Ghana Real Estate Developers Association (GREDA) has called on government to intervene in the boardroom brawl between STX Construction and Engineering Ltd and their foreign counterparts STX Korea.
STX Construction and Engineering and STX Korea have both gone their separate ways following a continuous misunderstanding over ownership of the project.
The scuffle between the two partners has stalled the initial plan to build 30,000 housing units for security agencies expected to begin July this year. These developments raises questions about the commitment of STX to executive the project aimed at building total of 200,000 housing units over a period of five years.
However, the Executive Secretary of GREDA, Samuel Amiyeibor on CitiFM believes the only way for peace to prevail between the two partners is through an immediate government intervention.
He said government needs to state their position on the internal wrangling between STX Ghana and Korea and the possible sanctions they (STX) stand to incur should be project delay.
Mr. Samuel Amiyebor stated that STX construction firm has an advantage of funding hence found it very surprising that with the sovereign guarantee, STX has not been able to secure the needed funds for commencement of the project.
According to him, “with a sovereign guarantee from Ghana, anybody can secure a loan to do such a project”. Mr. Samuel Amiyebor noted that Ghana’s housing deficit of about 1 million is likely to double within a decade if immediate steps are not taken to salvage the situation.
The GREDA boss stated that, the STX housing project is a step in the right direction but stressed the need for due diligence to be done by government to either abrogate or continue to deal with STX to prevent incurring any cost to the detriment of the country.
He advised STX Ghana and Korea to settle their differences amicably to ensure a smooth implementation of the project.
Meanwhile, GREDA pulled out from the STX housing deal at the initial stages over allege intimidations questioning government’s commitment to growing local construction firms. GREDA was confident of executing the housing project claimed it could build houses at a cheaper cost.
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