The Inspectorate of Government (IG) has initiated an investigation into three real estate development companies based on accusations of providing low-quality homes to unsuspecting buyers. The companies in question are Comfort Homes Limited, Universal Multi-purpose Enterprises Ltd, and Fakhruddin Properties Ltd. The revelation came during a stakeholder meeting led by Inspector General of Government (IGG) Beti Kamya at Jubilee House in Kampala on Tuesday, October 17, 2023.
Numerous complaints from homeowners triggered this inquiry, citing a range of issues such as poor building materials, ceiling leakages, inferior plumbing, substandard pipes, low-quality electrical work, inadequate sewerage systems, missing window ventilators, and unfinished projects. IG, functioning as a national ombudsman, aims to ensure that Ugandans receive the services they deserve. Therefore, the Inspectorate of Government will promptly assess the structural integrity of these buildings and announce the way forward.
During the meeting, Land State Minister Persis Namuganza urged real estate developers to prioritize the quality of their products to maximize benefits in this thriving sector. The meeting also acknowledged complaints from homeowners regarding apartments in Casa Marcella, Spices, Waves, Leo Zodiac, Jasmine, and Ugandans in the diaspora through their lawyer Deo Kalikumutima regarding substandard housing they were sold.
Some developers attributed issues to occupiers’ misuse, while others acknowledged genuine complaints. Notably, Fakhruddin Properties’ proprietor admitted concerns but emphasized occupier misuse as a contributing factor. Harold Turigye, the company secretary of Comfort Homes, emphasized the need to differentiate between developer issues and government entities failing in their responsibilities.
Verna Mbabazi, an incoming member of the Architects Registration Board, pointed out the absence of the board as a contributing factor to irregularities. Dr. Isaac Mutenyo, the chairperson of the Uganda Engineers Registration Board, noted that many developers do not utilize their services, contributing to the problem.
Banks have faced accusations of collusion with property developers to deceive buyers. John Kaweesi, the head of consumer banking and mortgages at Housing Finance Bank, pledged to investigate and address these allegations with the consent of customers.
Flavia Bwire, the executive secretary of the National Buildings Review Board, committed to thoroughly investigating the matter.
The real estate industry is rapidly growing in Uganda, with a current housing deficit of 2.1 million units, expected to reach three million by 2030, according to the Uganda Bureau of Statistics. However, the primary challenge lies in the quality of the homes being offered.
