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BOTSWANA’S BUILT ENVIRONMENT NEWSPAPER | Vol. 5, Issue 1 | JANUARY 2015 HOME IMPROVEMENT
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INTERNATIONAL NEWS
DIY Special: How to
SUSTAINABILITY
Feature: Gauteng to build
Install a New Window p12
three new Cities
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Sustainability in Botswana’s
Built Environment
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MAIN FEATURE
Property Opportunities for 2015:
Affordable Housing; Student Accommodation; Retirement Homes Budget 2015 -
Boidus looks at some of the opportunities that have the
potential to shape the property market in the coming year. By Kibo Ngowi and H. Killion Mokwete
CI may finally be set for Government Spending By H. Killion Mokwete
As Botswana’s economic performance has continued to improve (from 4.2% GDP in 2012 to 5.4% in 2013) after the 2008/09 global economic crisis, prospects for government spending on infrastructure in this year’s national budget are promising. After a five year
infrastructure spending freeze, the construction industry waits with baited breath for relief from the belt tightening that has driven some out of business. Boidus Focus reviews potential sectors set for government spending within the construction industry. p6
Botswana Demand for
Urban Designers on the rise By Keeletsang P. Dipheko & Kibo Ngowi
Affordable housing continues to be a major problem in Botswana, especially in the cities and towns such as Gaborone and Francistown where large numbers of the country’s population converge for education and employment opportunities. According to recent data from Finscope some 60 % (2011) of Botswana’s population has no access
to quality housing. Boidus Focus looks at some of the opportunities that have the potential to shape the property market in the coming year, not just in the area of affordable housing but also in student accommodation and the novel niche of retirement homes.
Botswana Insurance Company:
The Real Estate Advantage:
Driving Distraction
Real Estate in 2015
p4,5,7,8
What to Expect in
Cell Phones: Dangerous
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Urban Design is a discipline that is fundamental to the planning of towns and cities but in Botswana the number of qualified urban designers is extremely low. As the country enters a revised legal environment for development planning the demand for urban designers has begun to rise.
Lifestylenoted: New Year,
New Ideas
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MEDIA EVENTS
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Letlole Larona Breaks Ground at the Kromberg and Schubert Botswana (Pty) Plant
Government to Promote IntroHow ready is Botswana for duction of Residential Developthe Inevitable Change towards BOIDUS FEATURE > Decarbonisation targets? ment into the CBD Global
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Education Feature: Factors to Consider 18 When 15 Botho University Builds Establishing Francistown Campus
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A Luta Continua on the Land Question Airport Roof Gone with the Wind
The Idea of Eco Cities: Need for harmony between policy and green initiatives
Meet three of Botswana’s best Event Feature: State of our CitiesBDC FAIRSCAPE PRECINCT, The rising engineers
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Buy or Build a new Home: The Pros and Cons
Disentangling the Web – A Look at Infrastructure Project Management
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Felix Chavaphi, founder of Norcon Group; Tapa Moseki, partner at Engineering CBD Executive Seminar Event Partners International; Matlhodi Keaikitse, partner at Ezra’s Contracting Services Realm of Splendor - Live, Work & Play With Breath taking Views by Kibo Ngowi Bringing together key CBD stakeholders such as landowners and developers to engage on issues that affect their developments and investment
BR Properties - Botswana’s first Parastatal Property Investment Subsidiary
“Public Piazza, Mixed Use Podium and Sky gardens coming to Gaborone”
by Kibo Ngowi & HK Mokwete
by Kibo Ngowi & HK Mokwete
Red East Construction: Award Winning Chinese Contractor
by Kibo Ngowi
BR Properties is a pioneer organisation as it is the first example of a company established to commercially exploit the real estate assets of a Botswana Government enterprise. The performance of this company will serve as a test case for many other
by Kibo Ngowi / H. Killion Mokwete Boidus Focus sat down with the Managing Director of Red East Construction, a Subsidiary of the Zhengtai Group Mr Zhu Dexiang to try and understand what has set this Chinese construction
company apart from its counterparts and defied the perception of poor construction workmanship as a uniquely Chinese problem. >>> CONTINUED PAGE 07
departments with ambitions of creating similar entities. Boidus Focus met with BR Properties Managing Director Oarabile Zhikhwa to explore the brief history and long-term ambitions of her organisation. >>> CONTINUED PAGE 05
LEFT: Felix Chavaphi, MIDDLE: Tapa Moseki, RIGHT: Matlhodi Keaikitse
“I would say that as an engineer, especially in the construction field, experience is crucial, which is why firms tend to only hire engineers with a high amount of experience for senior project roles. And that’s understandable to me, because as much as you can go to school and read books, there’s no substitute for actually being involved in a project...” - Matlhodi Keaikitse
Government to Promote Introduction of Residential Development into the CBD
Top: Guests and delegates at the CBD Event Bottom: Architect and Urban Designer Jo Noero from Noero Architects and University of Cape Town Right: Hon. Assistant Minister of Trade and Industry, Keletso J. Rakhudu, officially opening the event
The Boidus Media, State of our CitiesCBD Executive Seminar recently held at Masa Centre was by any measure a resounding success. The Seminar event brought together for the first time ever in Botswana, key stakeholders of the New CBD development such as investors, development owners, government, industry champions
and the public in sharing of ideas and opportunities about our upcoming CBD. Envisaged as the future heart of Gaborone City, the CBD is slowly taking shape and the seminar sought to make it a centre stage focus of discussions and professional deliberations. In this Boidus Focus Special, find event abstracts:
As you reflect on the ‘challenges and opportunities’ of developing a CBD, I would like to encourage all of you to think of this as what our generation will be remembered for having done, not only for this City, but for the nation, albeit through the toughest times. Assistant Min. of Trade & Industry, Hon. Keletso J. Rakhudu
“In this line of work you need to put yourself in a position where you have interest
and ownership Extract Seminar Paper Presentation by Jobe Ofetotse, DTRP of the projects you’re deal-
ing with because structural engineering is a sensitive field in that we are dealing Introduction failings of the CBD concept but more with peoples’ safety. We are putting up Thank you to the organizers for inviting challenging to come up with solutions which are going to house lives DTRP to contribute to this important where problems havestructures been identified. A Successful CBD represents among other things; and highly topical seminar. That is what we hopeso theyou seminar will approach this profession can’t • A success CBD Image of the city and the country Felix Chavaphi Portfolio concentrate upon. as simply a job. You have to see it as a • Generation of the country’s prosperity of Botswana Library at a cost of P54 • Successful partnership between the Government & PVT[TOP] sector University In organizing it, BOIDUS have directly responsibility and a privilege.” Dimitri Kokinos: Portfolio Structuring Manager (Stanlib) million with Murray & Roberts responded to our concern that it is easy From a DTRP standpoint, the forum [BOTTOM] Gaborone Shopping - Tapa Moseki >>> CONTINUED PAGES 08, 13, 18 >>> CONTINUED PAGE 04 to be criticalTaxi and Rank identify perceived Complex by Boidus Admin
Plot 7 at a cost of P2million with Murray & Roberts
>>> CONTINUED PAGES 03, 04, & 06
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>>> CONTINUED PAGES 04, 08
FNB’s CBD HQ – Intelligent Corporate Architecture by Kibo Ngowi
First National Bank (FNB) has moved into its newly built headquarters in Gaborone’s rapidly developing Central Business District (CBD). Located in plot 54362, the Head Office called First Place, boasts the banks’ “one-stopshop” capability. With an expansion of
the office facilities accommodating all the Bank’s divisions such as Electronic Banking, Private Banking, Property Finance, WesBank, Firstcard to mention but a few, customers get a full bouquet of FNBB products under one roof. >>> CONTINUED PAGE 07
Birds-eye view
A Fresh Approach to Buiding a Home - Inside House Agolen II
by Leago Public Piazza
Sebina
As stakes an architect, opportunity to inopposed viewed, With high in the Botswana ofreality one area. to the way it is usually views from across the City. Boidus building offers, not only the as being static. There is no other ficedesign market,a Botswana Development was buildrecently given exclusive tour of Corporation’s is ofThe which been such the construction site to experience creation of aFairscape physical Precinct expression the Iconic ing tower typology thathas embodies a nosetbuilding to raise the barbut of also what the quality slowly emerging off the skyline first hand itself, possibility tion of architecture thanofthe house, the this exciting project as it office space is by delivering an AFairgrounds is setting unmissable becomes reality. for architecture to mould the life and most basic and primal form of shelter grade mixed use development which view of a gleaming honey comb memories of its inhabitants. Therefor human beings. will see work, play and live become lattice structure with unparalleled >>> CONTINUED PAGES 08, 13 fore, one could argue that architecture should be thought of as being alive as
>>> CONTINUED PAGE 14
Office of the President
The Relocation of the Office of The President Is it the Right Move Or Not? by HK Mokwete
The current debate in parliament over a budget allocation request of P195 million for the purposes of augmenting funds to either- acquire or build a new office block to house the Office of
the President (OP) is missing the bigger picture of what should be debated when procuring the office space for the ‘Highest Office in the Land.’ >>> CONTINUED PAGE 04
Eugene Ndaba is an Urban Planner at the Department of Town and Regional Planning (DTRP) who is currently pursuing a Masters Degree in Urban Design through a South African university. He says an urban designer’s role is to create and shape the physical set up of life in villages, p11,15
CBD EXECUTIVE SEMINAR - Oct 2014 CBD EXECUTIVE SEMINAR - May 2013 DESIGNER’S FORUM - Apr 2012 BOTSWANA PROPERTY MARKET - Coming Feb 2015 BOTSWANA PROPERTY MARKET - Sep 2013 HOUSING AFFORDABILITY IN BOTSWANA - Mar 2012 FNBB AFFORDABLE HOUSING MARKET - Dec 2013
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SOCIAL MEDIA Professionals Information Seekers Students Organization Affiliations Find us online:
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LOCAL NEWS P2
BOIDUS FOCUS JANUARY 2015
NEWS BRIEFS January 2015 Compiled by Keeletsang P. Dipheko
P2.1 billion
The amount awarded by the Public Procurement and Asset Disposal Board (PPADB) in the most recent financial year.
Airport Contractor Sues Gov’t in P43m Dispute The Chinese firm Sinohydro is seeking the High Court to order government to pay back the P43 million and deposit the monies into a mutually held account as directed by the Dispute Adjudication Board (DAB). Following the termination of the Sinohydro’s Sir Seretse Khama International Airport (SSKIA) contract in July 2012, government retrieved the P43 million bond in November 2012, before the matter was taken to the DAB, which declared the termination lawful. However, the May 2013 decision by the DAB ordered that the bond funds be transferred back to an escrow account.
PPADB Awards P2.1 billion in Tenders The Public Procurement and Asset Disposal Board (PPADB) awarded 81 tenders from different ministries, amounting to P2.1 billion, in their most recent financial year. According to the recently released 2013/14 annual report, the Ministry of Transport and Communications had the highest value of awarded tenders at P518.1 million followed by the Ministry of Local Government at P415.4 million. The Ministry of Youth Sports and Culture had the least value of awarded tenders which stood at P415, 800, owing to maintenance of an existing contract previously awarded by the board. The board committees adjudicated on 9,720 tenders which is higher than the previous year.
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Francistown Councillors to Approach Tsogwane Over Lack of Development in the City Francistown City Councillors (FCC) have vowed to take Minister of Local Government Slumber Tsogwane to task over the lack of development in Francistown. This pronouncement was made in response to a budget speech presented by former mayor James Kgalajwe during a special council meeting. Various councillors including Biki Mbulawa of Philip Matante West and Ephraim Maiketso of Central Ward expressed their disappointment at the lack of development in the city. The frustration was perhaps best summed up by Councillor Shadreck Nyeku of Philip Matante East, who lamented that although Francistown is a city, there is nothing to show for its city status because it is not developing.
Batswana incomes fail to keep up with escalating rental prices Real Estate Professional Modiredi Maruping has noted a striking trend in which property in the lower range of P1000 – P4000 rental fees is in high demand and therefore not easily available. This is because many Batswana can only afford properties in the lower range, especially because people’s incomes have stagnated and failed to keep pace with the rising cost of living. While incomes stayed dormant for the past few years, rental prices continued to escalate, creating a mismatch and relegating many people to the lower range. Find these stories and more at:
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BOIDUS FOCUS JANUARY 2015
ADVERTISING P3
MAIN FEATURE P4
BOIDUS FOCUS JANUARY 2015
Property Opportunities for 2015: 10x10 HOUSING, SA
Affordable Housing By Kibo Ngowi & Killion Mokwete
HIGHLY ENERGY EFFICIENT AND CAN BE BUILT WITHOUT SKILLED LABOUR.
Located in Cape Town, SA / designother90.org
Continued from the FRONT PAGE Affordable housing continues to be a major problem in Botswana, especially in the cities and towns such as Gaborone and Francistown where large numbers of the country’s population converge for education and employment opportunities.
vate sector donations. The challenge at Policy level is that most of the existing housing strategies such as SHHA, BHC (SiHA) still do not address the increasing demand for ‘Affordable Housing’ in Botswana. According to recent data from Finscope some 60% (2011) of Botswana’s population has no access to quality housing.
The United Nations recognises the right to housing as part of the right to an adequate standard of living and it is codified as a human right in the Universal Declaration of Human Rights. In Botswana His Excellence the President Ian Khama recognizes the role that housing plays in one’s dignity, hence his social housing scheme the ‘Presidential Housing Appeal’ was launched in 2010 and has thus far contributed hundreds of housing units to the most needy through pri-
Of the 39% of investors in Botswana, 8% have been noted to invest in Housing. In the past released results of the IPD Consultative Property Index 2012, the Residential Sector outperformed most sectors (second from Industrial) including office and retail by 7.8% margins. This data points to the potency of Housing not only as a right and prerequisite to dignity but also as a good source of investment with the potential to bring financial rewards. p5
The design of the 10×10 Sandbag House borrows from indigenous mud-and-wattle building methods. A structural timber frame using EcoBeam technology (timber beams with metal inlays that provide tensile strength) is combined with sandbags reinforced with chicken wire and finished with plaster and timber cladding. The sandbags provide thermal insulation and, thanks to the EcoBeam technology, contributes to a system that is both wind-resistant (it is heavier than brick construction) and moisture-resistant. Moreover, the building method is cost-effective and energy-efficient, and requires little to no electricity and only minimal transport, since the EcoBeams are manufactured onsite. Little skilled labor is needed for construction, and local community members were involved in building the houses, demonstrating the possibility for replication in other communities. Given the small plot sizes allotted by the government for Freedom Park, the ability to build up rather than out ensures a solution that can accommodate density. Ten houses were completed in Freedom Park in 2009, and the building method can be scaled to help meet the urgent need for housing.
MAIN FEATURE P5
BOIDUS FOCUS JANUARY 2015
Affordable Housing; [SHHA] Government Schemes By Kibo Ngowi & Killion Mokwete
Sebina mentioned that one method that the Department of Housing is currently exploring for the implementation of the scheme is to partner with financial institutions in developing a product that would allow these citizens to access funding for housing. He also mentioned that they are exploring the possibility of partnering with private sector entities in the development of infrastructure as the servicing of land is always a crucial obstacle to be overcome in the provision of housing.
Continued from PAGE 4 The Government of Botswana, through the Directorate of Public Service Management, has adopted plans to extend an existing housing scheme, originally intended for the lowest earning segment of the population, to public servants within a certain income range. In April last year, government issued Public Service Directive No. 8 of 2014 which among other benefits, extended the Self Help Housing Agency (SHHA) scheme to public officers on salary scale up to D4 (P218,000 to 241,000 annual income range). Then Minister for Presidential Affairs and Public Administration Eric Molale told parliament that the aim of the extension was to increase accessibility to housing for employees who otherwise would not have been eligible in terms of the scheme in its original form.
When questioned on the performance of SHHA Sebina said that though it has not performed to the level they had wanted due to limited funding they are pleased with how many citizens it has benefitted. The SHHA scheme operates by absorbing the interest on housing loans in order to make housing more affordable for low-income groups. Another government housing agency, the Botswana Housing Corporation, has also declared intentions of introducing a product to further tap into the demand for affordable housing. Speaking at last year’s Property Expo conference, BHC Marketing and Research Manager Mookodi Seisa revealed that the parastatal is introducing a government funded housing scheme which will target workers who do not qualify for mortgages. According to Seisa, the ‘Instalment Purchase Scheme’ will differ from the existing ‘Tenant Purchase Scheme’ as it will target
‘Government had long wanted to create an affordable housing scheme that can benefit citizens earning above the threshold for the Self Help Housing Agency (SHHA) but below the threshold to qualify for mortgages through financial institutions... the Department of Housing is now at work developing the affordable housing scheme they hope to be able to roll out to the public in the near future.’ Molale added that thus far no officer had benefitted since there were no funds available to service the extension in the current financial year. However, he said, a budget provision will be in the 2015/16 financial year which will put government in a position to process loan applications under the scheme for this category of employees. In an interview with Boidus Focus last year, Deputy Permanent Secretary in the Ministry of Lands & Housing Maotoanong Sebina explained that Government had long wanted to create an affordable housing scheme that can benefit citizens earning above the threshold for the Self Help Housing Agency (SHHA) but below the threshold to qualify for mortgages through financial institutions. Sebina says that the Department of Housing is now at work developing the affordable housing scheme they hope to be able to roll out to the public in the near future.
those who aren’t included in the Self Help Housing Agency (SHHA) scheme but also do not qualify for mortgages. Seisa noted that this would be the first time that the company is subsidised by government, insisting that there is a mistaken belief that the BHC is funded by the government. In reality, this is not the case and this means that the parastatal has to try and cover all the expenses they have incurred in the construction of houses when they set prices, he explained. Seisa further said BHC had embarked on this campaign to promote home ownership in the country, adding that this scheme was targeted at encouraging BHC’s sitting tenants to consider buying houses that they have been occupying. Seisa also revealed that since the campaign kick started, 1500 houses had been sold.
FEATURE P6
BOIDUS FOCUS JANUARY 2015
Budget 2015 - CI may finally be set for Gov’t Spending By H. Killion Mokwete
Source: www.jacanaent.com Continued from the FRONT PAGE As Botswana’s economic performance has continued to improve (from 4.2% GDP in 2012 to 5.4% in 2013) after the 2008/09 global economic crisis, prospects for government spending on infrastructure in this year’s national budget are promising. After a five year infrastructure spending freeze, the construction industry waits with baited breath for relief from the belt tightening that has driven some out of business. The construction industry has seen repeated calls for an industry bailout by BOCCIM and professional bodies in the past with no result except the slow drip of the maintenance funds. With the 2015/16 national budget speech set to come in a few weeks it is expected that the budget will be well over P35 billion, an increase beyond the last budget which stood at P33.3 billion. Boidus Focus reviews potential sectors set for government spending within the construction industry.
FINANCING OF KEY NDP 10 OUTSTANDING PROJECTS
The NDP 10 has 2 years (including 2015) left to run before it ends in May 2016. Set to coincide with Botswana’s long term Vision 2016, NDP 10 implementation is critical if the country is to achieve the long set ideals of the vision. Therefore 2015 is an important year in which essential project goals set to achieve the vision and deliver economic growth will have their last chance for implementation. For the construction sector, a critical identified goal in the NDP 10 is to achieve; ‘a well developed and reliable system of infrastructure and utilities’, with critical sectors identified as; Transport and Works, Water, Energy, and Lands and Housing.
Anticipated areas of budget spending include;
TRANSPORT AND WORKS
Significant transportation spending will be expected in the development of railways infrastructure in the following areas; • Railway stations – As the Passenger train is expected to be re-launched, spending in the renovation of old passenger railway stations and the construction of new ones along the existing track is inevitable. • Goods Ports and New Rail Networks – According to NDP 10, new traffic from mining will create opportunities to expand the railway network by developing links connecting Botswana to Namibia and Zambia, and additional links with South Africa. This could, in turn, promote Botswana as a regional railway hub. In this regard, Botswana Railways has submitted Terms of Reference to the World Bank for funding of the
feasibility studies in establishing the following railway lines: »» Mahalapye/Mmamabula – Ellisras/Lephalale (proposed coal export corridor) »» Trans-Kalahari Railway line, connecting Botswana to Namibia (to create an alternative south west logistics corridor, mainly for coal export, but with the possibility for other commodities.) »» Rail extension from Mosetse to Kazungula (to create an alternate north south corridor to Zambia, the Democratic Republic of the Congo (DRC), etc.)
more funds allocated to the construction of ongoing and outstanding power plants as the country keeps battling with power supply problems. Overall, the economic strategy for NDP 10 can be summarised as follows; • Direct spending on infrastructure, education and training towards the needs of the private sector; • Priority to catching up on the backlog in the maintenance of public sector assets, and to preventing any new backlog emerging.
INFRASTRUCTURE INVESTMENT – PRIVATE SECTOR FACILITATION THOUGH POLICY IMPLEMENTATION
Part of the ‘way-forward’ tripartite strategy, identified in the midterm review of the NDP 10, undertaken in 2013 by the government was to; • Create a private sector enabling and supportive policy environment;
• Stimulate increased domestic and foreign private investment. The completion of the Public Private Partnership
policy guidelines and the Land servicing policy guidelines sees the government aiming to fulfil the above and this will in turn set in the involvement of the private sector in financing public infrastructure in key earmarked areas in Land servicing, bridges, water projects (dams), and the provision of affordable housing. The following indicators are good signs that government will finally make it easy for the private sector to play a role in development; • Institutional Investors investing in local infrastructure – Led by BPOPF, Institutional investors are flexing their financial muscle to invest in Botswana’s infrastructure. • Barclays recently created partnerships with Local Authorities through BALA for providing capacity and access to the financing of infrastructure. • Francistown, Selibe Phikwe and Palapye are all set to open up investment opportunities in investment in Infrastructure. Note that the Local Authority Act has been revised to empower authorities to make decisions on local developments, including sourcing private funding for projects.
ENERGY – ELECTRICITY GENERATION
Continued investment in the energy sector will see
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MAIN FEATURE P7
BOIDUS FOCUS JANUARY 2015
BAKER HOUSE, MIT Property Opportunities for 2015: SERPENTINE FORM TO PROVIDE EVERY STUDENT WITH A VIEW OUT OVER THE RIVER. Located in Cambridge, MA, USA / theguardian.com A slithering snake of a building, winding its way along the banks of the Charles River in Cambridge, Massachusetts, the Baker House is the work of Finnish architect Alvar Aalto. He devised the serpentine form to provide every student with a view out over the river, while also giving a sense of individuality to each room – there are 22 different-shaped bedrooms per floor. Gloomy north-facing rooms are also avoided by positioning the staircases and circulation in the bends along the northern facade, with double-height lounge and dining areas nestled into the crooks at the base of the building. Built in rough textured red brickwork, it stands like some geological formation, a robust masonry cliff that has weathered well over the last 60 years – and continues to be one of the most sought-after places to live on campus.
Private Sector Investment and
Student Accommodation By Kibo Ngowi & Killion Mokwete
Continued from the FRONT PAGE Private sector investment has generally favoured the upper end of the country’s income segment but there are positive signs of more interest in affordable housing solutions. At a meeting hosted by the Ministry of Trade and Industry, last year, a collective of local and foreign investors, representing the FAR Property Group, a local property developer, and Imision, a South African technology company, proposed a housing project comprising 3,200 units.
who can get it right. As of June 1st 2014 the Ministry of Education and Skills Development (MoESD) was sponsoring 47,200 students for tertiary education within Botswana (1, 500 abroad) but only a minority of these students are provided with accommodation through their institutions. For example, the largest university in the country, the University of Botswana (UB), has a student population of around 18, 000 students but can only accommodate 4, 084 or 22.6% of their students.
1,700 housing units for civil servants and a further 1,500 units for students were proposed during the meeting and to ensure that they reap the full value of the investment the collective is seeking a full guarantee from the Botswana government. With the guarantee, FAR Properties and partners are willing to design, fund, build, operate and transfer 1,700 houses, 100 in each district, to the civil servants of Botswana, according to Imision Director Stephen de Blanche.
Tertiary Institutions bill DTEF for providing accommodation to their students and the rates vary widely. UB charges the Department of Tertiary Education Financing (DTEF) – a department under the MoESD – P3, 219 per semester for each undergraduate student accommodated on the UB campus which amounts to approximately P800 per month. The figure is P5, 405 per semester or approximately P1, 351 per month for each graduate student.
Under the envisioned arrangement, qualifying occupants
Botswana College of Agriculture (BCA) provides accommodation to most of their student population of around 4, 000 and charge DTEF P2, 910 per semester which amounts to roughly P700 per month. Botswana Accountancy College (BAC) charges DTEF P864 per week which amounts to P3, 456 per month. All other tertiary institutions don’t provide accommodation at all or only provide to a negligible number of students.
would be given a 15 to 20 year residential mortgage where repayment is via direct debit from their salaries and Government would rent the balance of the houses for its staff. Blanche said government and civil servant unions would provide land and agree or specify where the houses must be built, adding that FAR Properties and Imision would deliver the houses and supporting infrastructure via an accelerated delivery programme. The proposal further provides for a national team led by the Minister of Lands and Housing and representatives of the civil servant unions, assisted by reputable local and international architects, to define and agree on the specifications of two and three bedroom houses, maisonettes, bungalows and flats. Blanche added that FAR properties and partners are willing to develop 1,000 student accommodation units for Botswana International University of Science and Technology (BIUST) and another 500 for the Botswana College of Agriculture (BCA). The plan is for the units to be rented out to BIUST and BCA on a rent-to-own basis with rental stream fully guaranteed by government. The student housing market is indeed a largely untapped area of massive potential value for any shrewd investor
DTEF insist that they will not enter into any lease agreements with private developers but are happy to pay for any sponsored students accommodated in a facility provided through an arrangement between a tertiary institution and a developer as they have done with UB, BAC and BCA. “We as a Ministry are always looking out for partners who would like to go into the creation of student villages,” DTEF Deputy Director Mr. Eugene Moyo told this publication. Mr. Amos Chakandinakira, Head of Commercial Property Finance at First National Bank Botswana (FNBB), a financial institution well known for its comprehensive student banking service, also stressed the importance of government guarantee to ensure viability. He stated that any financier would prefer to offer financial assistance where MoESD has committed to accommodate students and there is a direct deduction code in place in the form of DTEF paying the rentals directly to the landlords and giving students living allowances separately from rent.
MAIN FEATURE P8
BOIDUS FOCUS JANUARY 2015
Property Opportunities for 2015:
Retirement Homes By Kibo Ngowi & Killion Mokwete
THE PINEHILLS
SHOPPING, DINING, PLAYING, WORKING & LIVING. ALL IN ONE BEAUTIFUL PLACE. Located in Plymouth, MA, USA / pinehills.com Over a decade and more than 1,700 families ago, The Pinehills was born. Now this well-established village is one of the nation’s most celebrated examples of thoughtful community planning and design. Underlying it all is a commitment to quality and environmental stewardship that acknowledges what a gift it is to live in the world’s third largest pine ecosystem. By holding true to the village’s original vision – a robust sense of community, active open space and intimate neighborhoods – The Pinehills just keeps getting better.
Continued from the FRONT PAGE
The Case for Retirement Homes: Retirement homes or senior housing are defined by a mix of real estate, hospitality, and care and form a big part of the international property market. In the US, the retirement homes market is valued at $60 billion (IBISWorld) while 17% of those aged over 60 live in retirement homes in the US and some 13% in Australia and New Zealand, according to a 2011 study by the Housing Learning and Improving Network. In 2010, Botswana’s population of over 64 years old was at 4% of the total 2,021,144 (80, 845) compared to 63% of those aged between 15 and 64. This reflected a steady rise back to the pre-1950 figures when Botswana had around 4.4 % adults over 64, and is the highest it has been after it experienced a sharp fall to 2.4% in the 1980’s. The rise of the older population means more working people are retiring from work and this dynamic stands to pose new challenges for Botswana’s traditional family structures. Traditionally, older members of the family would be cared for by their children or relatives. However, with most of the younger generation no longer returning to home villages but rather pursuing their careers in the cities and towns, the rise of new family structures is imminent. Today’s retiring elders can no longer go home to the villages and depend on family for care. Luckily, a significant number of today’s over 60’s are retirees with retirement packages accrued from years of working and savings. Therefore the 4% could potentially present an opportunity in the property market. Instead of retiring to the villages where there are no proper care systems and
health access is inadequate, today’s retiring population could fuel demand for a new form of accommodation. Retirement homes or senior housing are defined by a mix of real estate, hospitality, and care and form a big part of the international property market. In the US, the retirement homes market is valued at $60 billion (IBISWorld) while 17% of those aged over 60 live in retirement homes in the US and some 13% in Australia and New Zealand, according to a 2011 study by the Housing Learning and Improving Network. What constitutes retirement homes development? The core part of retirement homes are based around real estate, hospitality and care. Purposefully built retirement estates feature critical amenities such as; health facilities, entertainment and security. Botswana has an increasingly growing population at middle income level, meaning that this niche market can only grow as more people retire and the good news is that the life expectancy is also improving. Retirement homes can also be structured on a gradual buy-into by tapping into or partnering with pension funds to procure developments.
The Pinehills was designed to enrich lives for generations, and it all began with this simple, radical idea: for every acre developed, two acres would be set aside as natural or recreational open space. • Homes are grouped together in small, organic neighborhoods that conserve open space, trees and wildlife habitat while enhancing residents’ views and personal privacy. • Homes are carefully sited to harmonize with their woodland, pond and golf course settings. Often a combination of these. • Roads follow, rather than alter, the natural contours of the valleys and hills—a practice that also nicely calms traffic.
REAL ESTATE P9
BOIDUS FOCUS JANUARY 2015
THE REAL ESTATE ADVANTAGE-
What to Expect in Real Estate in 2015
The general economy is well on its way to recovery but it is yet to rise past a level of sensitivity and instability. Europe still remains quite fragile with uncertainty on sustainable growth. Emerging market economies are more promising in 2015, especially in Sub-Saharan Africa, which is great news for Botswana. Bringing it home, Botswana has been recovering steadily since 2013, with GDP estimated growth of 5.4% from 4.2% in 2012. It is expected that growth trends of around 5% will continue in 2015. Towards the end of 2014 we saw different financing institutions changing their property lending requirements and lending in order to combat a perceived fall in real estate prices. There has been plenty of talk around liquidity in the banks being dried up and consequently banks have become more conservative in their lending.
ready started with the expansion of Game City; their tenant retention and attraction strategy would require creativity and gut. Demand in residential housing coupled with the stagnant household income requires that the cost of infrastructure finds viable and sustainable solutions. There is great opportunity for private investors and government to partner in creating infrastructure solutions. It would be interesting to see what the established infrastructure funds such as BPOPF are going to embark on. Hopefully, the solutions that are created will relieve much
of the pressure on the delivery of infrastructure, not only in Gaborone but also in the key geographies of the country such as Selibe Phikwe, Francistown and Kasane. Selibe Phikwe has received a lot of attention in 2014 with discussions of advancing projects that will generate economic activity within that region. The expectation is that as the various projects gain momentum there will be opportunity for sustainable property investments. Francistown has truly become the hub for mining with more than 10 mines within a 50 km radius and a focused national level effort should be able to create enough momentum for sustainable economic activity, sufficient for long term property investment. Kasane has exciting times ahead of it with the Botswana Tourism board and the local authorities working together for the creation of a deliberate development plan that will nurture tourism activities along the Chobe River.
A successful execution of these plans will result in extensive development opportunities; however, the property lending environment may prove to challenge growth in this sector. At the end of the day, viability is essential. For the international investor, there are many Africa Property Funds that have gone over their incubation stages and can now illustrate a tracked performance. We can now choose which one is worth investing in so that we can also get a piece of Africa’s double digit returns. We look forward to a population more informed in real estate and the creation of real estate products that are suitable for the Botswana Market in expected income and ultimate returns. In 2015, be deliberate and take advantage of the opportunities in real estate. Sethebe Manake info@vantagepropertiesbw.com Š vantage Properties
Affordable housing has been topical and the fundamental obstacle has been the availability of infrastructure that aids the development of affordable housing. So in short:
Now the important factors as we look forward to 2015 are the niche opportunities and challenges that are presented. Finding a way to make the most of these factors may be the key to success, as far as real estate is concerned, in the coming year. The increase in mortgage interest rates means that the cost of financing new developments and acquisitions has gone up without affecting the cost of financing for property investors who have already acquired or developed their properties. This may contribute to slowing down development in major developments such as Gaborone’s new CBD, giving the demand time to catch up or at least make up some lag on the recently growing supply. The requirement of 10% - 20% deposits for property finance is improving the culture of accountability in investment and encouraging a more planned strategy for property investment, particularly for residential property. This means that prior to one approaching the bank for financing they would have truly assessed the viability of the project and invested sufficiently enough for a better level of commitment.
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The stagnating of household income requires a change in strategy for successful real estate investment. What one hopes to see in 2015 is more creative investment products and structures that meet the demand and the affordability levels prevailing in the current market. Listed Property companies have performed fairly well and have been true to the delivery of dividends to the shareholders. In 2015 it would be interesting to see the strategies they will implement to sustain these returns. Turnstar has al-
P O Box 2342,Gaborone. Tel/Fax: (267) 392 2911. Email: info@hoistings.co.bw
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1. Mortgage interest rates have gone up to the range of between Prime +2 to Prime +6/7 2. There is a greater requirement for deposits 3. Household income has been stagnant for a long time 4. Listed Property companies on the BSE continue to produce good returns 5. Demand in Residential housing continues to grow
GUEST COLUMNIST P10
BOIDUS FOCUS JANUARY 2015
Lifestylenoted:
New Year, New Ideas By Keshia Mogopa, Interior Designer
Every year when January rolls around you vow to lose weight, save money or spend more time with family and friends.
Cover your walls! Dress-up your walls this year with a fantastic wallpaper to brighten up your living room, bedroom or even your home office. There is always a wide variety to choose from depending on your lifestyle. You can never go wrong with colourful, geometrical and natural wallpapers! The usage of natural patterns and grass cloths will help you to bring a ‘natural’ feel inside the room and create a soothing atmosphere in your home. Organic textures are available in so many colour varities. You can choose one according to your expectations. You can always introduce the antique patterns sparkling with metallic layers and iridescent colour tones.
However, lets not forget that sometimes finding the right balance in life is through creating a comfortable personal space. Having a home that inspires and reflects your lifestyle is one way of creating a better year. Keep things fresh; Design should live and breathe. Rooms should be refreshed occasionally—replace throw pillows in a new splash of colour, apply a lively paint finish, add lampshades in a modern shape and simply rearrange the existing accessories.
Look on the Outside! Just because its outside doesn’t mean it has to be ugly! Clean up the outdoor area and add a little bit of colour with beautiful flowers, a big statement chair and a rug on the terrace. It’s always great to keep the outside as beautiful as the inside.
In the spirit of new beginnings, here are a few home improvement resolutions for the new year.
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Add Personality! Do you ever walk into a space and immediately realize how much it reflects its inhabitant? Adding personal touches to your interior design and decor makes your living spaces feel like home and enhance comfort while showcasing your individuality and style. Add pieces and accessories that tell a story. These may be pieces that you have collected during your travel, from thrift shops, etc. It does not have to be expensive and over the top for it to look good. Hand made cushions, antique pieces, postal cards, framed photographs and vision boards add a personal touch to the room.
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Fireplaces, Kitchen cabinetry
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Dress-Up your table! Otherwise known as the heart of a living room, making your coffee table a focal point for your room and treating it as such will bring a little bit of glamour to an often neglected flat surface. If you love entertaining, give your guests something to talk about. Adding fun or eye-catching items will act as conversation starter. A stack of coffee table books always looks great and gives guests something to look at while getting to know your interests a little better. You can also keep it simple and complete the look with a bouquet of flowers.
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FEATURE / GUEST COLUMNIST P11
BOIDUS FOCUS JANUARY 2015
Botswana Demand for Urban Designers on the rise By Keeletsang P. Dipheko & Kibo Ngowi
“Urban design therefore developed to address the midscale by weaving together the micro and macro scales and giving places form, shape, and character to groups of buildings up to whole neighbourhoods and the city. It establishes general guidelines such as setbacks, heights and other rules that govern how buildings relate to one another,” Moalafi concludes. Leta Mosienyane
Peter Moalafi
Continued from the FRONT PAGE
cities and towns, a process which involves designing and arranging buildings, transport networks, public spaces and service systems. “As a profession, urban design’s most unique competency is a wide understanding of how cities work, which encompasses many areas of knowledge such as economics, construction, planning and environment, amongst others,” says Ndaba. “It’s a unique set of skills which moves one’s state of mind from making spaces to making meaningful spaces.” Peter Moalafi, one of only a handful of urban designers in Botswana, explains that urban design emerged as the mid-level between other spatial development professions which tend to operate at either the macro or micro
Eugene Ndaba
Ndaba explains that the demand for urban
level. For instance, planners operate on the macro-scale, planning large zones from 1km above ground and there is no room for detail when one has to plan for 100 plots on an A3 size paper. On the other end of the spectrum you have architects who operate on the micro-scale focusing on the individual plots on which a client has tasked them to design a single building or block of buildings. “Now when the individual passes through areas created by these two approaches, chances are he will experience an inconsistent character and a feeling of being left out as there are no places to rest along the way between the private developments,” says Moalafi. “At times he may even get lost with no identifiable landmarks to guide him.” This is the gap that urban design emerged to fill.
CELL PHONES - The Most Dangerous Driving Distraction By Alan David-Andersen, Risk Management Consultant, BIC eating and drinking at the wheel remained the biggest distraction for drivers, SMSing, speaking, updating Facebook and sending tweets on a mobile device while driving were among the top ten most common dangerous distractions for many motorists. According to the second study, by the Virginia Tech Transportation Institute and National Highway Traffic Safety Administration in the US, using mobile devices trumped all other potential distractions, including talking to passengers, tinkering with dashboard controls, eating, smoking, and applying make-up. A new survey has revealed that four out of the top 10 driving distractions that could cause motorists to have an accident are related to using a mobile device at the wheel. Another study lists the use of handheld devices, such as cellphones, as the number one driver distraction. The first survey, conducted by UK-based website MoneySupermarket.com, showed that although
designers is currently on the rise because the Town and Country Planning (TCP) Act of 2013 has decentralised services, meaning councils are now required to create their own plans rather than relying on DTRP. This comes with the awareness on the part of councils that they need to create places instead of just spaces for development, which means there is need for more urban designers and that the demand on the public sector will also increase. p15
What’s more, according to a survey conducted by the AAA Foundation for Traffic Safety in the US, motorists who used cellphones while driving were more likely to engage in additional dangerous behaviors such as speeding, driving drowsy and driving without a seatbelt. In South Africa, the Automobile Association recently counted 2500 cars during a morning rush hour to find that 7.2 percent of the drivers were
on their phones. The Road Traffic Management Corporation says that drivers who use hand-held devices are four times more likely to get into accidents serious enough to injure themselves. Using a cellphone while driving is also considered six times more dangerous than driving while under the influence of alcohol.
mised when they use a phone while driving. This includes driving slower than normal, driving haphazardly, and taking too long to brake. • Whether you are on a call or sending a SMS, you are distracted by the conversation which means your mind is not on driving safely. A Carnegie Mellon University Study found that merely listening to somebody speak on a phone causes a 37 percent drop in activity in the parietal lobe where spatial tasks are managed. Ideally drivers should turn off all alerts on their phones when they get into the car to remove the temptation of opening, reading and responding to text messages, emails and notifications from social media platforms like Twitter and Facebook.
There are a number of factors: • When you hold a phone in front of your eyes, you are not watching the road before you. Your eyes are cast down at the screen, off the road, and you are unaware of what is happening around you while you concentrate on your phone. • When you are holding your phone to SMS or conduct a call, it means at least one of your hands is not on the steering wheel. Your ability to steer your car, take corners and react to obstacles, road signs or other cars on the road is dangerously impaired. Studies have shown that driver reaction times are compro-
The bottom line is avoid making phone calls while you are driving and if you must, use a hands-free kit or pull over somewhere safe, like a petrol station, to make the call. Unless you have a hands-free kit, do not answer calls either. You should put your phone out of view and ear shot whenever you are behind the wheel of your car. Sadly we see bus drivers talking on their cell phones while driving a bus load of people. Make an effort to see how many people drive and use their cellphones and you will be worryingly surprised. Normally it is someone driving slowly who is totally unaware of your existence.
HOME IMPROVEMENT P12
BOIDUS FOCUS JANUARY 2015
DIY Projects - How to Install a New Window
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[Source: diynetwork.com] Step 1: Remove Window Trim and Casing
The first thing to do is to use a prybar to remove the window trim and jamb extension from around the old window. The jam extension is just a piece of wood that’s been ripped down and attached to the window jamb to bring it even with the wall.
Window Opening
With the window out of the wall, inspect the condition of the window jamb to make sure there is no structural damage. It’s not uncommon for an old window to leak, rotting out the jamb. If there is damage, you will have to replace or repair the damaged areas of the jamb before moving forward. Also, you will need to measure your rough opening to make sure that it can accommodate your new window. The rough opening should be 1/4” to 3/8” larger than the exterior dimensions of the new window.
Step 4: Inspect/Replace Window Stop Step 2: Remove Old Window/ Guide Track
Unscrew the window from the jamb and remove it. Take care not to break the glass while removing. Many windows will be multiple window sashes with moving tracks on the side. Those types of windows may be easier to remove one sash at a time.
Step 3: Prep/Repair New
The window stop is a piece of wood ripped down and placed around the exterior side of the window jamb. The function of the stop is to prevent the window from sliding out of the opening. It literally stops the window from moving. It’s very likely that the original stop is still in useable condition, but if it is damaged, you may need to repair or replace this as well.
Step 5: Dry Fit Window
Before applying the silicone to the the window stop, dry fit the window to make sure there are no fitment issues. If you do have fitment issues, address them now and then dry fit the window again. When done properly the window should fit snugly into the opening. Do not move forward with the install until you are satisfied with the way the window fits in the opening.
and Trim Molding
Step 6: Install Window
The actual install of the window is very simple. First, run a bead of silicone on the inside edge of the window stop (Image 1) and then slide the window into place (Image 2). Place a level across the top of the window and press cedar shims between the bottom of the window frame and the jamb as necessary to get the window sitting level (Image 3). The window will usually come with its own hardware packet, typically consisting of four screws that will go through the sides of the unit to anchor it to the jamb. Two screws should be put into each side of the window, one near the top and the other near the bottom (Image 4). There will be pre-drilled holes in the window frame for the screws.
Step 7: Add Insulation
There may be gaps around the original window frame the wall studs, and this is the perfect opportunity to insulate those areas better. For larger gaps, cut pieces of roll insulation and pack them into the gaps. For harder to reach spots, you can use expanding spray insulation foam.
Pick a style of molding that fits your home’s decor and create a frame around the window. Measure the length of each piece and use a miter saw to cut the trim to the appropriate length. Make your cuts on 45-degree angles so the trim will fit together with a nice picture-frame look. Attach the trim to the wall with finish nails. You may also need to add thin strips of wood trim (a jamb extension, see Step 1) inside the original window frame to cover the gap between the new window and the drywall. TIP: At first, use only enough nails to hold the trim to the wall until you’ve successfully lined up all four sides of the frame. Once you’ve achieved the proper fit and you’re sure the trim will not require additional adjustments to fit, you can go back and add more finish nails, every 6 to 8 inches. Any slight gaps in the corners can be filled in with silicone before painting.
Step 9: Paint and Add Finishing Touches
Step 8: Add Extension Jambs
The final step is to finish off the window framing by filling any nail holes with stainable/paintable wood putty and painting or staining the trim moulding around the window for a finished look.
ADVERTISING P13
BOIDUS FOCUS JANUARY 2015
10 February 2015
January
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MAUN CAMPUS Plot 394, Mabudutsana Ward, corner of Moremi 3 Road and Mogalakwe Road, Maun Email: maun.campus@baisago.co.bw Tel.: (+267) 6867021 • Fax: (+267) 6867021
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ADVERTISING P14
BOIDUS FOCUS JANUARY 2015
limited number of Government Sponsored seats available.
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Occupational Health & Safety
There is no doubt that there is a continuing importance of workplace Health & Safety in every organisation, hence the great need for people who have a better understanding of Health, & Safety and welfare of people engaged in work or employment.BA ISAGO University College invites you to come and register for their BQA registered and government sponsored Diploma in Occupational Health & Safety. Employment Opportunities The programme is aimed, principally, at providing the labour market with graduates who can operate as independent consultants, or be employed fulltime in both the public and private sectors as; • • • • • • •
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Entry Requirements 1.1 Candidates must have obtained at least four (4) Credits at BGCSE (or equivalent) including a pass in Sciences and English language. OR 1.2 Candidates must have completed a certificate in Occupational Health and Safety from BQA registered institution or its equivalent. OR 1.3 Special Entry: Candidates who do not have minimum academic qualifications stated above but have a minimum of two years relevant work experience will be considered. Recognition of Prior Learning (RPL) may be used as an instrument for further assessment of mature-age entry candidates.
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GABORONE CAMPUS Plot 54831, Block 7, Corner of Western Bypass (Motsete Road and Mogoditshane Road), Gaborone Tel.: (+267) 3957744 • Fax: (+267) 3957709 Email: gaborone.campus@baisago.co.bw
MAUN CAMPUS Plot 394, Mabudutsana Ward, corner of Moremi 3 Road and Mogalakwe Road, Maun Tel.: (+267) 6867021 • Fax: (+267) 6867021 Email: maun.campus@baisago.co.bw
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FRANCISTOWN CAMPUS Haskins Building, Plot 1602/3, Off Sam Nujoma Road, Light Industrial Site, Francistown Tel.: (+267) 2418780 • Fax: (+267) 2418778 Email: francistown.campus@baisago.co.bw
FEATURE P15
BOIDUS FOCUS JANUARY 2015
Botswana Demand for Urban Designers on the rise: By Keeletsang P. Dipheko and Kibo Ngowi
Continued from PAGE 11 “There is a need to train more urban designers and strategically introduce them in Government planning institutions such as Councils, DTRP and Ministry of Lands and Housing,” says Moalafi. Moalafi explains that government has a lot to gain from hiring more urban designers, even more so than the private sector, because a typical place to live and work influenced by urban design would have identifiable neighbourhoods, unique architecture, aesthetically pleasing public spaces and vistas, identifiable landmarks and focal points. Overall it would have a human element established by compatible scales of development and ongoing public stewardship. A strong education base for urban design needs to be created within the country, says Ndaba: “It is necessary for local (tertiary) institutions to start incorporating urban design into their curriculum, particularly because urban design is a new type of thinking and with the current demand it is more convenient for people to study here instead of going abroad.” In order to operate as a professional urban designer one needs to have completed a Masters in Urban Design after attaining a Bachelors Degree in Architecture, Planning or Landscape Architecture. However, there is currently no professional body that prescribes which skills are needed in the Masters Degree curriculum.
“Urban design adds value to the planning of our cities because it’s multifaceted; it affects the environmental, social and economic value of our urban centres,” explains Ndaba. “The economic value produces high investment on returns as developments can attract higher rentals and it also increases the capital value of development; in the long run it reduces market cost and encourages a content and productive workforce.”
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According to Mosienyane, the urban designer must possess the following important competencies: • The ability to evaluate natural environmental processes and related settlement pressures in order to determine and stipulate appropriate policies, processes, guidelines and land uses, land capacity and development impacts. • An understanding of social and economic urban systems and dynamics. • An understanding of urban structure, linkages and operations in order to fully assess urban efficiency, sustainability, convenience, comfort, identity and their impact on urban form. • The ability to synthesise the complexity of all aspects of urban design assessment, policy, proposals and processes and present these coherently to stakeholders and clients. • Graphic and spatial analytic, presentation and communication skills. • The ability to respect, understand and communicate effectively with a wide range of clients, communities and colleagues in order to ensure meaningful and relevant involvement in urban design processes and outcomes. Ndaba highlights the Fairscape Precinct as an example of the positive impact of urban design principles being implemented in Gaborone. “The new Fairscape development is quite a welcome development; there was an urban design scheme for it and it has started to add value to our city; it’s a landmark which is well situated because if you are entering the country from the Tlokweng border you are welcomed by it. It is also a green building which is meant to reduce energy costs and mitigate the harmful impact on the environment; this is the area where urban design will benefit the city.”
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“The art of urban design lies in shaping the interaction between people and places, environment and urban form, nature and built fabric, and influencing processes that lead to the development of successful cities, towns and villages,” says Leta Mosienyane, an architect, arbitrator and urban designer who is the author of the Revised Gaborone City Development Plan.
INTERNATIONAL NEWS P16
BOIDUS FOCUS JANUARY 2015
South Africa Construction Market to be Boosted by
10-15 year New City Project in Modderfontein Source: sacommercialpropnews.co.za
The transaction to purchase the property was one of the single largest foreign investments ever in South Africa. Shanghai Zendai is a Hong Kong listed investment company that develops and manages property projects in northern China, Shanghai City and Hainan province and hopes that the Modderfontein project will create a new hub for Chinese firms looking to invest in sub-Saharan Africa.
The South African construction market is to be boosted by a new 10-15 year project funded by Chinese company, Shanghai Zendai, to build a new city in Modderfontein in eastern Johannesburg. Once complete, the city will include 35,000 new houses, an education centre, a hospital, and a sports stadium and will house around 100,000 residents.
Chinese firm Shanghai Zendai bought the 1,600 hectare plot of land back in November 2013 for R1.06 billion from South African chemical and explosive company AECI and has plans to develop the site into a world financial centre to rival New York City and Hong Kong. The project is forecast to take around 15 years to complete and will provide jobs for local contractors, engineers
and other workers in its construction, as well as 100,000 jobs in the new services available upon completion. The new city site is located on the Gautrain route between the OR Tambo International Airport and the central business district of Sandton in eastern Johannesburg, and will soon include a new Modderfontein station to enable easy access.
South Africa is the second largest economy on the African continent and the construction sector is set for a boost due to the South African government’s National Infrastructure Plan which focuses investment in energy, transportation, telecommunication and housing sectors. The construction sector experienced a major boost in 2010 when South Africa hosted the Fifa World Cup, but the economic downturn caused a slow down of growth. Recent government focus on infrastructure development has seen a rapid urbanisation in the country and the project at Modderfontein illustrates the significant influence of foreign investment. Foreign investment is one way by which the South African construction industry is overcoming the challenge of cost overruns that many domestic companies face due to the unavailability of funds, the time-consuming roll out of labour, labour unrest, and major project delays. Key players in the South African construction market should be aware of the upcoming trend towards ‘green’ buildings. In an effort to promote sustainable development, construction companies are increasingly focusing on developing energy-efficient buildings and sustainable construction solutions.
Gauteng to build
three new Cities Source: sacommercialpropnews.co.za
"With regard to building new human settlements and new cities, we have now completed a plan in conjunction with municipalities on where we are going to build new mega human settlements over the next five years. This Gauteng Human Settlement Plan will direct investments in bulk infrastructure and will also shape our public transport and economic development plans," says Gauteng Premier David Makhura. Makhura explained that the decision to create metros, and to do away with smaller municipalities, was meant to eliminate administrative and bureaucratic obstacles to investment...’
EDITOR’S NOTE / FEATURE P17
BOIDUS FOCUS JANUARY 2015
EDITORS NOTE
A YEAR TO VISION 2016; WHAT IS THE STATE OF OUR BUILT ENVIRONMENT? By H. Killion Mokwete, RIBA Chartered Architect I welcome our readers to the new season and the start of the last year before we reach the year of Botswana’s Vision 2016. This vision, formulated through nationwide consultations, set out broad aspirations under the theme ‘Towards prosperity for all’ which also focuses on the prosperity and success of our built environment. Through the national development plans, Botswana sets itself goals to achieve as a critical path to attaining the vision. In the NDP 10, infrastructure development forms a key part of the goal defined as to achieve; ‘a well developed and reliable system of infrastructure and utilities’. As we embark on the last year before the vision we need to reflect on the state of the built environment in Botswana by assessing some the key sectors within the field such as Construction, Property & Real estate, Education & Professionals, Natural Environment, and Human Settlements (rural and urban). Construction – The state of the construction industry remains in limbo after the devastating recession of 2008. Botswana’s indigenous construction companies have been dramatically reduced and industry professionals, especially in architecture, are still not confidently growing due to limited work opportunities amid the government projects freeze. Both BOCCIM and
AAB have in the past engaged government to create interventions to boost the sector such as mega projects unbundling and a bailout package but to no avail. Property – The State of the Property Market is a mixed bag of good and notso-good news as we head towards 2016. The private sector has stepped up to play a key role in building development, as can be seen with the Gaborone CBD Development and various other commercial developments across the country. However, other development segments such as housing, especially affordable housing, remain neglected. The cost of construction and thus property prices are so high that most Batswana can only dream about owning their own homes and the prices are still rising while incomes remain largely stagnant. Professional Regulation – The most ambitious step so far is the professionalization of Botswana’s construction industry. The imminent formation of the Construction Industry Regulator will ensure that after 2016 the industry is properly run by people of integrity and that there are accountability measures in place. Once this is up and running Botswana construction industry professionals can rightfully claim the recognition they deserve, both locally and regionally.
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Sustainability in the Built Environment in Botswana By H. Killion Mokwete
Botswana Sustainability Context Botswana’s environment has a lot of challenges ranging from lack of frequent rainfall to dry farming-unfriendly soils but these obstacles can also be seen as opportunities. Solar Energy - Botswana as a semi arid country has one of the one the best solar exposures with at least 320 clear, sunny days per year. With the approximate technology and expertise, this environmental phenomenon can be turned into a huge resource for the country by harvesting solar energy and producing green energy that is easily renewable. Rainfall - Water shortage is perhaps the most critical, with rainfall levels reducing each year while ground water reserves have also seen increased pressure. With smart technology and expertise, grey water harvesting and surface water catchment can be tapped into to solve our water problems. Our open surface water damns lose tremendous amounts of water every year and
this can be reversed where expertise and knowledge of sustainable practices are available. Building sustainability - The past 5 years has seen the whole national development budget going towards maintenance. Although this was long overdue, what we missed was an opportunity to conduct a thorough audit on our existing public building stock to ensure energy efficiency as we maintain them. 21st century buildings must be environmentally friendly, consume less energy and strive to be self-sufficient in both water and solar harvesting. All and more of the above context and more issues require that we develop appropriate knowledge base in areas of sustainable building. Local Universities especially need to be responsive to modern challenges and opportunities of our communities. Sustainability is one such challenge that threatens our future generations and both University and Botswana, BIUST and other local private Universities need to develop solutions rather to respond these challenges.
Education in Sustainability Adapted from; UNSW - The Australian School of Architecture and Design / The Future is Now; By Don Geis and Tammy Kutzmark / UK Green Building Council The built environment is the physical expression of economic and social development of society. Creating sustainable built environments that satisfy environmental, social and economic objectives are widely accepted in principle, and a degree of understanding about sustainability has developed in many countries. There is a growing body of principles and techniques to do this in relation to the built environment, and still a lot to learn. Education for sustainability is about empowering professionals to take on the challenge, it is transformative rather than just transmissive, it is holistic and seeks critical thinking. The task begins with ways of thinking as well as considering the differing value systems and cultures that influence the ways communities shape their built environments. Role of the Built Environment in Sustainability The built environment is the infrastructure, civic and service centers, parks and planned open spaces, neighborhoods, landmarks, roads and walkways, and all those public and private places that compose the community and constitute a critical frontier. It is necessary to understand the interactive relationship between people and the built environment and to unite these two elements in a way that optimizes each. The actual physical medium through which sustainable communities are realized is in fact the built environment. An integral relationship exists between how a community is planned and developed--its form, configuration, and use--and its capacity to meet its social, environmental, and economic needs. Community form, which represents the needs and priorities of the community, directly influences community capacity to sustain itself into the future. (Developing Sustainable Communities: The process for planning and developing a community--how the components and systems of its built environment are created, shaped, and managed-greatly influences the goals that the community can achieve. The planning and development process is an invaluable resource, one that has been vastly underused in the past. Above all, it is a management tool with great potential to aid communi-
ties in achieving their goals. This process is guided by local decision making and policy creation and implemented through the tools of the planning development process--development guidelines, comprehensive planning, capital budgeting, zoning, subdivision regulations, and building codes. Local governments make decisions every day, based on the needs and priorities of their communities. Nearly every decision and resulting action at this level affects community form and in turn the community’s capacity to serve complex and growing needs.
This integral relationship, as well as how the planning and development process figures in that relationship, gives rise to certain critical planning considerations. Among the numerous components and systems that must be considered during this process are: size, scale, height, and density of buildings and infrastructure; ecological considerations like flood zones and indigenous species; meteorological considerations like rainfall and high winds; the role of neighborhoods within the community; arrangement and mix of activities, land uses, developed versus open spaces and public versus private spaces; visual relationships among landmarks, streets, buildings, and other elements of the built form; presence, location, and vitality of community facilities and service centers; public transportation and pedestrian systems; the relationship among urban, suburban, and rural surroundings; and the cohesion of the region in which the community fits. Broad Learning Outcomes of a Sustainability graduate can include; • having a good understanding of what sustainability means, what drives it and how it impacts the built environment. • recognise relevant national and international policy, legislation and governance issues, and expected future direction. • understand the latest evidence and thinking on climate change, energy, water, pollution, waste, biodiversity and efficient use of materials within the built environment. • appreciate how businesses are changing in order to address sustainability and explore the risks and opportunities this can bring.
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The balance of negotiating power is now more even between landlords and tenants. Prime rents settled at P110 per sq m per month though lease
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Botswana’s Architecture Design and Urban Landscape Newspaper | D E C EM B E R 2 0 1 3 www.boidus.co.bw
NEWS | page 02
SUSTAINABILITY | page 04
Icowork officially opens; a new concept for workspace in Botswana
Government to Promote Introduction of Residential Development into the CBD
CLASSIFIEDS | page 11
PROF. PRACTICE | pages 18
Profile: Botswana’s Leading Building Material Suppliers
Defective Materials and Workmanship in Construction ProjBOIDUS FEATURE > ects - How to protect yourself?
| Volume 4, Issue 8 | SEPTEMBER 2014
08
How F/town City Can Exploit PPPs for Infrastructure Development
Lifestylenoted: Man Cave Design Therapy
2013 End of Year Review - Botswana Property and Construction Industry
BOIDUS EXCLUSIVE >
22
China or Local - Where to buy your building materials
BOIDUS FEATURE >
Building and Construction in 2014: The Good, the Bad and the Ugly
BOIDUS EXCLUSIVE >
by Keeletsang Dipheko & Kibo Ngowi
Can Botswana Grow its Glass Production Industry?
Affordable Housing MarketUnchartered Territory
by Kibo Ngowi
FNB Botswana takes the lead and brings together industry stakeholders to a desktop discussion to explore opportunities of unlocking the afford-
Imbalances are appearing, markets are distorted
• Danger of over investment • Leads to falling rental yields and poor returns for investors • Knock on impact on banks • Inadequate supply of affordable housing • unbalanced lending - too much lending for retail and commercial property, not enough for residential
Infrastructure Development Opportunities in the Construction Industry Still Unexplored
Plans are advanced for the setting up of an Industry Construction Regulator spearheaded by BOCCIM, MIST and Local Professionals Associations. The long awaited Botswana Construction Industry Act (BICA) will user amongst other things: ‘Registration and regulation of all Contractors operating in Botswana’s Construction Industry’
Botswana’s Institutional Investors Called to Invest Capital in Local Infrastructure Development • Infrastructure in Road Networks • Energy - Coal power plants Alternative energy systems • Water - Dredging Existing Damns • Housing - Affordable housing infrastructure and research >>> CONTINUED PAGE 08
CORPORATE PROFILE Botswana’s Only Financial Hub Office Park National Exhibition Centre Finance Education Centres Urban Lifestyle
BOIDUS EXCLUSIVE > 1 Gaborone Fairgrounds Office Park Corporate Profile
07
& Shopping Botswana’s Commercial Only Financial Hub Tourist & OutdoorOffice Destinations Park Hotel & Accomodation National Exhibition Centre Finance Education Centres Urban Lifestyle Commercial & Shopping Tourist & Outdoor Destinations Hotel & Accomodation
The Real Estate AdvantageAfrican Time
08
| Volume 4, Issue 10 |NOVEMBER 2014
API Summit Special Feature
12
Lifestylenoted: Save Money, Save the Planet, Design Smart
20
able housing market which remains unexplored. Boidus Media participated in the event as a facilitator. >>> CONTINUED PAGE 04
glass supplier in Botswana shares his insight on the country’s glass market and its prospects for the future.
The past year has been an interesting one for the building and construction industry with plenty of headline grabbing stories to keep tongues wagging.
The Drive to Position Francistown as a Centre of Investment
The New Revised Development Control Code 2013 by Boidus Admin
Finally, the long awaited Development Control Code 2013 [DCC] has come into effect as of November 2013. In development terms this is a big leap in advancing the terms that guide every development in the country. The DCC is the guiding document that regulates, land use activity, planning and planning applications. It is a critical
In recent years Botswana has seen a growing trend of local consumers turning east for their building material needs to Chinese suppliers and this development has not been without controversy. Boidus Focus speaks to suppliers and regulators in an effort to find out what buyers need to keep in mind when choosing between local or Chinese materials.
element that has a binding effect on all development environments in all planning gazette areas. Boidus Focus will serialize and discuss the new Code in the next three issues to make it more accessible and appreciated by the building industry.
CONTINUED PAGES 03, 16
>>> CONTINUED PAGE 15
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Botswana’s Architecture Design and Urban Landscape Newspaper | S E P T 2 0 1 3 NEWS | page 02
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EDITORIAL | page 05
Global Design Giant, AECOM Completes Takeover of DAVIS
Are Property Valuers influenced by Borrowers and Lenders?
Langdon Botswana’s Architecture Design and Urban Landscape Newspaper | J UBotswana NE 2013 NEWS | page 02
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EDITORIAL | page 04
Letlole Larona Breaks Ground at the Kromberg and Schubert Botswana (Pty) Plant
SUSTAINABILITY | page 06
Government to Promote IntroHow ready is Botswana for duction of Residential DevelopInevitable BOIDUS EXCLUSIVE the FEATURE > Change towards ment into the CBD Global Decarbonisation targets?
PROF PRACTICE | pages 16
FINANCING | page 18
It’s Time to Envision A Better Barclays Bond Switching Built Detroit. Are Architects Campaign: Boidus Speaks to Ready? BarclaysArchitecture Home Loans Manager Botswana’s design NEWS | page 02
EDUCATION | pages 15
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Guide to School Programmes: 2013 Built Environment Careers Guide
Botswana’s Property Outper-
BOIDUS EXCLUSIVE >
& Urban Landscape Newspaper | M A R C H 2 0 1 3
BUILDINGS | page 06
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A Luta Continua on the Land Question Airport Roof Gone with the Wind
The Idea of Eco Cities: Need for harmony between policy and green initiatives
HOUSING | page 16 Buy or Build a new Home: The Pros and Cons
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Event Feature: State of our Citiesforms Equity (DCI), Bonds CBD Executive Seminar Event(BBI) - IPD 2012
BOIDUS EXCLUSIVE FEATURE >
BOIDUS EXCLUSIVE >
Bringing together key CBD stakeholders such as landowners and developers to engage on issues that affect their developments and investment The IPD
by HK Mokwete
BDC FAIRSCAPE PRECINCT, The Realm of Splendor - Live, Work & Play With Breath taking Views Kazungula Bridge - The Gateway To African Mainland The final piece of the ‘trans-Kalahari’ corridor
Red East Construction: Award Winning Chinese Contractor
by Boidus Admin Underlying all of the engineering ingenuity, bridges play a critical role in bringing trade hubs, communities and other trade benefits to communities. In Kazungula, the Ferry, which used to play the mobile bridging element, might be seeing the last of its heroic days. Plagued with problems such as delays of up to days especially in rainy season, accidents and others, the bridging of
by Kibo Ngowi / H. Killion Mokwete Boidus Focus sat down with the Managing Director of Red East Construction, a Subsidiary of the Zhengtai Group Mr
company apart from its counterparts and defied the perception of poor construction workmanship as a uniquely
Zhu Dexiang to try and understand what has set this Chinese construction
Chinese problem. >>> CONTINUED PAGE 07
Birds-eye view
Government to Promote Introduction of Residential Development into the CBD
Top: Guests and delegates at the CBD Event Bottom: Architect and Urban Designer Jo Noero from Noero Architects and University of Cape Town Right: Hon. Assistant Minister of Trade and Industry, Keletso J. Rakhudu, officially opening the event
The Boidus Media, State of our CitiesCBD Executive Seminar recently held at Masa Centre was by any measure a resounding success. The Seminar event brought together for the first time ever in Botswana, key stakeholders of the New CBD development such as investors, development owners, government, industry champions
and the public in sharing of ideas and opportunities about our upcoming CBD. Envisaged as the future heart of Gaborone City, the CBD is slowly taking shape and the seminar sought to make it a centre stage focus of discussions and professional deliberations. In this Boidus Focus Special, find event abstracts:
As you reflect on the ‘challenges and opportunities’ of developing a CBD, I would like to encourage all of you to think of this as what our generation will be remembered for having done, not only for this City, but for the nation, albeit through the toughest times. Assistant Min. of Trade & Industry, Hon. Keletso J. Rakhudu
Extract Seminar Paper PresentationOthata by Jobe Ofetotse, DTRP Batsetswe: FinMark
Stan Garrun: Executive Director & Head of South Africa, IPD
Botswanafailings of the CBD concept SouthbutAfrica more Introduction challenging to come up with solutions Thank you to the organizers for inviting identified. important 17.9% where problems have been10.4% That is what we hope the seminar will concentrate upon.
2,850.2 Capital In organizing it, BOIDUS have directly (BWP million) All Property From responded to our concern that it is easy
>>> CONTINUED PAGES 08, 13, 18
to be critical and identify perceived
Botswana’s Property Index for year
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(ZARmillion) a DTRP standpoint, the forum 1BWP :PAGE 1.18ZAR >>> CONTINUED 04
in Africa region (South Africa) in col-
2012 released by IPD indicate a slight lating of a Property Index P500 by IPD, the (FOR BOTH DAYS) June 21-22 leading provider of worldwide critical University of Botswana healthy 17.9% The figures is a fall from business intelligence, including analast year’s return of 20.9%. Botswana lytical services, indices and market inP300 IDEAS EXPO BOTSWANA is an event designed to combine the best ofjoined creativity, business and technology recently the only other country formation, to the real estate industry. *PRICE PER DAY FOR INDIVIDUALS OR PAY in which participants are invited to give talks, do demonstrations, and show their work. P500 FOR BOTH DAYS.
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Interactive session for learning and networks.
Dr Keith Jefferis: EConsult Botswana
by Boidus Admin
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A Successful CBD represents among other things; • A success CBD Image of the city and the country • Generation of the country’s prosperity • Successful partnership between the Government & PVT sector Dimitri Kokinos: Portfolio Structuring Manager (Stanlib)
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IPD produces more than 120 indices, as well as almost 600 portfolio benchmarks, across 32 countries enabling real estate market transparency and performance comparisons. >>> CONTINUED PAGE 04
the mighty Chobe River’s 400m width will soon be an issue of the past. The new proposed bridge will not only connect communities on both side of the Chobe and Botswana and Zambia but also open a corridor of trade and goods services to the heart of Africa. The bridge will complete the missing part in the so called ‘trans-Kalahari’ corridor. >>> CONTINUED PAGE 07
Government & Private Sector Sorting Out Construction
MIST, BOCCIM & Industry Professional Task Force
Public Piazza
With stakes high in Botswana ofviews from across the City. Boidus reality in one area. ficeby market, was recently given exclusive tour of KiboBotswana Ngowi Development Corporation’s Fairscape Precinct is the construction site to experience The Iconic tower which has been set After to raise the bar what reports quality and hand this exciting project as it slowly the skylinesuch of asfirst more thanof four nu-emerging sionaloff Associations AAB, ABCON, office space attempts is by delivering an Abecomes reality. Fairgrounds is setting unmissable merous by international conBIDP, BIE, TBBA, and other stakeholders grade mixed use development which view of a gleaming honey comb sultants to formulate and implement are laying out the foundation to what will will see work, play and live become >>> CONTINUED PAGES 08, 13 lattice structure with unparalleled
regulatory standards for our ailing construction industry over the space of 20
be Botswana’s CI Regulator. The all powerful body will have authority and over-
years, the drive to put real action into solving the industry’s underlying prob-
reaching powers over all that is construction across both government and private
lems be gaining momentum. A task force headed by MIST, through Deputy PSP, Ulf Sodderstrom, BOCCIM, Profes-
construction activities.
Disentangling the Web – A Look at Infrastructure Project Management
BOIDUS EXCLUSIVE >
FNB’s CBD HQ – Intelligent Corporate Architecture by Kibo Ngowi
First National Bank (FNB) has moved into its newly built headquarters in Gaborone’s rapidly developing Central Business District (CBD). Located in plot 54362, the Head Office called First Place, boasts the banks’ “one-stopshop” capability. With an expansion of
the office facilities accommodating all the Bank’s divisions such as Electronic Banking, Private Banking, Property Finance, WesBank, Firstcard to mention but a few, customers get a full bouquet of FNBB products under one roof. >>> CONTINUED PAGE 07
Office of the President
The Relocation of the Office of The President Is it the Right Move Or Not? by HK Mokwete
The current debate in parliament over a budget allocation request of P195 million for the purposes of augmenting funds to either- acquire or build a new office block to house the Office of
FNBB ROUNDTABLE DISCUSSION - DECEMBER 2013 AFFORDABLE HOUSING MARKET OPPORTUNITIES
PRACTICE | pages 14, 18
P8.00 (Including VAT) BOIDUS EXCLUSIVE FEATURE >
Botswana Property Consultative Index 2012 Indicates “Public Piazza, Mixed Use Podium and Sky gardens coming to Gaborone” Decline in Total Returns by Kibo Ngowi & HK Mokwete
by Kibo Ngowi & HK Mokwete
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by Kibo Ngowi
Last month the City of Francistown hosted the Francistown Investment Forum as part of its bid to position Botswana’s ‘Capital of the North’ as the lead economic hub in Southern Africa by 2022. Boidus Focus presents highlights of this first of its kind
the President (OP) is missing the bigger picture of what should be debated when procuring the office space for the ‘Highest Office in the Land.’ >>> CONTINUED PAGE 04
BREAKFAST FORUM SERIES - SEPTEMBER 2013 BOTSWANA PROPERTY MARKET STATE OF OUR CITIES - MAY 2013 CBD EXECUTIVE SEMINAR STATE OF OUR CITIES - APRIL 2012 DESIGNER’S FORUM
>>> CONTINUED PAGES 08,13
BREAKFAST SEMINAR SERIES - MARCH 2012 HOUSING AFFORDABILITY IN BOTSWANA
Some stories pointed to the shifting landscape of the country’s economy: Mining giant BCL changed its focus to the manufacture of steel; the country’s second largest city Francistown unveiled its ambitions to develop into an economic hub of the region; the billion Pula international access route conferenceKazungula and an insight from Econ- began construction; and the largBridge officially omist Othata 07]country, Game City, began a multiest Batsetswe shopping[see mallpage in the on the potential Francistown millionmodels Pula expansion in a bid to stay competitive in the can adopt to access funding for the country’s increasingly saturated commercial property market. important matter of infrastructure funding. Other stories highlighted that things don’t always turn out CONTINUED PAGE 18
as planned: Five plots were repossessed from the urban
precinct envisioned to become the economic centre of the Capital City, the new Gaborone CBD, and the founding Minister of Infrastructure, Science and Technology was forced out of office, in spite of leading one of the highest performing ministries, after failing to be re-elected. Reason for optimism came in the form of Botswana being recognized as the most efficient and transparent amongst emerging property markets worldwide and the construction industry making great strides in establishing a regulated environment. Boidus Focus presents a snapshot of the good, the bad and the ugly of the building and construction industry in 2014. CONTINUED ON PAGE 04
SOCIAL MEDIA
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| Volume 4, Issue 6 | JULY 2014
Botswana investment A future imagined: Green Understanding the 17 Legal 02 property 06 Economy continues deliverables and Regulatory attained in the era of sustainability
framework for PPPs in Botswana
Unlocking Investment Opportunities Gaborone, F/Town and Selibe Phikwe
by Kibo Ngowi
Foreign Financing for Property Development
Realty Africa To Introduce New Real Estate Investment Model to the Country
The Good, The Bad & The Risky
by Kibo Ngowi Crowdfunding is a simple concept that is challenging traditional financing models and rising in popularity across the world. Through this model a project or company is financially supported by many individuals each contributing only a small percentage of the total funding required to get it off the ground.
Minister P. Maele
Ministry of Lands and Housing (MLH)
Minister K. Mathambo
Ministry of Finance & Development Planning (MFDP)
ing platform specifically targeting property development projects in Southern Africa and led by entrepreneurs Patrick Chella from Zimbabwe and Erik van Eeten from the Netherlands. Boidus Focus spoke with Chella to gain more insight into the company which will be the first of its kind to become active in Botswana.
by Othata Batsetswe: Finance, Investment & Risk Management Specialist Botswana’s financial sector is now warming up to the needs of the economy, especially with regards to asset financing. For several years most financial institutions were focused on unsecured
tions and the Cabinet Ministers have been announced, Bo-
tswana can turn its attention back to the pressing issues CONTINUED ON PAGES 06be&resolved. 08 still to The challenges of the construction industry will fall squarely on the shoulders of the newly appointed Minister
How Choppies Decides Where to Open Next MANAGEMENT GCC ESTABLISHES GABS COMPANY
CEO Ramachandran Ottapath Opens Up About Gaborone City Council has established a private the Retail Giant’s Expansion Strategy management company to oversee the commer-
of Infrastructure, Science and Technology (MIST) Mr. Nonofo Molefhi and to tackle these issues effectively he’ll have to get the buy in of several other ministries in addition to his own. Boidus Focus presents a snapshot of the most crucial issues this crop of ministers will have to confront in order to safeguard Botswana’s construction industry. CONTINUED ON PAGE 04
>>> CONTINUED PAGE 05
HOW SPEDU PLANS TO REVIVE THE SELEBI PHIKWE REGION
by Kibo Ngowi & Keeletsang P. Dipheko
few years signs of progress have become evident in the dream of regulating the Botswana CI. 2014 was a bumper year for the regulation promise that saw organizations such as MIST and BOCCIM finally taking action to make a regulated industry a reality. Boidus Focus speaks to some of the key players involved in establishing a regulated environment for the construction industry in order to gain a clearer picture Now that the dust has settled on the 2014 General Elecof where the dream stands today.
lending in the form of personal loans while providing few options for asset finance. The change is highly welcome and has come at a much needed time.
CONTINUED ON PAGES 6 & 18
Selibe Phikwe is synonymous with mining, but mineral wealth cannot last forever, so developing strategies to diversify the areas away from its dependence on mining activities has been a national priority for nearly three decades. We interview Selibe Phikwe Economic Diversification Unit (SPEDU) acting Coordinator, Mr Pako Kedisitse to learn more about the organisation ambitions to develop the region.
Progress on the Road to Regulating the Construction Industry Botswana’s construction industry already has a history stretching back decades, including a long albeit ended period of government backed rapid development within the country. However, problems such as corruption, collusion and sub-standard workmanship have been the specters haunting the sector since day one. Without formalised legal provisions to regulate the professionals within the construction industry, weeding out the bad seeds and ensuring best practice has always been a tall order but in the past
BOIDUS EXCLUSIVE >
Boidus Focus profiles three of Botswana’s largest urban centres to explore their strategies for attracting investment
Realty Africa is an equity crowdfund-
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FEATURE INSIDE
Property Crowdfunding Comes To Botswana
dus Focus spoke to the heads of four of the most important building material supply companies in the country to learn from their first-hand business perspectives and to find out their thoughts on the state of the building material supply industry as a whole.
Ministry of Infrastructure, Science & Technology
Registered at GPO as a Newspaper | P8.00 (Including VAT)
BOIDUS FEATURE >
by Killion Mokwete & Kibo Ngowi
Minister N. Molefhi CONTINUED ON PAGES 4,15,16,17,19
OIDUS FOCUS
BOIDUS EXCLUSIVE >
The Unresolved Issues That Should Be at the Top of the New Ministers’ Agendas
It’s that time of the year again when those of us building homes in stages run to the materials store to try and stock up as much as we can to make up for lost time. December has always been a peak time for building materials purchases but how do the business owners feel about the performance of their stores overall? Boi-
CONTINUED PAGES 04, 17
Project Time Extensions – BIDP Versus JBCC
to perform well
BOIDUS FEATURE >
The Botswana Construction Sector Now
by Kibo Ngowi
Glass production has been identified as an untapped market that Botswana has the potential to exploit. In an exclusive interview with Boidus Focus a Director of the leading
Stan Garrun
Towards a Regulated and Professional Construction Industry
BOTSWANA’S BUILT ENVIRONMENT NEWSPAPER
www.boidus.co.bw |
Inside the Building Materials Supply Industry
A P120 million market with the potential to rise through exports
by H. Killion Mokwete
• Positive real returns • Especially attractive in an en¬vironment of low interest rates (negative real rates) • An important asset for both institutions and individuals • Still a large amount of invest¬ment in property
FEATURE INSIDE
by Kibo Ngowi
by Boidus Admin
Property Market remains a good investment but weakness beginning to appear
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Fairgrounds Corporate Profile
Boidus speaks to key stakeholders and looks back on another noteworthy year for the sector
A review of key year industry highlights that mark the success, challenges and future opportunities of the Botswana Property and Construction Industry.
Victor Senye
Mexican Fusion ResArt is All Inside Molapo CONSTRUCTION 11 Rustic 14 Around 19 ofPiazza taurant Mixes Modern, Us Courtesy 20 DEFECTS: & Cultural Design the BIDP who’s fooling who?
OIDUS FOCUS
Gaborone FairGrounds
GABORONE FAIRGROUNDS
OfficePARK Park OFFICE
| Volume 4, Issue 11 |DECEMBER 2014
cORPORATE PROFILE
Understating A Performance Bond, Its Purposes And Implications?
P8.00 (Including VAT) BOIDUS EXCLUSIVE FEATURE >
BOTSWANA’S BUILT ENVIRONMENT NEWSPAPER
www.boidus.co.bw |
by Kibo Ngowi In business it’s often said that location is everything and none should understand this better than the company that seems to be around the corner in just about every part of the country. Choppies has grown to be the largest supermarket chain in Botswana with 71 stores within the country, 28 in South Africa and 14 in Zimbabwe. As with any recognisable brand its
cialisation of activities under the Council’s mandate. presence always has an influence on to GCC Principal Economist, Tebogo We speak Tshoswane consumer patterns and thus the value to find out the Company’s ambitions.
INSIDE F/TOWN’S AMBITIOUS DEVELOPMENT PLAN
Botswana’s second largest city is widely considered the ‘capital of the north’ but slump in developments in recent years has forced city leadership to formulate a plan to reposition the city as a vibrant metropolis.
of the commercial property in which it is located. Boidus Focus spoke to Choppies CEO Ramachandran Ottappath about the decisive role that real estate trends have played and will continue to play in his company’s expansion plans.
>>> CONTINUED PAGES 03, 04
How BIUST Plans to Drive Botswana’s Knowledge Economy by Kibo Ngowi
The Government has embarked on a mission to make Botswana a centre of innovation. The nation of only two million people has enjoyed rapid development in the past half century that has been mainly due to revenue gen-
erated from minerals that may soon be depleted, so the call for diversification has become almost a cliché. As the lustre of the diamonds fades innovation is being touted as one of the sectors Bo>>> CONTINUED PAGE 15
>>> CONTINUED PAGES 04, 08
CONTINUED ON PAGE 9
BEST CHRISTMAS GIFT Get yourself the best gift ever from BHC this Festive Season. Buy your leased BHC house now and
Realise your Gold.
For more information contact +267 364 6800 Terms & Conditions Apply
* Starting in February 2015, Boidus Focus will sell for P15.00 at your usual retailer. Boidus (Pty) Ltd. | P.O. Box 50097, Gaborone | Plot 2930, Ext. 10, Gaborone | t +267 3182209 | e mail@boidus.co.bw | www.boidus.co.bw |
ADVERTISING P19
BOIDUS FOCUS JANUARY 2015
COMPANY PROFILE Scotch Macdonald (Pty) Ltd. Trading as Delta Glass & Aluminium has developed a wealth of experience over the years in Botswana Architectural Glass and Aluminium supply market. Delta Glass & Alu minium is Botswana’s foremost supplier of Suppliers of: an enormous variety of specialised glass PO Box AD 214 ADD Gaborone products and Architectural aluminium Architectural Aluminium & Botswana applications such as Shop front systems, Tel: (+267) 3925395 Glass, Curtain Wallings, Shower Curtain Wall, windows and doors, shower Fax: (+267)3925350 and Patio Doors cubicles, skylight and Louvers and numer ous other products that complement the Fenestration Industry. Plot 53609, Unit 7 Gaborone West Industrial As an active member of the Botswana BuCompany Profile Gaborone, Botswana reau of Standards technical advisory com-
mittee we at Delta Glass & Aluminium Scotch Macdonald (Pty) Ltd. Trading as Delta Glass & Aluminium has developed a wealth of Tel: (+267) 3925384 / 95 combine the technical expertise of the experience over the years in Botswana Architectural Glass and Aluminium supply market. Delta Fax: (+267) 3925350 most experienced glass and aluminium Glass & Aluminium is Botswana’s foremost supplier of an enormous variety of specialised glass Cell: (+267) 71321032 products and Architectural aluminium applications such as Shop front systems, Curtain Wall, designers and engineers in Southern AfriEmail: grantstacydelta@gmail.com windows and doors, shower cubicles, skylight and Louvers and numerous other products that complement the Fenestration Industry. As an active member of the Botswana Bureau of Standards technical advisory committee we at Delta Glass & Aluminium combine the technical expertise of the most experienced glass and aluminium designers and engineers in Southern Africa to render expert opinion on all aspects of aluminium and glass fenestration, we help determine the best solutions, both technically and economically, with systems and products that have been carefully engineered and thoroughly tested to comply with the most stringent performance specifications. Operating from our 1600 square metre warehouse in Gaborone west industrial, Delta has a most comprehensive distribution network in place to service local and northern businesses with our fleet of purpose built vehicles. Most importantly, Delta boasts a team of highly experienced technical, production and management personnel focused on maintaining the high level of service and quality standards for which we are renowned.
XIAN PROPERTIES (Pty) Ltd
ca to render expert opinion on all aspects of aluminium and glass fenestration, we help determine the best solutions, both technically and economically, with systems and products that have been carefully engineered and thoroughly tested to comply with the most stringent performance specifications. Operating from our 1600 square metre warehouse in Gaborone west industrial, Delta has a most comprehensive distribution network in place to service local and northern businesses with our fleet of purpose built vehicles. Most importantly, Delta boasts a team of highly experienced technical, production and management personnel focused on maintaining the high level of service and quality standards for which we are renowned.
www.cnonline.co.bw
PVC CEILING, TIMBER & FLOOR TILES WHOLESALER WE SUPPLY & INSTALL: fire resistance, water resistance, advanced technology, Fast installation, paintless, easy cleaning, long lasting 15-20 years.
Reliance Office Supplies We stock a wide range of Timber: Purline(50*76), Rafter (38*152, 38*228, 38*114, ), Brandary (38*38, 38*50) all sizes from 4.2m-6.6m)
We are Botswana’s leading corporate furniture supplier and have been in operation since 1989. We hold the exclusive Botswana franchise for CN Business Furniture, the prestigious South African company with 9 branches in South Africa.
and operator desking and seating; reception furniture; soft seating; boardroom furniture; screens and partitions; training and educational furniture; restaurant, cafe and canteen furniture and storage and filing systems.
Having worked for years with interior designers, corporate layout specialists and on large corporate projects, we have now rebranded and redesigned our own space here in Gaborone. Whilst in the past we relied on catalogues and design software to display our furniture to customers, we now have a dedicated showroom to display our ranges in all their full-size glory.
Our furniture is of the highest quality, with most products holding a 5 year warranty. We showcase ranges for all budgets including pieces designed and imported from Italy. We provide delivery and installation, so that you can order in the knowledge that your furniture will be set-up in your office to your exacting specifications.
Please allow us the opportunity to welcome you into our working haven and to introduce you to our ranges of: executive
We understand that you spend an average of 264 days at work each year. Let us help you spend those days surrounded by the beautiful office furniture you deserve.
RELIANCE OFFICE SUPPLIES (PTY) LTD t/a CN (Cecil Nurse) BUSINESS FURNITURE
Location-Gaborone, Block 3-along the Western Bypass
Tel: 3951421 Cel:75405777
email: zhang_resawf@hotmail.com
Plot 1247, Haile Selassie Rd, Old Industrial, Gaborone | P.O. Box 1084 Mogoditshane, Botswana Tel: +267 3956578 | Fax: 3974377 | Email: graham@cnonline.co.bw
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Sunshine Insurance Company of Botswana (Pty) Ltd
is a duly registered non-bank financial service provider. It is an emerging privately owned company which strives to bring on board optional service standards, improved efficiency and enhanced customer service.
BOIDUS FOCUS JANUARY 2015
Your Shelter in Insurance, all under one roof. Household Insurance Workman’s compensation Motor Vehicle Insurance Engineering covers All types of bonds OVERVIEW OF SUNSHINE INSURANCE COMPANY The company strives to conduct business in good faith and with integrity, fairness, honesty and in a transparent manner.
KEY SERVICES OFFERED BY SUNSHINE INSURANCE COMPANY OF BOTSWANA (PTY) LTD. Insurance is a principle which works on the law of large numbers and spread of risks. Sunshine Insurance is well supported by good reinsurance programmes locally and internationally, in compliance with NBFIRA regulations and guidelines. The Company is duly authorized by the Non-Bank Financial Institutions Regulatory Authority (NBFIRA) to deal with all short term insurance products and service to the general public and all entities. A brief outline of products offered is as hereunder.
WE PRIDE OURSELVES OF THE FOLLOWING: Ground Floor West Wing Plot 67977 Fairgrounds Private Bag BR15 Gaborone, Botswana Tel: +267 3105137 Fax: +267 3105139 Email: richard@sunshineinsurance.co.bw Mobile: +267 74111104 Email: weston@sunshineinsurance.co.bw Mobile: +267 74762621
• Shortest turnaround period in claims settlement. • Least possible time in issuance and provision of quotations, policy documents and endorsements. • We also boost of extensive knowledge about the local economy. Our decision making process is so swift hence we transact business within the shortest possible turnaround period. This is a package which gives us a competitive edge and differentiates us from other players in the insurance sector.