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Cost effective condominium construction project in Addis Ababa

PREPARED BY: -

1. HAYLEAB TESFAYE…………………………CDE 00922. LAKEW MENGISTU………………………….CDE 01023. DEREGE KUMA………………………………CDE 00534. KEMAL A/KADIR…………………………….CDE 00995. DEREJE SEMAGN……………………………CDE 00546. ALEMAYEHU MOGES……………………… CDE 00127. AYICHEW ZEGEYE…………………………. CDE 0025

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Cost effective condominium construction project in Addis Ababa

1. ABSTRACTHousing is a basic need for civilized living. In many developing countries, housing

inadequacies and backlog have been increasing mainly due galloping increase in

population; fast pace of urbanization and other social and economic factors which

include breaking up of the joint family system, and steep rise in the prices of land,

building materials and labor.

Housing has become one of the complex problems of our times and unless urgent

measures are taken both at the national and international levels to mitigate the

housing problem, it will assume crisis proportion with grave adverse

consequences on the survival and well-being of the people, as well as the process

of economic and social development.

Developing countries need to accord high priority to housing and despite the

severe constraints of resources; ways and means have to be devised to tackle the

housing problem.

As a matter of fact, cost effective housing means housing at low cost for all

sections of the population in a better quality standard. Thus the accent is on

housing at efective cost as compared to the prevailing cost levels.

It is sometimes felt that what is really intended by cost efective construction

is cost reduction in housing. Others view it as a low cost housing.

However, cost efective housing construction, generally implies housing for the

low-income families housing at affordable cost to them it can even be projected to

high income group also.

The perspective should be clear to all. Surely by low-cost housing it is meant to

achieve cost-efective housing for all, particularly for the low-income families so

that to the extent possible, housing is brought within their reach.

The research is focusing the projects of cost efective housing study conducted

through questioners, interviews and site observations. The findings of the

investigation have shown that; on a specific project sub-contractors and the main

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Cost effective condominium construction project in Addis Ababacontractor has weak communication between each other .This is because; the

contract agreement is only with the client. This results non-uniform quality of

end product .It is found out from the respondents that the majorities of labors

does not have sufficient skills for the jobs they have given, and the contractors

are not supplying appropriate manpower required. Among the respondents, most

of them are not satisfied with the quality of materials brought either from

diferent quarry sites or from production areas .It is observed from sites of

those cost eficient housing projects that, negligence of the quality of works is

highly developed in most of the people there. Furthermore, the site engineers

follow traditional way of controlling techniques and among the observed sites

most of them have poor quality of control mechanisms and production

techniques.

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2. ACKNOWLEDGMENTWe would like to express our gratitude and deep appreciation to our instructor

Mr…………, for his best teaching method that give us this project which enable us how

two write a good technical report.

And we would like to thank professionals working in housing development office,

site engineers, supervisors and house hold who have been providing us the

necessary information and data required for the research.

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Contents1. ABSTRACT.........................................................................................................................................................................2

2. ACKNOWLEDGMENT......................................................................................................................................................4

Chapter 1.......................................................................................................................................................................................7

1. Introduction...............................................................................................................................................................................7

1.1 Background.............................................................................................................................................................................7

1.2 Statement of the problem........................................................................................................................................................7

1.3 Objective of the study.............................................................................................................................................................9

1.3.1 The General Objectives........................................................................................................................................................9

1.3.2 The specific objectives.........................................................................................................................................................9

1.4 Research limitations................................................................................................................................................................9

CHAPTER 2................................................................................................................................................................................10

2.LITERATURE REVIEW.........................................................................................................................................................10

2.1 INTRODUCTION.................................................................................................................................................................10

2.1.1. Historical background.......................................................................................................................................................10

2.1.2 Housing Problems, Housing needs and effective demand.................................................................................................11

2.1.3 Condominium Housing in Ethiopia Context......................................................................................................................12

2.1.4 Policy and legal frameworks and the actors in shelter delivery.........................................................................................13

2.2 Housing in Addis Ababa........................................................................................................................................................16

2.2.1 Access to Shelter and Housing Stock.................................................................................................................................16

CHAPTER -3-.............................................................................................................................................................................17

3.Analysis and discussions..........................................................................................................................................................17

3.1. Introduction..........................................................................................................................................................................17

3.2 Policy implementation...........................................................................................................................................................17

3.3 Material delivery and quality standard..................................................................................................................................17

3.4 Small scale enterprises..........................................................................................................................................................18

3.5 Schedule, quality and cost.....................................................................................................................................................18

3.6 Affordability and cost effectiveness......................................................................................................................................19

3.7 Households problem..............................................................................................................................................................20

CHAPTER -4-.............................................................................................................................................................................22

4. Conclusions and Recommendations........................................................................................................................................22

4.1. Conclusions..........................................................................................................................................................................22

5.2. Recommendation..................................................................................................................................................................23

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Acronyms

HDPO: - Housing development project office

MoWUD: - Ministry of Works and Urban Development

MSE:-medium to small enterprises

CEH: - Cost Effective Housing

(NGO):-Non Governmental Organizations

AARH Addis Ababa Rental Housing

USD: - United States Dollar

AACA:-Addis Ababa City Administration

CSA: - Central Statistics Agency

AAHDPO: - Addis Ababa Housing development Office

RC: - Reinforced concrete

CSIR:-Central Research institutes under the council of scientific and industrial research

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CBRI:-Central building research institute

CGCRI:-Roorkee, Central Glass and Central Building Research Institute

CFRI Central Fuel Research Institute

SERC: - Structural Engineering Research

Centre IHDP: - Integrated Housing

Development Program ETB: - Ethiopian

Birr

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3. Chapter 1

4. 1. Introduction

5. 1.1 Background

Housing Practices is an ongoing series that documents the experiences of

countries who are implementing large-scale affordable housing program which

provides authoritative and independent documentation of innovative affordable

housing program in countries of the developing world.

Rather than drawing from theory or abstract models, Housing Practices addresses

the demand for practical guidance on housing program based on experience.

Each volume holistically documents one

‘best-practice’ housing program that has achieved significant results.

The stagnant nature of economic development and rapid population growth of

most of the developing countries makes effective and efficient service delivery

difficult for governments, to satisfy the need of their residents. Housing is one of

the basic necessities for human survival; despite it remains for long period as a

critical problem of most of the cities of developing countries. This is the main

situation in Ethiopia as well.

The paper deals with analyzing the existing condominium construction situation of

the city to identify different factors that affect the strategy originally planned

make it low cost.

6. 1.2 Statement of the problem

This study outlines the state-of-the-practice about cost effective construction in

terms of construction management, material and work methodology within7 | P a g e

condominium projects of Addis Ababa. In the use of construction materials and

discusses the applications of indigenous materials. An evaluation based on

technical, environmental, and economic factors indicated that have significant

potential to replace conventional materials for various applications in

construction, and should be projected for future construction. Specific applications

of the products and potential problems associated with their usage in the

operations are also the rationale for the study.

Civil engineering has made a vast progress with the development of new

materials and sophisticated techniques of construction. Quality control, time

saving and reliability have become the motto of civil engineering. But, the

construction of low-cost residential buildings in Ethiopia is dominated by the use

of labour-intensive technique of construction. There is not much improvement in

the management and quality of construction due to the following reasons.

Old traditional techniques of construction are still on-going as they are thought

that they are assumed cheaper and facilitate the contractors:

Cheap labour attracts the local contractors as advanced machines are costly Old techniques of construction involve more labour than machines Most of contractors have not undergone civil engineering education

Also the housing standard of the city is incompatible with the affordability of the

majority residents to build their shelter. In other words the majority of the

residents have no financial capacity to build their dwelling to fulfill the standard

of the regulation, provided that the estimation of construction cost of the units

increasing day to day. However this is beyond the current reality since the price

of construction materials is rising rapidly.

Measures taken to alleviate the problem by public and private sectors could not

bring about a solution especially from the need of the poor. The city

administration had difficulties to supply standard housing, in quantity as well as in

quality terms, and basic services.

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There are, however, a number of unanticipated challenges facing theprogram the most pressing is

the affordability of the units for low-income households, with the cost

increases in the price of condominium houses deeming them no longer an

option for many low-income households. Furthermore, the inability to pay the

monthly mortgage and service payments forces many households to move out of

their unit and rent it.

The issue of successful housing construction of the city there for rests mainly on

strategies applied to increase cost effective construction. So the question is what

are the possible strategies that can enable cost effective construction of the city

to build decent dwelling?

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7. 1.3 Objective of the study

8. 1.3.1 The General Objectives

The general objective of this research is to show better alternative ways of

plan preparation and implementation that suits the socio-economic and political

(policy) environment of the country at large and the city in particular. This paper

deals with the cost effective construction in terms of construction management,

material and work methodology within condominium projects. Analysis and the

current

Quality control management practice in cost effective housing projects. The

research is based on case study conducted on respective projects; focuses will be

made on condominium house project sites in Addis Ababa.

9. 1.3.2 The specific objectives To assess the ongoing condominium housing construction projects

in Addis Ababa particularly in one of the selected site with respect to

the strategic policy, plan and its goal achievement. To study cost effective housing construction in terms of

construction management, material and work methodology on the

basis of past and ongoing experience. To assess the affordability of condominium housing.

To observe problems of end products ready for use by the

households and those already being used by the household and come

up with alternative solutions.

10. 1.4 Research limitations

This Study conducted through site-visits, interviews with key stakeholders and

household surveys on condominium sites.

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We acknowledge the contribution of all individuals and organizations. In addition

appreciation is given to the households who participated in the household surveys

undertaken in Jemo and Gofa.

During the research work, we have been facing a number of constraints .Some of

the major limitations are mentioned as follows:

► Time limitations

► Shortage of data collecting instruments

► Unwillingness of the construction companies and professionals to give information.

To overcome the limitations, we have been spending all the time given, all of ourresources we have got with maximum possible efforts.

11. CHAPTER 2

12. 2. LITERATURE REVIEW

13. 2.1 INTRODUCTIONRegardless of the economic condition of the developing country attempting to

meet its national housing needs, it is evident that in the selection of housing

schemes, the questions of economy remain the primary consideration because

construction of houses requires considerable investment of capital. As a result,

there is a great need to reduce building cost with the help of optimum utilization

of building materials that are scarce and costly. Speed in construction is also

to be brought about so that construction is completed in a short time as

possible and the houses are ready for early occupation with relatively less cost.

The conceptual review with respect to cost saving mechanisms is addressed from

two aspects, namely construction technology aspect and construction

management aspect. Besides these two construction aspects are interrelated, a

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good management skill helps not only to retain the cost saving mechanisms

considered during the design phase but also to attain additional cost saving and

quality techniques. However, if the project is not well managed it may cost

additional amount and may become more expensive than the conventional

construction method. What we want to say is that though the cost reduction

techniques are interrelated, greater attention should be given to the construction

management that encompasses the inception till completion of the project.

14. 2.1.1. Historical background

According to many scholars, the concept of condominium is quite old. Albert

Ferrer states that “there is at least one record of the sale of part of a building, in

ancient Babylon (modern Iraq), during the First Dynasty, nearly two centuries

before the birth of Christ”, and that there is evidence of the use of the system

among the Greeks, Egyptians, and others. It was during the Middle Ages, when

walls were constructed to enclose cities in order to provide security, that

building space became even scarcer in many European cities. This lack of space

led to individual ownership of parts of a building, sometimes even individual

ownership of single rooms, in cities such as Orleans and Paris. Leyser states that

this

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“Ownership of floors of houses, and even rooms, in the hand of different persons

was common in various parts of Europe”. The condominium concept of home

ownership became especially widespread in the French cities of Nantes, Saint

Malo, Caen, Rouen, Rennes, and Grenoble. “In Rennes a catastrophic fire in 1720,

which destroyed most of the city, forced inhabitants to build under a new

system of wider streets and taller, multi-family buildings. The experiment was so

successful that the system was firmly adopted.”

The condominium concept spread to other European countries and, eventually,

to other parts of the world as Europeans immigrated to other continents.

Among the industrialized countries, the United States was the last to embrace

the condominium concept. The first attempt in the United States or its territories

to develop condominiums was the Horizontal Property Act of Puerto Rico, passed

in 1948, utilizing a model statute developed by the Federal Housing Authority.

After World War II, essentially the only type of commonly owned housing that

was available to the general population was the cooperative.

15. 2.1.2 Housing Problems, Housing needs and effective demand

Housing is one of the basic needs for living. Proper housing is an important need

for every human being. However, the type of accommodation largely depends

on the economic development of the country. The developing counters today

have three major challenges to face: the alarming increase in population, poverty,

and the fast pace of urbanization. As a result of these challenges a large number

of people in Asia, Africa, and Latin America are either homeless or inadequately

housed, which adversely affect their well-being and retards social and economic

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The government estimates that the current housing deficit is between 1,000,000

and 2,000,000 units in urban areas, and that only 30 per cent of the current

housing stock is in a fair condition, with the remaining 70 per cent in need of total

replacement.

The housing deficit is set to increase concurrently with the foreseen high

population and urbanization growth.

Between 1983 and 2007, Ethiopia’s population more than doubled, from 33.5

million to 87.2 million, and it is projected to more than double again by 2050 to

reach 170.2 million. To accommodate future growth, the Urban Sector Millennium

Development Goals Needs Assessment (2004) predicted that to

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Meet the Millennium Development Goals (MDGs) in 2015 requires a total of

2,250,831 units, which equates to a considerable 225,000 houses per annum.

There is massive demand for serviced, healthy, affordable housing. This demand

stems from both the current housing deficit and the poor quality of the existing

kebele housing stock that is beyond repair. However, there is low efective

demand. Effective demand is based on the ability and willingness to pay for

housing, affected by income and what households are prepared to pay. Although

effective demand is difficult to determine because it requires reliable data on

income levels and expenditure patterns of households, their savings capacity and

prioritization of housing vis-à-vis other forms of investment, it is the case that the

majority of Ethiopians cannot pay for formal housing supplied by the private

market. Therefore, the greatest need is for affordable housing.

Figure 1 DilapidatedHouses

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16. 2.1.3 Condominium Housing in Ethiopia ContextThe idea of condominium housing is a new phenomenon in Ethiopia. It is just as

old as the IHDP. It emerged as a strategic response to rapid urban population

growth, high prevalence of urban poverty, and urban unemployment in major

Ethiopian cities; because only 30% of the urban house stock was regarded to

be in fair condition; and the housing shortage is being estimated to be between

900 000 and

1,000,000 (MWUD, 2006, IHDP 2008). The condominium housing project thus aims

at meeting the elements of Millennium Goal 7 on Environmental Sustainability,

target 11 which seeks to achieve a significant “improvement in the lives of at

least 1 million slum dwellers “In Addis Ababa city more than

70% of the population lives in slums and the houses are made predominantlyfrom mud and straw

(IHDP 2008).

17. 2.1.4 Policy and legal frameworks and the actors in shelter delivery

Currently though housing policy is not yet formulated at national and city level,

the city’s housing principle is following the free market economic policy adopted

in 1991that create conducive atmosphere for private sector particularly the real

estate developers to participate in housing development. The federal government

enacted proclamation on urban development policy that gives high attention for

alleviating housing problems of urban areas. The city administration has also

prepared five years housing development program in 2004 to reduce housing

problem of the city by 50%. The progra m gives prior attention for alleviating

housing problem of low income households. It promotes high raise (up to G+4)

condominium buildings with a minimum built up area of 22 m2 to

minimize the construction cost so as to benefit low income families.

Government, Private sector (Real estate developer, Cooperatives, and Individuals)

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and Non-Governmental Organizations (NGO) are considered as the major actors in

housing construction and marketing activities.

The central government represented by AARH was involved in constructing and

renting houses for residential and other purposes before 1991 none the less the

outcome was not as it was required. “Over the period 1974-1991, the AARH

constructed 8623 dwelling units throughout urban Ethiopia.” (PADCO

1996:29) At present it is only renting the constructed and nationalized houses

with a monthly rent of above USD 11.11.The city administration is renting about

150,000 nationalized units rented below USD

11.11 Per month and known as Kebele houses. Besides even though it was

responsible for supplying low cost residential houses it built 7409 units only

during 1996-2004. Now days it is involving in building

32000 units for residential and commercial purposes with a high emphasis of

supplying housing for the low income households. The process is however

hindered by shortage of financial and material resources.

Management with executive responsibility of each of the project team members

should define a policy for quality control including objectives for quality and its

commitment to quality. The quality policy should be relevant to the owner’s goals

and expectations. Project team member management should ensure that the

quality policy is understood at all levels of the project team member’s

organization.

For example; the quality policy of HDPO isstated as follows:

Insure the quality of the houses to be built consistently by preparing accurate

and to the standard designs, as poor designs can never result in a high quality14 | P a g e

product implementing the same with the use of approved material, appropriate

equipment and competent workmanship to meet the minimum quality

requirements specified therein with a minimum possible cost and without

affecting health, safety and environmental consideration.

I. Make the management body at various levels fully aware andcommitted to implement the quality management system of theproject office.

II. I n s u r e preparation of accurate and to the standard designs and specification.

III. I n s u r e the use of only materials of specified quality. This includesquality control of raw construction materials in production area,inspection of production process, final products and during purchase ofmaterials.

IV. Conduct close supervision during construction: Checking thedimensions, working procedures, mix ratios etc. to insure the correctimplementation of design drawings & specifications.

V. Supervise the skill & competence of staff & tradesman employed byProducers, the Contractors, and the Consultants and by the Employerin one way or another for the execution of the projects.

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Figure 2 Institutional Frame work of HDPO

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18. 2.2 Housing in Addis Ababa

19. 2.2.1 Access to Shelter and Housing StockThe housing condition of Addis Ababa is by far inadequate in quantity and

quality terms to meet the need of the residents.

In 1994 the number of housing units (374,742) was 9.5% less than the number of

households (414262) which need an equal number of dwellings. (CSA1999:218).

Based on the data of planning and policy commission the difference has

increased to 24.8% within ten years, even if the total housing stock has risen to

471429 with 2.5% average annual increment. The unfulfilled demand for

residential housing in

2004 was therefore 116,806. Besides, different studies indicate that 269814

(about 80%) of the houses located in the inner part of city (337268) need

complete replacement because of dilapidation. Hence, the estimated gap

between housing supply, demand and housing deficit due to new household

formation

And dilapidation as of 2004 is estimated to beabout 386,620.

Measuring housing quality by major indicators that are availability of adequate

space for privacy and mobility and Physical condition of the houses, most of the

dwellings in the city are termed as low level of quality.

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Figure 3 Slum areas in partsof the city

20. CHAPTER -3-

21. 3. Analysis and discussions

22. 3.1. Introduction

The analysis of the research is carried out by from the data collected through

questionnaires, interviews, formal and informal discussion and observations on

condominium housing construction sites.

The information we gathered through questionnaires from employers,

contractors, households and consultants are briefly discussed here.

23. 3.2 Policy implementation

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Our first research question was:

Is the housing policy being implemented as per the program?

From the data collected we have found out that few of the respondents

responded that the housing policy being implemented as per the program. But

most of the respondents were replied that in order to achieve the planned

implementation:-

Contractors and sub-contractors must improve their performances.

Design problem and late delivery of construction materials which have

considerable effect on project delay must be improved.

Improving proper planning and policy implementation and

Government has to revise the policy that has been implemented.

24. 3.3 Material delivery and quality standard

Do have come across any problem that the materialdelivery by IHDPO?

Material delivery and its quality that IHDPO delivered is another major cause of

delay in condominium m housing projects. Most of respondents suggested

shortage and late delivery of construction n materials on site and few responded

the major problems are improving through time as compared to the early

practice. The respondents in addition raise issues like: -

IHDPO has to allocate the required materials on time contractors in order to

overcome delay on construction works.

Construction material demand and supply has to be balanced.

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Massive delivery system has to be deployed and

Temporary storage at each site must be provided.

The materials delivered by IHDPO will cause you to excess wastage due to itslow quality standard?

From the data collected the quality standard is hampered because of the

material delivered by IHDPO. From the respondent’s loss or wastage of cement,

coarse aggregate, precast beam, metal works and steel structure are listed here

under:-

Most of the respondents have replied that the cement wastage is 0-5%.

Most of the respondents suggested that the reinforcement wastage is 5-10%.

Most of the respondents have responded that wastage from coarse aggregate

ranges from 0-5%.

Most of the respondents suggested that hollow block wastage is 5-10%.

25. 3.4 Small scale enterprises

Is subcontracting to small scale enterprise being supportive to the implementation of the housing program?

All of the respondents have responded that small scale enterprises are not as

such supportive to the implementation of the housing project in terms of skill,

productivity, performance, work ethics and ability to perform on time.

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26. 3.5 Schedule, quality and cost

Do you think a condominium housing project in Addis Ababa is completed within the proposed work schedule?

All of the respondents of our questionnaires have responded that condominium

housing in Addis Ababa are not completed as per schedule due to different

factors like :-

Late delivery of materials such as cement, reinforcement, electrical and sanitary materials on site.

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Lack of close supervision

Poor quality of materials

Poor production of construction materials by small scale enterprises

Design and budget problem

Poor performance of contractors and

Government housing construction policy and implementation.

Does the projects arein cost overrun?

All of the respondents of our questionnaire have suggested there is cost

overrun on condominium housing project due to different possible

reasons delayed material delivery, design incompleteness, contractor’s

performance, lack of proper supervision, poor project coordination,

corruption and lack of interest from the higher officers.

Do you think the project is being completed according thespecifed quality standard?

All of the respondents have responded quality standard on condominium

housing project is affected by different reasons like:-

Lack of experience

Quality of materials from the supplies

Performance of the contractors and sub-contractors

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the material that are used for finishing is highly low quality

Lack of skilled laborers

Use of poor construction materials

Lack of close supervision by consultants

Poor workmanship and

Poor quality production of construction materials by unskilled small scale enterprises.

27. 3.6 Affordability and cost effectiveness

Do you think the housing project is afordable for low andmiddle income families?

All of the respondents of our questionnaire have suggested housing

project is not affordable for low and middle income families due to

several reasons such as alternative design revisions like use of finishing

free materials, to minimize cost overrun in construction works and the

contractors have to make a discount on their overhead and profit

margins.

On the other hand the government should make an alternative for low

income society and also it has to make a subsidy to households. Again

the government must try to bring down price by improving policy and

implementation. Furthermore the government should reduce the cost or

price of house by improving project management in terms of material,

labor and equipment.

Do you think that condominiumprojects are cost effective?

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85% of the respondents have suggested that condominium projects are

not cost effective because of several reasons such as delay in

construction works, quality problem, inefficiency of contractors to have

systematic project coordination that upgrade costs, delayed material

delivery, design incompleteness, rework due to poor construction

techniques, wastage due to poor quality of construction materials, poor

performance of contractors which have a considerable effect on cost and

government policy implementation problems. But 15% of the

respondents have suggested that condominium projects are cost

effective.

28. 3.7 Households problem

Have you received yourcondominium house on time?

All of the respondents have responded that they didn’t get their

condominium houses on time after they are announced as lottery winners

because the government announces lottery to the households before the

completion of the houses. This suffers the households until 6 month and

above without getting houses.

The status of the house when you werehanded was it completed?

All of the respondents of our questionnaires have suggested that the

status of the house when it was handed over to households is not

completed. The remaining finishing works that are not completed by

government, when the houses are delivered to the households are tiling

work, internal door fixing work and painting work.

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How much extra money you spent tomake the house habitable?

All of the respondents of our questionnaires have suggested that the

extra money spent by households to make the house habitable ranges

from:-

10,000 to 15,000 ETB for one bedroom

10,000 to 25,000 ETB for two and three bedroom

Do you have functional problems in your private premise,neighbor and common areas?

Most of the respondents have suggested that they have faced

problems due to several reasons like:-

o Limited space on the corridor to store your house utilities

o In case of two bedroom house type, the living room is not fully ventilated and

o Because of limited space availability, it is difficult to do different house activities

But the remaining 33% of our respondents have suggested that they

don’t face functionality problems while using houses.

Is the stair case or vertical circulation system comfortable to you and does

it fulfills the requirement for disabled and fire escape?

All of the respondents of our questionnaires suggested that the steel

staircase or vertical circulation system is not comfortable to the

households due to several reasons such as:

There is no other means of vertical circulations for disabled persons like ramp and elevators.

Fire escape access is not provided for condominium projects.

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29. CHAPTER -4-

30. 4. Conclusions and Recommendations

31. 4.1. Conclusions

The following Conclusions are drawn out from the study:

Program implementation could not reach to the target due to

excessive delay and additional cost as well. Material delivery system takes prolonged time and creates additional loading- unloading

fee.

Material shortage is not being given immediate solution and

hence resulting in suspension of project activity. The multiple loading –unloading phenomenon of the supply

system brings about 10% of wastage on materials delivered by

HDPO and more forced cost on contractors. Considerable gap is seen between HDPO and MSE in terms of

quality and work progress because there is a very poor

communication with the main contractors and consultants on the

project site. Medium and small scale enterprises do have lack of skill,

productivity, performance, work ethics and punctuality on work

schedules. As a result of weak follow up, method of statement analysis and

improvement on work methodology; Poor quality of the work,

additional cost due to rework on defects remedy is seen. Materials produced and delivered by medium and small

scale enterprises are sub standards and considerable damage is

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observed while loading unloading from production area to work

site. The construction, consultant and production team do not

have a single well designed work methodology for each

work item. The material selection by HDPO seems to be given less concern

in introducing new indigenous cost effective and materials

requiring minimized finishing works.

The need for quick update in construction technology and materials. The houses are not affordable for middle and low income families.

Late delivery of houses to the household as a result of

incompleteness of construction activities after being awarded by

HDPO due to non-parallel execution of infra structure and the

HDPO transfer office long process of handing over. The houses

are partially completed needs more works and more money to be

habitable.

32. 5.2. Recommendation

First our recommendation starts with the appreciations of the good

parts which should be kept up by the system such as;

Good improvement is seen on the contractors’ performance

though there are steel much to be worked out on selection

criteria of contractors which are to be based on their past

performance with HDPO and other areas of similar or related

construction projects. Introducing new technology such agro stone partitions and

doors PVC windows which of course would have been

implemented long time ago. Quick and progressive revision is required on policy programs and its implementation.

Up to date improvement on the organizational structure of

Housing sector by repeatedly investigating how failures

occurred on the policy and its implementation.

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Temporary Material production plant should be provided on the

project site to facilitate the supply management coordination

with the project management as it is usually practiced in other

construction project site. These will help in minimizing un

necessary additional cost incurred due to transporting process,

difficulty in following up of production quality. Even if all

production works are being performed by MSE we found it

practical for them to suited on the project site since their plants

are easy to mobilize from one site to the other. HDPO needs to put much more effort in improving the

construction technology and its management by creating

opportunities for new ideas and innovations which makes the

projects more cost effective. We believe this will be achieved by

a joint effort with professionals in other sectors (other stake

holds) through researches and panel discussions. The project management team should play a vital role in

giving useful practical information and recommendation in

improving the policy and its implementation as fast as possible.

This will help HDPO and government to take immediate

measure in order to avoid accumulated effects on over all

projects of the city and the country as well since the projects are

considerably big in investment. There is a need in improving the professional and skill capacity

of all the participant of the project by giving up to date training,

short term visit of similar projects, professional up grading and

panel discussions in inter changing their practical and

theoretical exposures. This can be achieved both within the

country and between other countries. Before the commencement of any housing project a joint

site survey must be made between the consultants and the

HDPO supervision team to check whether the designer

consider the actual topography into consideration so that

corrective measures and economical solutions can give. This

will help in adjusting the project budget from the very beginning

and avoiding addition cost incurred due to delay of construction

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to get decision on such matters. Some of them are; floor finish

level, road levels, drainage and sewer system layouts and all

other utilities resulting in excess volume of work in terms of

material and labor. There is a need to improve the work methodology by drafting a

very well detailed method of statement for each work items on

how the necessary construction steps are to be followed as a

common standard by all parties of the project. This should

progressively have to be up dated depending on the actual site

situation.

After all this study the cost efective construction of condominium

housing can be less costly, quick to satisfy the rapidly growing

demand, improve quality, improve durability, aesthetic,

environmental friendly issues. In addition to this the

implementation of modern construction science and technology

supported by industrialization on the basis of construction

management, materials and work methodology can give cost

efective construction.

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Re f ere nce s

1. Muhammad Kaysaar Hussain (2008). Economics of Low Income

Housing, Proceedings of IAHS International Conference, university of

petroleum and minerals, Saudi Arabia,

2. The beat (1996).History of condominium. Business education and trade, volume 7, issue1

3. Bennett S.Donna (2010). Condominium home ownership in the United

States: a selected annotated bibliography of legal sources. Northern

Kentucky University

4. Ingwani, Emaculate and etal (2010). Design Considerations and Sustainable Low Cost Housing

Provision for the Urban Poor in Addis Ababa, Ethiopia

5. Azeb Kelemework(2007?) Housing for the Poor in Addis Ababa. Addis Ababa, Ethiopia

6. h t t p: / / c h i l ot . m e e t h i op i a n - b u il d i n g - p r o c l a m a t i o n

7. h t t p://www . m e t r o p o li s . o r g . m a r f i n

8. Ministry of Federal Affairs and German Technical Co-operation Low cost housing technical manual

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Addis Ababa, Ethiopia 2003

9. Dagnachew Tsegaye and etal (2006). Low cost housing in Addis Ababa:A Study Focusing on the

Main Cost Reducing Mechanisms. Addis Ababa, Ethiopia

10. Wubshet Jakal (2008). Condominium Housing Development Solution forLow and Middle Income

Groups, the case of Addis Ababa. Addis Ababa, Ethiopia.

11. UN-HABITAT (2010) The Ethiopia Case of Condominium Housing: The Integrated Housing

Development Programme. United Nations Human Settlements Programme: Nairobi.

12. Ministry of Federal Affairs and German Technical Co-operation Low costhousing technical manual

Addis Ababa, Ethiopia 2003

13. low cost housing in addis ababa Thesis (2006)

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