The South Africa Swedish International Housing Company NPC (SASIHC) is incorporated as a Section 21 Not-for-Profit Company in terms of the Companies Act of 2008. The Company owns land and property in the De Beers area, Kimberley in the Northern Cape Province. SASIHC is also a conditionally accredited social housing institute (SHI) by the Social Housing Regulatory Authority (“SHRA”) in terms of the Social Housing Act [Act 16 of 2008] and its applicable Regulations.

The business model of SASIHC is based on the 90:10 principle whereby 90% of the entities’ housing developments are purely commercial and are aimed at middle income households who could afford mortgage loans (bonds) accessed through the commercial banks. The 10% portfolio is the subsidised social housing component targeting low income households earning between R1,500 - R15,000. The commercial housing developments are necessary for cross-subsidisation of the social housing portfolio and to ensure financial viability and sustainability of the housing company.

During 2002, the Department of Housing and Local Government (COGHSTA) approved 500 institutional subsidies to develop and tenant social housing units over a period of four (4) years from 2003 onwards. The construction of Phase I of the Hull Street Project started on the13^th of January 2003 and 114 units were built in Hull Street and the social housing units was based on the “Instalment Sale Agreement”, commonly known as the Rent-to-Buy scheme in terms of the National Housing Code of 2009. Since 2009, 26 social housing units have been transferred to the qualifying beneficiaries (which includes deceased estates) and SASIHC is currently reporting on 88 units to the Social Housing Regulatory Authority (“SHRA”).

In terms of the project pipeline, SASIHC has developed a 5-year strategic business plan (“VISION 2024”) in which it plans to develop and tenant 2000 social housing units over the five-year period. 600 social housing units will be completed by 2021 and the application for project accreditation and approval is to be submitted to the SHRA by the end of July 2019.