Opportunities

(For Demand side / Signs/Criteria Impact (Positive /Negative)

(For the Supply side)
 High Demand for quality housing,
 Geo-political position;
 industrialization;
 The growing economy
P: Increase Residential, commercial, and
 The niche market for luxury is not
Positive fundamentals (D) land demand
satisfied yet
N: Increase real estate prices rents
 A strong presence of the diaspora
community
 location of the product is an advantage
to the unique selling point.
P: Increase public infrastructure
Demographics (D)  Benefits of the window of opportunity investments and Residential, commercial,
and land demand
P: Increase public infrastructure
investments and Residential, and
 Rapid and continuous immigration to
Urbanization (D) commercial spaces demand
urban area
N: Increase irregular urbanization; land
shortage; rent-seeking activities;
P: The capital municipal offers and assists
 The capital is on the developing path to in several advantages for retail,
Addis Ababa city
a modern world metropolis commercial, and industrial Real-estate
projects
 Real estate ownership is a symbol of the
Motives in Domestic Demand socio-political statute, a major asset
P: Increase Residential and commercial
(D) class in the household saving stream,
building demand
and a big bet in rent-seeking activity
(for land)
Other Factors for Strong  A growing number of High-rising and P: Increase demand for niche residential
Demand (D) luxury apartment projects
P: Help to finance CA deficit; increase
R/C/L demand
 Growing FDI to RE and foreign home
(RE prices as well) in both tourism/urban
 ownership
areas
N: Rising doubts on foreign ownership
 Privatizations/selling of public P: Opportunities for land developers.
Public Policies
properties N: Increase rent-seeking activities.
 Dynamic and creative entrepreneurship
P: Increase supply; develop the quality of
in
Supply Side Advantages (S) Residential and commercial as well as land
 residential/commercial construction
management; enhance the sophistication
sector
 The growing number of foreign firms P: Increase technical knowledge and
and local realtors competition