently experiences a chronic lack of affordable housing.  The project will also provide rental opportunities for those who do not qualify for bonds to purchase properties.

The project will be a fully integrated residential development in line with government’s “Breaking New Ground” (BNG) policy where housing units developed have an equal distribution of RDP type units, Financial Sector Charter (FSC) market targeted units and affordable housing units. The development will consist of 4 900 RDP units (give-away housing), a combination of 4 400 social housing units and GAP units (priced between R100 000 to R240 000) and 5 400 affordable housing units (priced between R241 000 to R600 000+).

Manie Annandale, Head of Nedbank Corporate Property Finance’s Affordable Housing Development (Stock Creation) Unit said “In her housing budget speech, the Minister of Housing indicated that PPP’s are a key thrust in the delivery of housing in South Africa.  Calgro M3 has showcased its ability to deliver such projects and is currently involved in the development and construction of 2 800 integrated housing units in Pennyville, 5 500 units in Fleurhof Extension 2 and 704 units in Riverlea Extension, west of the Johannesburg CBD". This black-empowered construction company specializes in RDP, Financial Services Charter and affordable housing, which together make up integrated developments, as well as in sectional title and cluster developments.  Calgro M3 listed successfully on AltX on 16 November 2007. Annandale continues, "we are more than confident that this PPP will deliver on its promises and we are delighted to be associated with it.”

"Nedbank's strategy around housing finance is to make it easier for developers to develop land that has become increasingly scarce and expensive. This unit also gets involved in Public Private Partnerships where land is made available via local Council and Provincial tender processes" maintains Annandale.

CEO of Calgro M3, Peter Waweru, expects to commence construction towards the middle of 2009. This brings the Integrated Housing projects that Calgro M3 has launched this year to 20 200 units with a combined turnover of R4.2 billion, adds Waweru.