Assessment of the Contributions and Challenges of Private Real Eastates in Addis Ababa: The Case of Gift & Semu Real Estate Companies

This research project reports the findings of a study conducted to assess the contributions and challenges of private real estate companies in Addis Ababa specifically the case of GIFT and SEMU real estate companies. The study followed case study on the companies and used questionnaires survey and interview to collect the data. Samples were taken from the non-managerial employees and managerial staffs of the companies by using census. The data collected was analyzed by using descriptive methods. Based on the results of the study major findings shows that real estate companies contributing by providing residential and commercial houses, creating technology and new design as well as job for both fresh and experienced professionals and at the same time sources of skilled professionals, making the city plan based and beautiful, participating in social responsibility and providing infrastructures to the community and others on the other hand, major finding on with regard to challenges of private real estate companies were difficulty to get finance and interest rate as well as in accessibility of land, lease price and its interest rates, shortage of construction materials, experienced professionals and foreign currencies, the government policy and laws and others. Finally, the study recommends that the government is advised to work on provisions of land with affordable price and avoid bureaucratic behaviors as well as come up with laws providing incentive package to the industry; financial institutions are recommended to easy their ways of providing loans as well as foreign currencies; and the real estate companies themselves should minimize their boundary problems and create great linkage to other industries.