GREDA raises concerns over low foreign developer participation

The Ghana Real Estate Developers Association (GREDA) is concerned. They see limited involvement from foreign developers as a major barrier. This issue hinders GREDA’s mission in the real estate sector.

At the inauguration of GREDA’s Executive Council Standing Committees, President Dr. James Orleans-Lindsay spoke about this problem. He noted ongoing efforts to increase foreign developer participation. However, these efforts have faced significant challenges.

Dr. Lindsay pointed out that many large-scale projects are underway. Yet, most major developers, especially foreign companies, are not GREDA members. He stated, “That is a problem.” Despite repeated outreach, these companies have shown little interest in joining.

He also mentioned that liquidity is leaving the local system. This capital could support domestic developers and promote national growth. “It’s a serious issue,” he said, expressing concern over this diversion of funds.

Additionally, Dr. Lindsay discussed stagnant property prices amid currency changes. The cedi has appreciated against the dollar recently. However, key input prices like cement and iron rods have not decreased.

Currently, a $100,000 property costs around ¢900,000—down from ¢1.6 million at its peak. Yet developers have not adjusted their prices accordingly.

In related news, Irene Odokai Messibah from the Ministry of Works and Housing announced a review of the Rent Control Act and its Legislative Instrument (LI). She stated that this review aims to operationalize the Real Estate Agency Council Act. The goal is to create a more favorable regulatory environment for the sector.