Union, mortgage bank inaugurates 108 housing units in Kwara

The Omowunmi Multipurpose Cooperative Union in collaboration with the Federal Mortgage Bank of Nigeria (FMBN) on Saturday in Ogbondoroko, Asa Local Government Area of Kwara,  inaugurated 108 housing units worth N500 million.

Speaking at the commissioning, Dr Ibrahim Omo-Adua, the President of the cooperative union, said the project was a product of the first informal sector cooperative housing development loan granted by the FMBN.

He explained that the 108 housing units comprised of 54 units of fully detached three bedroom apartments and 54 units of fully detached two bedroom apartments.

The cooperative president said both the union and FMBN had through the intervention done their best to provide affordable housing units to the beneficiaries.

Omo-Adua described the cooperative union as a Mini-Micro Finance Institution, having 95 societies with membership numerical strength of approximately 7,000 members.

“The financial base of the union (capital base growth) was N3 billion as at December 2022, which revolves around the 95 societies with minimal interest on monthly bases,” he said.

He disclosed that the union had expended more than N100 million from its purse to complete the project.

The president of the union therefore appealed to the state government to ensure that the road to the site was tarred to allow easy access to the facilities.

Mr Lukman Mustapha, the Executive Director, Loans and Mortgage Services of FMBN, stated that the Bank’s Cooperative Housing Development Loan (CDHL) had become a major platform through which the Bank drives home ownership in Nigeria.

He said FMBN provides facilities for housing development and sponsoring mortgages for home acquisition for Nigerians in both the formal and informal sectors.

“Through this loan window, the Bank grants construction finance to Cooperative Societies at 10 per cent per annum interest and also finance their members to acquire the houses developed at 6 to 7 per cent per annum interest rate.

“FMBN also gives facility for housing construction and once the houses are built, the Bank also provides mortgage loans to members of the cooperative societies who are contributors to National Housing Funds (NHF) through accredited Primary Mortgage Banks (PMBs),” he said.

Mustapha said the bank’s intervention would enable benrficiaries purchase the houses and repay over a period of up to 30 years.

Gov. AbdulRahman AbdulRazaq of Kwara, who was represented by the Speaker of the state House of Assembly, Mr Yakub Danladi, said the event was long over due, adding that it will bring development to Ogondoroko community.

According to him, this is the first of its kind in Kwara for cooperative society to partner with FMB to get befitting houses.

The governor thanked members of the cooperative society for the initiative and prayed for them to enjoy the facilitaties to the fullest.

He promised that his administration would partner and give necessary support to FMBN in order to end housing deficit in the state.

Besides, AbdulRazaq urged other cooperative societies to be active and partners with FMBN, and emulate Omowumi Cooperative Society who are the beneficiary of the 108 housing units.

Mr Abdulmajeed Oderinde, a member of the union and beneficiary of the mortgage, praised the union and FMBN for their intervention, noting that the housing units are built with quality materials.

Oderinde said some members of the union members were actively involved in the monitoring of the project execution so as not to compromise quality.

He disclosed that beneficiaries are required to pay N64,000 instalmentally on monthly basis for a period of 10 years, after initial payment of N6.5 million. (NAN)