Zambia to build 15,000 houses in 1 bln euro project

LUSAKA (Reuters) - Zambia is set to tackle its housing shortage with the start of a project early next year to build 15,000 houses at an estimated cost of 1 billion euros ($1.04 billion), Housing and Infrastructure Development Minister Ronald Chitotela said on Thursday. Zambia's state-run National Housing Authority (NHA) has signed a deal for the project with Magcor International Inc., the minister said. "The Magcor project is one of the many infrastructure projects due to start next year and we expect that it will ease our housing deficit," Chitotela told Reuters. Magcor signed a Memorandum of Understanding (MOU) and had already signed a Joint Venture Agreement with the NHA, Magcor CEO Michael Glynn said. Glynn said his firm had guaranteed financing to build the houses in partnership with the NHA and U.S. project management and construction company Volkert Global. He said the partnership would build the 15,000 houses over five years. "Magcor will design, build and deliver these projects to the leasing company NHA and related public and private sectors with both equity and debt financing," he said. Zambia has a housing deficit affecting 1.5 million people, a third of whom are in capital cities, he said. ($1 = 0.9591 euros) (Reporting by Chris Mfula; editing by Jason Neely)