Growing mining activities in the Karibib constituency are bringing new hope for jobs and business opportunities.
However, residents could also face increased competition for land and accommodation that could impact the availability and affordability of housing in towns, Karibib, Omaruru and Usakos.
With construction of Osino Resources’ Twin Hills gold mine between Karibib and Omaruru in full swing, more workers, contractors and jobseekers are expected to move into the area.
For towns like Karibib, Omaruru and nearby Usakos, where land and rentals are still relatively affordable, the anticipated growth could gradually change the housing market in the constituency.
The three towns are also expecting an influx of jobseekers that could make housing a challenge.
Twin Hills currently has about 1 500 people working on site daily, while more than 60 contractors are involved in the US$500 million development.
Osino Resources country director Werner Schuchmann recently said construction is progressing on schedule, with first gold production expected around this time next year.
Once operational, the mine is expected to employ at least 1 000 people directly, while further jobs are expected through contractors, suppliers and other businesses.
“The multiplier effect, which we always talk about at the Chamber of Mines, job creation multiplied five or six times, the whole impact on Omaruru, Karibib and Usakos,” Schuchmann said.
Karibib
Karibib Town Council is already preparing for the expected influx and the additional pressure it could place on housing and municipal services.
In June, the council announced plans to sell 100 unserviced residential plots at Usab Extension 6 to Karibib Housing Development (Pty) Ltd.
The plots range from 300 to 1 500 square metres and were priced between N$3 000 and N$4 700 each. Development Workshop Namibia (DWN) has also recognised the possible impact the new mine could have on housing.
“The opening of a new mine often triggers an influx of workers and service providers into nearby towns,” DWN said.
Osino has partnered with DWN to provide 100 low-cost housing units for lower-salary workers expected to take up employment at Twin Hills. The project is currently in the design phase.
Karibib CEO Tangeni Enkono said the council has several programmes in the pipeline to prepare for the expected population growth.
“In terms of getting ready for the expected influx, we have already started certain programmes that are in the pipeline. We have engaged Development Workshop Namibia on the possibility of establishing a reception area where we can relocate people who are encroaching onto farmland on the northern side of the town,” he said.
Enkono said the management company of the affected farmland has approached the council about possibly making some of the land available in exchange for industrial-zoned land.
“For other income groups, we have allocated revenue to Osino Resources. They will be servicing the land for their workers,” he said.
The council is also planning for middle- and higher-income housing.
“At the same time, we have three extensions that we are likely to hand over to GIPF fund managers for infrastructure development and the construction of houses for middle- to high-income earners. Close to 700 erven are planned for that area,” Enkono said.
He said the council is also working on improving the town’s road network, including another road connection towards Usab.
Affordable housing remains key.
While the influx could provide opportunities for homeowners with rooms or flats to rent, as well as accommodation establishments and local businesses, increased demand could make affordable housing more difficult to find.
More workers, contractors and jobseekers competing for available houses, rooms and flats could push rentals higher if housing development does not keep pace with population growth.
The same pressure could be felt in the land market as demand for serviced plots increases.
Currently Karibib’s housing backlog stands at 1 000 housing units.
Enkono acknowledged that the developments are already putting pressure on the town but said the council also sees an opportunity for Karibib to grow.
“We are getting ourselves ready and believe we are on course. Although the town is currently under pressure, we also see the developments as an opportunity to grow the town and increase our revenue,” he said.
Usakos
What is more, neighbouring Usakos could also become an alternative for people working around Karibib who cannot find accommodation there, bringing more spending into the town but also increasing demand for land, housing and municipal services.
The town’s CEO Lesley Goraseb said the council is planning for future population growth.
He said the town’s structure plan is aimed at ensuring that future development takes place in properly planned extensions while making provision for different income groups, including lower-income residents.
“In the next 20 years, I don’t see Usakos having another informal settlement,” Goraseb said.
The post Mining boom beckons Karibib….puts pressure on housing, land delivery appeared first on New Era.
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