Category Archives: Building Plans

A total of 195 building plans to the value of N$365 million were approved by the City of Windhoek in May 2015. On a year to date basis 1,073 plans were approved with a value of N$937.7 million versus 1,104 plans valued at N$1,158 million last May. On a year to date basis the value of plans approved was down 19% although recovering during May. On a month to date basis the value of plans approved rose 232%. The large increase in the value of total plans approved during the month is attributed to the value of additions to existing property growing significantly. The below chart illustrates the elevated value of plans approved in May, with only two months during the last five years exhibiting a higher value of plans approved.

While the 12 months cumulative number of plans approved is still well down from peak levels, the 12 month cumulative value of plans approved has rebounded due to the strong values in May. The 12 month cumulative number of plans approved fell to 2,815 from 2,834 in April, while the 12 month cumulative value of plans approved rose from N$1,879 million to N$2,079 million.

In our view the construction sector will remain one of the leading growth and development sectors for 2015 in the Namibian economy, with both private sector and government having aggressive development plans. However, many such plans fall out of the Windhoek municipal area, and as such are not captured in the monthly building plan statistics.

A total of 206 building plans to the value of N$110 million were approved by the City of Windhoek in April 2015. On a year‑to‑date basis, 878 plans were approved compared to 890 plans over the same period last year. In value terms, plans approved year-to-date are worth N$472.5 million compared to N$992.1 million for the same period in 2013, down 42.3%. This year to date decrease in value of plans approved is mostly due base effects as three large commercial projects were approved by the municipality in February 2014. On a monthly basis, 68 less plans were approved in April than in March, and the total value of plans approved was up N$84.8 million m/m.

The 12 month cumulative number of plans approved continued to lose momentum during April after a slight reversal seen in March, falling to 2,834 compared to 2,875 in March, with the year-on-year growth rate contracting by 10.3%, posting negative growth for the twelfth consecutive month, as shown in the graph below. The 12-month cumulative value of plans approved totaled N$1.878 billion, down 23.4% y/y, with the base again having a drag effect.

In our view the construction sector will remain one of the leading growth and development sectors for 2015 in the Namibian economy, with both private sector and government having aggressive development plans. However, many such plans fall out of the Windhoek municipal area, and as such are not captured in the monthly building plan statistics.

A total of 274 building plans to the value of N$195 million were approved by the City of Windhoek in March 2015. On a year‑to‑date basis, 672 plans were approved compared to 643 plans over the same period last year. In value terms, plans approved year-to-date are worth N$462.3 million compared to N$795.0 million for the same period in 2013, down 41.8%. This year to date decrease in value of plans approved is mostly due base effects as three large commercial projects were approved by the municipality in February 2014. On a monthly basis, 61 more plans were approved in March than in February, and the total value of plans approved was up 13% m/m.

The 12 month cumulative number of plans approved reverted from the downtrend experienced for the last year and a half, rising to 2,875 compared to 2,749 in February. The 12-month cumulative value of plans approved totaled N$1.966 billion, down 18.6% y/y, with the base again having a drag effect.

In our view the construction sector will remain one of the leading growth and development sectors for 2015 in the Namibian economy, with both private sector and government having aggressive development plans. March plans building plan approvals are showing signs of this development and we expect this to continue. However, many such plans fall out of the Windhoek municipal area, and as such are not captured in the monthly building plan statistics.