The National Housing Estate Limited, the business arm of the National Housing Commission which was liquidated by a shareholders resolution, will now be applying new rental collection approaches to tenants who are not up-to-date with rental payments.
Its aim is to reduce outstanding rentals dating back to 2012 at K4.7 million.
The resolution to liquidate the National Housing Estate Limited by March 2018, by shareholders, Housing Minister John Kaupa and Finance Minister James Marape was due to debts amounting to K16 million and its audits not done on time.
For that liquidation process to be complete and wind down, incoming Executive Chairman Roger Gileng Otto aims to lower National Housing Estate Limited’s total liabilities by at least 50 percent.
From the debt of K16 million, K4.7 million is unpaid rentals by tenants living in its properties along Henao Drive, Korobosea and Saraga Street (Six-Mile).
Otto said the National Housing Estate Ltd is not making money, but that is because certain tenants at its properties have become chronic defaulters who have not paid rentals.
Some rentals are outstanding up till to 2012.
The estate’s priority now is to reduce the massive liability.
He also said the decision to liquidate can be reconsidered if the debt is reduced by 50 percent.
(Incoming NHEL executive chairman, Roger Gileng Otto)