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Ogun Completes Recapitalisation of Gateway Savings and Loans

January 24, 2014

Committed to finding solution to housing challenges, the Ogun State Government has recapitalised the state owned mortgage bank, Gateway Savings and Loans, with the mandatory minimum of N2.5 billion. The state, according to Governor Ibikunle Amosun , has also re-energised the Ogun Property Investment Corporation (OPIC) and the Housing Corporation with fresh funds and new management teams to provide mass housing schemes. Amosun, in a speech delivered on his behalf by the state Commissioner of Finance, Mrs. Kemi Adeosun , during the launch of the Nigeria Mortgage Refinance Company (NMRC) at the Presidential Villa , Aso Rock , Abuja , acknowledged mortgages as solution to housing problems in the country. He said the government is partnering with private sector providers across the state to ensure quality housing that is ready for occupation supported by mortgages. "The most important initiative that relates to the mortgage market is our recently launched Homeowner's Charter. We discovered that the vast majority of property in Ogun State has no valid title documentation in the form of Certificate of Occupancy and no Building Plan Approval . "As you are all aware, property that has no documentation can not be readily sold and can not be used as security in any transaction, including mortgage transactions. To encourage owners of such property to regularise their status, our Homeowners' Charter programme introduced a 78 percent discount on the usual costs of obtaining Certificate of Occupancy and Building Plan Approval . "We have waived all the onerous requirements that have hitherto deterred property owners from regularizing the ownership documents for their property. We also cancelled all fines and penalties that are usually imposed for building illegally. "Our aim is that within 2014, every property in Ogun State will be fully documented and we believe that this will enable lenders to safely advance funds to those wishing to buy property in Ogun State ", Amosun stated. The governor hailed the establishment of the NMRC, noting that "it is the bridge between the long terms funds and the mortgage lenders, ensuring continuity and sustainability of the mortgage system. The initiative, the governor added, will also underpin a change in how we purchase homes across the nation, stressing that "the ability to purchase the single most important asset a person owns with ease at affordable rates, marks a huge step of progress for our people. It is anti- poverty and anti-corruption and will create a new class of landlords in Nigeria ", he said.

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Source: AllAfrica

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