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Why? I would say that even in advanced world, the entire population does not own. Yes, but 78% is quite a big number. It's alarming. I think that is changing. This data was from when? I think it was about two years ago. Yeah, it's changing. I think that the current housing deficit still stands at 2 million plus. But that's a deficit. This is ownership, right? The young person owning their home. Yeah. Because in the West, there are systems to allow them to own. But there are some issues, right? Yeah. So what people are saying is that
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It is because of the cost of the lands and then also the buildings. And then that's the reason why a lot of them cannot own. Derek, I'll start by saying that there must be a deliberate policy to expand. I'm so passionate about this topic because there must be a deliberate policy to expand real estate infrastructure around the country. And I'll explain that. Let's say you are from Akosombo.
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the road network to Akosumbo, and the other various means of transportation is in a good state. The banks, the industries are there. Are you going to come to Accra to come and seek greener pastures? We must decentralize the infrastructure so that we open up the country. That's why in Royal Kingdom, our vision is to build 1,000 acres of city in every region.
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That will become what? 16,000. Right. I'm not cutting you, but I must say what you've just said, you are doing. Right? Because I know one of your properties somewhere in Ebre. So you are doing it. So you're not just saying it. Yeah. Right. Thank you. So what I'm saying is that so the big push, like what the government is doing now, is going to be very instrumental in this. Because once the road, the travel time is reduced, we developers can now go into the outskirts
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where we can build reasonable, and build at reasonable cost. What does reasonable mean? If you build somewhere, let's say in, somewhere in Mampong, a three-bedroom house, how much will it cost you and how much are you going to sell it? So I'll say that affordability is not standardized. Okay. What is affordable to Derek may not be affordable to me. Yeah, I get it. I just want to know whether the person that is earning 5,000 CDs can afford your house in Mampong. Yeah, I'm coming. So I think the issue about affordable housing
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can only be solved by the government. Why? Because they have control over a lot of things. So let's say government prioritizes affordable housing and says, no, it's important. Government says, I'm upset. Royal Kinome State. That's what I mean. Rightly so. Government says, Royal Kinome State. We can see that your real estate principle or vision goes beyond just developing high rise for high end of the market.
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So we are going to support you. We are building road to Suhum. We are building road to Winneba. We are building road to Drapon. So we are going to give you subsidy on every building material that you purchase. We are going to give you a task holiday, a task ribbon. We want you to build and sell at this rate. We sit down and do the mathematics.
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and build at the barest minimum. People should be able to acquire real estate for 200,000 cities, two bedrooms. So I'm asking you the question, my fellow developer. So until then, I'm coming. Can you do that at, for let's say 400,000 cities, can you build a three bedroom property somewhere in Mampong and sell it for that price? You know, aquatel.
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You have it. No, it's impossible. It's impossible to build three bedroom. Three bedroom. It doesn't have to be a store building. No, you have to have alternative means. It means that you have to build with timber. It will not be the best of architecture, but you can still do something. Again, what I want to say is that, you see, providing real estate is very expensive, right, in Ghana.
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Because building materials are very expensive. It's not because the developers are greedy. No, no, no, no, no, no. Somebody said, the last episode I had, somebody said that it's just because the developers are greedy. In some cases, I may agree with them. But we must also be realistic. The return on investment on real estate in Ghana is one of the highest. Okay. So you have to look at the market. Because if I want to develop and I go and they tell me a land...
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in chado is 250 000 cement is the same amount they are selling it everywhere how can i provide affordable housing so this is what we have decided to do in a unique way we have decided that our real estate philosophy is a tripartite one i grew up at the country at the countryside so
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So my first passion is to go into the bush, a place that nobody thinks is possible. Design a master plan that is approved by the local authorities. Puzzle this land and do what we call land retailing. Now, when you acquire this land, you ask the question,
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400,000 cities. If you want to use 400,000 cities to build your home, we design according to 400,000. Oh, so then that means it's possible, right? Yes. Okay, so why don't developers do it and then sell it? No, so we are going there. So you want to do it. So we design a home that is $400,000. I see this. 400,000 cities. You like it. We take you through all the process. Yep. And we build for you at your pace. That's why I said...
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affordability is not standardized. So it means that, let's say if you have a hundred acre development, people are going to have built according to their budget. And for us, in Royal Kingdom, that's what we have done. That has been our trump card. Do you know what the young people are saying? No. This is a tweet from someone. They said that Ghanaians don't need the sort of homes that developers are building. What they need is that they want affordable single rooms, chamber and hall,
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Right? Not the type of high rise that is happening that the diaspora are able to have, they have the money to be able to buy those. And what it's doing is that it's causing the local prices to increase while they cannot afford it. I agree with them. That's why I said that once we expand the infrastructure, real estate infrastructure, the roads, for instance, people can go and live at Somanya. Yes. Can you buy a land encantlement for $1 million and build what you are talking about? I'm asking you. No.
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You can't. You can't. It's not realistic. We must be realistic. So what you do is to expand it to various parts of the country where people can live in very conducive and very beautiful architecture but still enjoying life. Because a private developer goes and acquires land
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Hold on. They spoke about high rise. You buy a land in Kanto Man for, let's say, $1 million or $800,000. Yes. Boss, can you build the very tiny homes on it? You have wasted the land. But a lot of the properties they are selling to, half of them are empty. I'll go there. People talk about real estate. They said location, location, location. Yes. I disagree. Okay. That is not a rule.
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The rule is vision, vision, vision. Dubai, 25 years ago, 20 years ago. That's on a government level. Now, I'm going there. It takes vision to create a location. It takes vision, that vision, to say, you know what? I'm going to Somanya. There's massive land there, reasonable price. The government is bringing the road and the infrastructure.
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let me build for this market people at the lower end of the market so that vision will then transform the location into a beautiful location that people will see today so if once we can have the infrastructure boss
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The banks will go there. Companies will go there. So people don't need to come. Real estate is not expensive in Ghana. It's not expensive. Listen, it is expensive in Accra. It's expensive in Aburi. Beautiful. It's good that you've raised the issue of Aburi. So the young people and also a lot of people in Ghana, one of the challenges they have is to access to capital, to have mortgage and all that. Number two.
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some of our people i have done real estate for long when you take people you are driving people to site once it's tech above 30 minutes or 20 minutes they are shouting it's far there are people in maryland that drive an hour two hours in other states in other places in in the uk to london to dc to work
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they don't complain. But our people, we don't have the resources, we must be able to also acquire where we can be able to acquire. And also at times,
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Come together. Acquire a property. Let's say one plot of land. Share it among yourself. We don't like working together. One plot? How many people? Like two people? Yes. Even four people can acquire it. I can design a beautiful architecture on one plot for four different people. All right. Let's look at it. A plot of land, you divide it into four. Yes. Right? And it shares among four people. So that plot that you're saying young people can go for, they can, you know, come together. Yeah. How much are you then going to sell? I have a land in a brewery that I'm selling...
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Let me stop you here for a minute. So if it's your first time watching Connected Minds, or you have been here before, but still have not subscribed, do us a favor, because majority of the people that watch our videos have not subscribed. This doesn't help us grow beyond what we expect. So help us by hitting the subscribe button. Thank you. Now let's get back to the conversation.
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I have a land in the Burid that I'm selling, which is about 10 minutes from the Burid town. That's how I was going to go there. Yeah. That I'm selling 100,000 cities. Okay. That's 25,000 cities per person. Right. And what you can build, boss, look at this. You build a duplex. Two duplex. Yeah. One person is at a down. The other person is at a down. Two duplex. That's four people in one.
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But people have high appetite. They want to live in grand architecture, but they don't have the resources. That place, it can take you an hour to the capital city. But when the infrastructure is great, it takes you lesser. That is why I put premium on building the transportation system, which will have railways, which are different means of transportation. So that is what we are doing. Somebody said, he says that a lot of real estate developers
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in Ghana are earning about 70% on their development after sales.
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Well, if that is it, we don't end that. But I think that's quite high. So you can subsidize. I think you can subsidize a bit for the market. Derek, how much are you selling your unit at Cruise? At Cruise? Cruise? How much are you selling your unit, the one you're building? So we have some of the units we are selling at, I think it's about 96, 97? 96, 97 what? $1,000, yeah. You know, that's like a million Ghana cities. Yep.
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so you see because that's in east lego that's exactly why i was saying 15 minutes away from the airport exactly so you have to go to the house care and create a stunning real estate infrastructure for people i believe that everybody within a certain income earning bracket is supposed to have a certain level of comfort when it comes to owning properties all right so we should create that options options options okay if you go to advanced countries i mean those who are very
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And with the greatest of respect, everybody has a certain economic strength. You must play to your strength. So today, like I said, 100,000 cities. If you spend 100,000, four of you acquire a plot of land, you build progressively, you have your own. When God blesses you, then you can move towards this high rise and all the different. But I cannot buy your $90,000. I still love my $400,000.
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All right, cool. So there's another thing, right? The person who wants to start their own real estate company, just as you have beautifully, should young people consider real estate as a way of, you know, building wealth for themselves? And I'm not talking investment. I'm talking about start setting up your own companies, either it's letting agencies or... The value chain is quite big.
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Why? I would say that even in advanced world, the entire population does not own. Yes, but 78% is quite a big number. It's alarming. I think that is changing. This data was from when? I think it was about two years ago. Yeah, it's changing. I think that the current housing deficit still stands at 2 million plus. But that's a deficit. This is ownership, right? The young person owning their home. Yeah. Because in the West, there are systems to allow them to own. But there are some issues, right? Yeah. So what people are saying is that
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It is because of the cost of the lands and then also the buildings. And then that's the reason why a lot of them cannot own. Derek, I'll start by saying that there must be a deliberate policy to expand. I'm so passionate about this topic because there must be a deliberate policy to expand real estate infrastructure around the country. And I'll explain that. Let's say you are from Akosombo.
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the road network to Akosumbo, and the other various means of transportation is in a good state. The banks, the industries are there. Are you going to come to Accra to come and seek greener pastures? We must decentralize the infrastructure so that we open up the country. That's why in Royal Kingdom, our vision is to build 1,000 acres of city in every region.
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That will become what? 16,000. Right. I'm not cutting you, but I must say what you've just said, you are doing. Right? Because I know one of your properties somewhere in Ebre. So you are doing it. So you're not just saying it. Yeah. Right. Thank you. So what I'm saying is that so the big push, like what the government is doing now, is going to be very instrumental in this. Because once the road, the travel time is reduced, we developers can now go into the outskirts
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where we can build reasonable, and build at reasonable cost. What does reasonable mean? If you build somewhere, let's say in, somewhere in Mampong, a three-bedroom house, how much will it cost you and how much are you going to sell it? So I'll say that affordability is not standardized. Okay. What is affordable to Derek may not be affordable to me. Yeah, I get it. I just want to know whether the person that is earning 5,000 CDs can afford your house in Mampong. Yeah, I'm coming. So I think the issue about affordable housing
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can only be solved by the government. Why? Because they have control over a lot of things. So let's say government prioritizes affordable housing and says, no, it's important. Government says, I'm upset. Royal Kinome State. That's what I mean. Rightly so. Government says, Royal Kinome State. We can see that your real estate principle or vision goes beyond just developing high rise for high end of the market.
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So we are going to support you. We are building road to Suhum. We are building road to Winneba. We are building road to Drapon. So we are going to give you subsidy on every building material that you purchase. We are going to give you a task holiday, a task ribbon. We want you to build and sell at this rate. We sit down and do the mathematics.
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and build at the barest minimum. People should be able to acquire real estate for 200,000 cities, two bedrooms. So I'm asking you the question, my fellow developer. So until then, I'm coming. Can you do that at, for let's say 400,000 cities, can you build a three bedroom property somewhere in Mampong and sell it for that price? You know, aquatel.
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You have it. No, it's impossible. It's impossible to build three bedroom. Three bedroom. It doesn't have to be a store building. No, you have to have alternative means. It means that you have to build with timber. It will not be the best of architecture, but you can still do something. Again, what I want to say is that, you see, providing real estate is very expensive, right, in Ghana.
10
00:04:13.004 --> 00:04:39.481
Because building materials are very expensive. It's not because the developers are greedy. No, no, no, no, no, no. Somebody said, the last episode I had, somebody said that it's just because the developers are greedy. In some cases, I may agree with them. But we must also be realistic. The return on investment on real estate in Ghana is one of the highest. Okay. So you have to look at the market. Because if I want to develop and I go and they tell me a land...
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in chado is 250 000 cement is the same amount they are selling it everywhere how can i provide affordable housing so this is what we have decided to do in a unique way we have decided that our real estate philosophy is a tripartite one i grew up at the country at the countryside so
12
00:05:01.435 --> 00:05:21.145
So my first passion is to go into the bush, a place that nobody thinks is possible. Design a master plan that is approved by the local authorities. Puzzle this land and do what we call land retailing. Now, when you acquire this land, you ask the question,
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400,000 cities. If you want to use 400,000 cities to build your home, we design according to 400,000. Oh, so then that means it's possible, right? Yes. Okay, so why don't developers do it and then sell it? No, so we are going there. So you want to do it. So we design a home that is $400,000. I see this. 400,000 cities. You like it. We take you through all the process. Yep. And we build for you at your pace. That's why I said...
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affordability is not standardized. So it means that, let's say if you have a hundred acre development, people are going to have built according to their budget. And for us, in Royal Kingdom, that's what we have done. That has been our trump card. Do you know what the young people are saying? No. This is a tweet from someone. They said that Ghanaians don't need the sort of homes that developers are building. What they need is that they want affordable single rooms, chamber and hall,
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Right? Not the type of high rise that is happening that the diaspora are able to have, they have the money to be able to buy those. And what it's doing is that it's causing the local prices to increase while they cannot afford it. I agree with them. That's why I said that once we expand the infrastructure, real estate infrastructure, the roads, for instance, people can go and live at Somanya. Yes. Can you buy a land encantlement for $1 million and build what you are talking about? I'm asking you. No.
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You can't. You can't. It's not realistic. We must be realistic. So what you do is to expand it to various parts of the country where people can live in very conducive and very beautiful architecture but still enjoying life. Because a private developer goes and acquires land
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Hold on. They spoke about high rise. You buy a land in Kanto Man for, let's say, $1 million or $800,000. Yes. Boss, can you build the very tiny homes on it? You have wasted the land. But a lot of the properties they are selling to, half of them are empty. I'll go there. People talk about real estate. They said location, location, location. Yes. I disagree. Okay. That is not a rule.
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The rule is vision, vision, vision. Dubai, 25 years ago, 20 years ago. That's on a government level. Now, I'm going there. It takes vision to create a location. It takes vision, that vision, to say, you know what? I'm going to Somanya. There's massive land there, reasonable price. The government is bringing the road and the infrastructure.
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let me build for this market people at the lower end of the market so that vision will then transform the location into a beautiful location that people will see today so if once we can have the infrastructure boss
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The banks will go there. Companies will go there. So people don't need to come. Real estate is not expensive in Ghana. It's not expensive. Listen, it is expensive in Accra. It's expensive in Aburi. Beautiful. It's good that you've raised the issue of Aburi. So the young people and also a lot of people in Ghana, one of the challenges they have is to access to capital, to have mortgage and all that. Number two.
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some of our people i have done real estate for long when you take people you are driving people to site once it's tech above 30 minutes or 20 minutes they are shouting it's far there are people in maryland that drive an hour two hours in other states in other places in in the uk to london to dc to work
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they don't complain. But our people, we don't have the resources, we must be able to also acquire where we can be able to acquire. And also at times,
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Come together. Acquire a property. Let's say one plot of land. Share it among yourself. We don't like working together. One plot? How many people? Like two people? Yes. Even four people can acquire it. I can design a beautiful architecture on one plot for four different people. All right. Let's look at it. A plot of land, you divide it into four. Yes. Right? And it shares among four people. So that plot that you're saying young people can go for, they can, you know, come together. Yeah. How much are you then going to sell? I have a land in a brewery that I'm selling...
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Let me stop you here for a minute. So if it's your first time watching Connected Minds, or you have been here before, but still have not subscribed, do us a favor, because majority of the people that watch our videos have not subscribed. This doesn't help us grow beyond what we expect. So help us by hitting the subscribe button. Thank you. Now let's get back to the conversation.
25
00:10:09.488 --> 00:10:29.890
I have a land in the Burid that I'm selling, which is about 10 minutes from the Burid town. That's how I was going to go there. Yeah. That I'm selling 100,000 cities. Okay. That's 25,000 cities per person. Right. And what you can build, boss, look at this. You build a duplex. Two duplex. Yeah. One person is at a down. The other person is at a down. Two duplex. That's four people in one.
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But people have high appetite. They want to live in grand architecture, but they don't have the resources. That place, it can take you an hour to the capital city. But when the infrastructure is great, it takes you lesser. That is why I put premium on building the transportation system, which will have railways, which are different means of transportation. So that is what we are doing. Somebody said, he says that a lot of real estate developers
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in Ghana are earning about 70% on their development after sales.
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Well, if that is it, we don't end that. But I think that's quite high. So you can subsidize. I think you can subsidize a bit for the market. Derek, how much are you selling your unit at Cruise? At Cruise? Cruise? How much are you selling your unit, the one you're building? So we have some of the units we are selling at, I think it's about 96, 97? 96, 97 what? $1,000, yeah. You know, that's like a million Ghana cities. Yep.
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so you see because that's in east lego that's exactly why i was saying 15 minutes away from the airport exactly so you have to go to the house care and create a stunning real estate infrastructure for people i believe that everybody within a certain income earning bracket is supposed to have a certain level of comfort when it comes to owning properties all right so we should create that options options options okay if you go to advanced countries i mean those who are very
30
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And with the greatest of respect, everybody has a certain economic strength. You must play to your strength. So today, like I said, 100,000 cities. If you spend 100,000, four of you acquire a plot of land, you build progressively, you have your own. When God blesses you, then you can move towards this high rise and all the different. But I cannot buy your $90,000. I still love my $400,000.
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All right, cool. So there's another thing, right? The person who wants to start their own real estate company, just as you have beautifully, should young people consider real estate as a way of, you know, building wealth for themselves? And I'm not talking investment. I'm talking about start setting up your own companies, either it's letting agencies or... The value chain is quite big.
