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Millennium Housing to build 400 houses in three locations in Sri Lanka

ECONOMYNEXT – Sri Lanka’s Millennium Housing Developers Plc said it was planning 400 houses in three locations as there was unfulfilled demand for housing in the greater Colombo area driven by migration.

“Despite strong demand, residential construction remained weak, as the total number of housing approvals in Greater Colombo fell year on year, Millennium Housing Chairman Harshith Dharmadasa said.

“A severe shortage of low-end housing was evident caused by internal migration from rural to urban areas.

“Compared to the housing requirement of 100,000 units per annum, housing construction was only around 12,500 units per annum.

“Sri Lanka’s mortgage market remains very small, equivalent to around 3.6% of GDP in 2018, given the high interest rates and limited loan offerings.

Though housing volumes were down in 2018 prices of both land plots and houses had inflated around the island.

There was demand for affordable housing,

“We envisage to building up to 400 houses at three new locations over the next two years to meet the growing demand for affordable residencies in Sri Lanka,” (Colombo/Sept12/2019)