THE LOGEMENT GROUP in SITAP (The Tunisian Real estate Show in PARIS) 17, 18, 19 and 20 May 2013
THE LOGEMENT GROUP will be present and prominent in The Tunisian Real estate Show in PARIS which will be held in Paris from 17 till 20 May of this year in the Espace Champerret, Paris 17th (M ° CHAMPERRET)
The Tunisians residents in France or in Europe, as well as all those who are interested to buy a property in Tunisia, will be welcomed with the skill and the helpfulness who characterize the dean of the Real Estate developers in Tunisia.
Financing according to Chariaa at Banque Zitouna
The real estate funding « Tamouil Menzel » relies on the Mourabaha principle
The Mourabaha is a contract designed for the purchase and sale of an estate on a cost-plus-fee basis known to and agreed upon between the bank and the customer. Banque Zitouna buys the estate which it resells to its customer in a timely fashion in return for a cost fee agreed upon by both parties. This spread, margin, could consist of a flat amount or of a percentage of the initial acquisition cost of a given estate.
Direct funding up to 80% of the funding plan.
Unlimited funding according to the customer’s refunding ability.
Refund period up to 20 years.
Flat margin rate throughout the repayment period.
Funding solution validated by the Sharia Committee.
To be compliant with Sharia, the purchase and resale of the estate have to be real and not fictitious. The bank’s flat cost, profit margin and the payment periods shall be known, set and accepted by both parties in advance.
The Mourabaha process requires the drafting of two contracts, one of which is designed for the purchase of the estate by the banque Zitouna from the real estate developer while the other one is meant for the sale of the said estate to the client by the bank. But this raises the problem of duplicate taxation which the 2011 finance law is poised to resolve.
It is worth noting that in Islamic finance, there is no such thing as « credit » or « loan », but we refer to such notions in terms of purchase and sale, nor is there mention to “interest rate”; the expression “operating spread” is used instead.
The spread rate in use by the Banque Zitouna for the acquisition of a real estate is likely to range between 4 and 5% a year on the acquisition cost basis. The spread rate shall be set during the entire repayment period and reckoned on the basis of the estate’s initial acquisition cost.
The Banque Zitouna website displays a simulator designed to enable clients to determine their ability to access funding and to calculate its dates of maturity.
Tunisia : As far as Expatriates are concerned, living in Tunisia is the least costly of all Maghreb countries.
An international report ranking 111 countries according to the cost of living and quality of life in their respective capital cities has recently been published.
It has to be emphasized from the outset that this report and its ranking are designed for expatriates, hence its significance for Tunisia as well as for other countries at times when tourism and real estate have become indispensible investment niches. In this regard, we still recall the recent Tunisian Real Estate Show that was held in France and where Tunisian property developers highlighted the upsides for foreigners to purchase their apartments in Tunisia.
This report has confirmed this new trend and this new channel of export for Tunisia. The mentioned report has ranked Tunisia in the 83rd position among the world’s least expensive countries. Tunisia is ahead of countries like Morocco which relies so much on property sale to foreigners inviting them to buy property in Morocco and get settled there. It is equally worth noting for Tunisians traveling abroad for their shopping in Morocco and Turkey that both countries are lagging far behind Tunisia. Morocco is ranked 65th while Turkey is in 50th position. Almost all of Middle Eastern countries, Qatar (41st position), Kuwait (55th position), Bahrain (62nd), Libya (70th) and even Egypt (80th) are clearly more expensive than Tunisia.
Source: African Manger , June 2010
LOGEMENT Group invest in LA MARSA
LOGEMENT Group, Real estate development pioneer has never built in the territory of La Marsa town. Since the begining of 2010, the Group enriched his offer in greater Tunis and more precisely in its surbub by launching a project of two high standing residences containing appartments of type of one living + 1 room until one living + 4 rooms.
There will be even some duplexes in higher stairs with very nice terrasses with panoramic view over Carthage hill. The known quality of the group buildings ( Sadig and l’immobilière de l’Ariana) will make out of these spacous appartments inside the greens of Soukra a very pleasant place to live in. Sales will start begining of May 2010.
The ceilings of the
FOPROLOS loans are revalued
Further to the ministerial
Decree of December 2nd, 2009, the ceilings of
the FOPROLOS are raised as follows:
FOPROLOS 1 :
individual housing for surfaces lower than 50 m
², collective housing for sufaces lower than 65
m ²; income lower than twice the SMIG (GUARANTEED
Ceiling buying price : 39
Ceiling credit: 35 000 DT,
with possibility of benefiting from a subsidy
granted by National Solidarity fund 26-26 "
representing the self-financing of 10 % within
the limit of 4 000 DT.
FOPROLOS 2 :
Collective or semi-collective housing of a built
surface of 75 m ²;
Gross income between 2 and 3 times the SMIG (GUARANTEED
Ceiling buying price : 50
000 DT or 667 DT / m ²
Ceiling credit: 45 000 DT
FOPROLOS 3 :
Collective housing from 80 to 100 m ², Gross
income between 3 and 4, 5 times the SMIG(GUARANTEED
Ceiling price: between 54
000 and 67 500 DT
Ceiling Credit: 57 375 DT.
The SMIG(GUARANTEED MINIMUM
WAGE) weekly 48 h is 259 dinars a month at
Sadig, sister company of the group began a new project in “Borj Louzir” (Municipality of Soukra, Governorate of Ariana)
Sadig, started in the continuation of the Residences El Kaouthar and El Fourat,… New residence NADA, is composed of 108 spread in 4 buildings of 6 floors, it contains Living+2 and Living+3 apartments, economical type that will be made under the same quality which made the reputation of the group.
The key delivery is foreseen during begining 2011.
LE LOGEMENT Group in the 2nd TUNISIAN REAL-ESTATE SHOW in PARIS - SITAP
LE LOGEMENT Group, represented by its chairman, Mr Tarek Châabouni and by its Senior Engineer, Mr Hasnaoui Amami will be present in the 2nd Tunisian real-estate show in PARIS ( SITAP) which will take place from 12 to 14 June 2009 in the space Champerret ( Paris 17th).
The group invites all the public and friends in the booth 68-81 (near of the place reserved for banks) where they will find according to its traditions, listening, attention and advice.
Thank you in advance
La Banque de l'Habitat creates a new category of home loan plan
M. Brahim Hajji, Chairman of la Banque de l'habitat, declared to the news agency TAP that this new presidential decision within the framework of the successive measures taken by the Head of State to promote investment, to facilitate the conditions of obtaining housing loans and to improve the living conditions of the citizens. This measure comes to strengthen seven other categories of housing loans available within the BH.
The new category "N" allows the obtaining of a loan till the amount of 53,000 dinars for a 4 years saving basis, against a 40,000 dinars ceiling at present for the categories "M" and of 67,000 dinars for a 5 years savings against 50,000 dinars at present.
The amount of the credit can reach 83,000 dinars for a saving of 6 years against only 60,000 dinars at present. These credits are refundable over a period of 25 years with a preferential interest rate of 5,75 %.
The new category of loans will benefit to the persons having a home-buyer's savings account to the amount of 24,000 dinars (18,000 dinars at present).
This measure will allow to obtain an additional loan of an amount equivalent to the amounts of the first loans but with an interest rate of 6,50 % against 7,50 % previously.
SOURCE: TAP AGENCY ( MARCH 13TH 2009 )
2009 begins, our work-sites advance
The project "Residence LES MIMOSAS" of LE LOGEMENT company, the november 1968 founded group mother company, begun at the end of 2008, a new project. The construction rises beyond the basement (see photos). The projected residence is situated in the JARDINS D’EL MENZAH 2, works will last all the year 2009 and the key delivery is foreseen during begining 2010.
(January 08 2009)
LE LOGEMENT Group launches his 1st Radio campaign
Tuesday December 23 AT 7H 45 am, the first radio spot, related to the Residence EL Habib in Riadh El Andalus was diffused, the technically and commercially successful implementation by L'Immobilière de l'Ariana, it was broadcasted on the waves of Mosaic Radio FM. We remind that the project is totally finished since October 2008. LE LOGEMENT Group, as to his habits, innovated in order to contact a larger public through a radio that seduced the majority of the listeners of the larger Tunis.
Mr. Moncef Kôoli, President of Tunisia’s Property Developers’ Union:
“There’s no slump in the real estate sector, and prices aren’t likely to fall.”
Prices have soared and are becoming prohibitive, a trend that has been steady since independence. Isn’t there a risk of a property bubble which may burst and have a real impact on the real estate sector in Tunisia?
True. Prices are soaring. They’re rising at a more rapid pace than inflation, in general. There’s an overall inflation in the country which has fluctuated over the years, though remaining for the last twenty years fairly reasonable. Against that, there’s the inflation in the property sector, caused by land, construction and real estate prices, in general. In my opinion, this rise in prices has been, over the last twenty years, twice the rate of overall inflation. This is, to my mind, really unbearable, as the wealth and income of households do not increase as rapidly, and it may, at one time or another, have negative impacts. So far, we have been able to manage thanks to a couple of factors. The first is demographic growth; the second is that the major part of the buyers of new housing property are people who buy to dwell, not to speculate. One may speak of a property bubble when there’s actually a phenomenon of speculation, that is when people buy to invest and speculate, which is not the case in Tunisia. Most buyers remain, indeed, people who buy to dwell, i.e. people who contract a loan, to supplement a little saving, and buy a house which they intend to keep, not with a view to selling against return on investment. Quite the contrary, these people buy to settle and become owners. Besides, a very small part of these people buy a house, providing the money via the sale of another house which they bought some time back in the 1970s or 1980s. Consequently, the increase in price they now have to pay for the new house also helps them buy a more expensive house.
Precisely, isn’t there a risk that the price of property would fall, while we notice that average rent—a major indicator of the real estate context—are sliding and that rent prices do not increase as rapidly as the prices of new property? Wouldn’t this encourage buyers not to get indebted for the purchase of a new house and prefer to rent one, thus inducing a slump or investment purchase?
I don’t really think that prices will fall. The pace of increase of housing prices has, admittedly, landed since the increase in costs. For the sake of illustration, steel—for instance—has increased by 80% over the past ten months. Other materials have increased slightly less than that, though they, too, have risen quite significantly. As a consequence, the price of a luxury flat has gone up from about 1000 TND/m² to 1300 TND. The increase has stabilised in the range of 25 to 30% over the last three years, that is, we’re still in the range of 7 to 8, or 9% of increase per year, while the cost of construction has almost doubled up over the past five years. This is due to the fact that there is a limit on property developers’ margins, who have—actually—benefited from construction density. However, as regards rent prices, I can be definite about that. Return on house rent has, indeed, decreased quite significantly; this is because while costs have soared, rent is pegged on incomes and that people rent according to their income and their wages. Consequently, the return on rent, which used to be in the range of 4 to 5%, has dropped to a mere 3%. It is, however, worth noticing that the rate of house purchasers for rent purposes, that is as an investment, has always been marginal.
Are there any building societies that have experienced financing problems?
There have been no problems on the part of bankers to finance property developers. On the contrary, banks are queuing up to finance successful developers.
So, banks really “buy in” the promising prospects of the real estate sector?
Yes. And let me add that the monetary authorities have quite well managed this sector since its early beginnings. They have, indeed, been quite cautious and alert. The Central Bank of Tunisia (BCT) and the Ministry of Finance, have managed the real estate sector quite well for a long time now, and they deserve to be congratulated. Personally, as President of the Property Developers’ Union, have seen so many claim the cancellation of the 40% ceiling* because they couldn’t borrow beyond that. I congratulate those who upheld this rule. They have been quite prudent. In Tunisia, so long as you have no capacity to reimburse, you can’t borrow. It is this that has spared our country the crisis which has befallen this sector. It is worth recalling that BH (Housing Bank) has been recently listed as best bank in Africa with regard to housing, a fully deserved recognition.
* Editor’s note: Tunisian banks, indeed, cannot grant credit on monthly reimbursement beyond 40% of one’s income.
Excerpts from: www.Africanmanager.com
A project finishes, another begins
While the Residence El Habib at Riadh El Andalous is in the process of achievement and will soon be delivered to its new owners, LE LOGEMENT Group starts a new project on the heights of the "JARDINS D'EL MENZAH". According to the tradition, a young bull was sacrified in the foundations of the new building. The sale will begin during the course of the year 2009.
Banque de l’Habitat : extending the housing credits repayment period
Mr. Abou Hafs Omar Annaji, Managing Director of the Banque de l’Habitat, at the 3rd June press conference, announced that new presidential measures pertaining to housing credits are coming into force at the beginning of next July. This measure entails extending the housing credits repayment period whilst maintaining the same interest rate for the whole period.
As for the housing savings credit, the repayment period will be extended to 25 years instead of the previous 20 years with a 6.75 % fixed interest rate for normal credits and 7.5 % for additional credits.
For the “El Jadid” housing savings credits, the repayment period varies between 10 and 20 years depending on the nature of the regime. The interest rate went down by one point and varies between the money market rate (MMR) + 2 and 8 % fixed.
For direct credits the repayment period varies between 15 and 20 years compared with the previous 10 and 15 years, with an interest rate ranging from MMR + 3 and 8.5 % fixed. Our aim is to improve the client’s repayment capacity and to reduce the debt burden, said Mr. Annaji. Is it not too risky to fix the interest rate for these periods of time ? “We believe that we have reached a level which makes it possible for us to do so,” he replied.
Even those credits allocated before July 2008 will be covered by the new repayment conditions. From the beginning of next month, the new measures will be applied to the other credits.
The “Banque de l’Habitat” (Building Society/Bank) is creating a new savings account book category
The Banque de l’Habitat is creating a new savings account book category which entitles the holder to a 100 000 Dinar credit. The Bank has thus launched a new category of Housing Savings Plan Book with the following features:
- Savings amount: 20 000 Dinars
- Savings period: 4, 5 and 6 years
- Normal credit: up to 60 000 Dinars
- Additional credit: 40 000 Dinars
- Period of reimbursement: up to 20 years.
Webmanager - 05.06.2008
The housing savings book entitles the holder to a 5.25 % net interest per annum, the highest rate available of all the forms of savings and entitles the holder to a credit at a rate of 6.75 %.
The “Banque de l’Habitat” will lower its interest rates
The “Banque de l’Habitat” will lower its interest rates
Good news for lodging appliers. The Bank of the Habitat (BH) was authorized to reduce its interest rates on its lodging loans. These rates will remain unchanged whenever the period of reimbursement of the direct credits surpasses 15 years.
This news was announced, Wednesday March 26th, 2008, after an audience that the head of State granted to the governor of the central Bank of Tunisia (BCT).
Housing – Tunisia XIth Plan
2.5 million housing units in 2004
“The Housing sector doubtlessly has a place of choice in the social and economic development policy in view of its direct impact on the stability and wellbeing of families and individuals and its role in promoting employment.
The measures taken so far have lead to significant results in this domain as can be seen from the last general census of the population and housing which showed that the housing sector has risen to 2.5 million housing units in 2004 against 1.8 million housing units in 1994, i.e. a 3 % increase in the last decade. This increase has been accompanied by a clear improvement in the housing quality.
Rudimentary housing thus represents less than 1 % of the available housing thanks to the intervention of the National Solidarity Fund and better income of individual earners.
The Xth Development Plan made it possible to build 255.4 thousand new housing units by investing 6.7 billion Dinars. Home ownership thus rose to a level of 78 %.
These eloquent figures demonstrate doubtlessly that a qualitative change has taken place in the housing sector. Numerous issues however still remain to be resolved involving deep thinking and sustained actions as for example in the case of the costs involved in building social housing in particular, the drop in the number of social housing units meant to be sold, the great demand for housing for low-income social categories within large agglomerations, scarcity of land for building purposes and a lack of investments to build housing units for renting.
All this new data had to be incorporated into the present development plan so as to better respond to the growing needs in the housing sector.
Responding to the growing demand
The new strategy adopted aims to increase the supply of new housing units by building 300 000 new housing units, 260 000 units of which are to meet the additional demand and 30 000 are to replace old housing which represents a total investment of approx. 10.100 million Dinars. The private sector will get the lion’s share and will provide 281 thousand housing units for a total investment of 9.5 billion Dinars whereas the public real estate promoters will provide 18 638 housing units with an investment of 596 MD.
This means that 5 625 ha of building land will have to be developed in urban areas. The private sector will have to provide most of the land whereas the Housing Land Agency (Agence Foncière de l’Habitat) will acquire 1 130 ha for a total investment of 121 MD, will develop 1 142 ha for a total investment of 308 MD and will proceed with the elaboration of technical studies and master plans for building covering a surface area of 1 271 ha.
As for the financing , the Banque de l’Habitat will continue deploying intense efforts to impart the necessary impetus to the sector by allocating 2.7 billion Dinars to finance real estate promotion projects and 2 billion Dinars in the form of credits to finance new projects.”
Graduation ceremony of professional real estate syndics
During a ceremony that took place yesterday morning in the town hall of Tunis, Mr. Abbès Mohsen, mayor of the capital, delivered to the first promotion of recently trained professional real estate syndics, and the official diplomas allowing them to exercise in buildings of Tunis.
In this occasion, the mayor of the capital indicated that the organization of this session enters into the framework of the orientations and objectives of the program of the President Zine El Abidine Ben Ali "For the Tunisia of tomorrow", related to the reinforcement of the quality of life, and the consolidation of the job offering, notably for the graduates of the higher education, and new activities.
Mr. Abbès Mohsen greeted the efforts on the parties that contributed to the elaboration of the first convention on the profession of professional real estate syndic, concluded between the city hall of Tunis, the national office of the job and independent work and the Tunisian Bank of solidarity (BTS). It has, in this context, he stressed on the efforts deployed by the municipality of Tunis to guarantee the permanence of the activities of the businesses that will be created by these young promoters.
The municipality, he explained, will work to make them known, to facilitate them the conclusion agreed with the syndics of buildings and to assist them at the time of the begining of their activities.
The Housing Minister has published the following may 14th, 2007 law
The new housing ceiling price constructed by oppointed real estate developpers and financed by the Employees Housing Promotion Fund as described in articles 5 (new), 6 (new) and 6 (ter) of decree n°77-965 of november 24th 1977, in execution of the law n°77-54 of august the 3rd 1977, is fixed as follows :
Type de housing
Individual social housing max built area 50 m²
Collective social housing max built area 75 m²
Collective vertical housing max built area between 80m² and 100 m²
New in Tunisia: a 25 years refunding mortgage! Till now loans go up to 15 years, except one bank that proposes 20 years.
It is the ATB Bank that has just announced this credit mentionning its unbelievable character. The adjective is right, because no one expected it really. moreover, the bank does not request any account anteniority and proposes to its customers who are holding certain savings accounts a bonused rate.
This initiative will certainly boost the real estate market and will facilitate the access to property. This was the case in several European countries, whenever the banks introduce a new product and new refund period lengths.
The ultimate famous case is of spanish banks who, some months ago, by putting the ceiling of credit refund to… 50 years !
BIAT has launched a new product, BIATIMMO, a credit to finance the main residence of the beneficiary either in old or new housing up to a ceiling of 80 % with a reimbursement period which could last up to 20 years.
In order to have long term real estate financing, ATB has launched a variable duration debenture which could last up to 25 years. A longer term credit could be made available soon.
The decree instituting a new category of profitable ones of the Foprolos has just been promulgated. it stipulates that :
The employees of which the monthly salaries, all understood compensation, are situated between 3 and 4,5 times the SMIG can benefit from the loan ones of the Foprolos.
- The lodging is an apartment of 80 to 100 m².
- The autofinacement of the employee is of 15% minimum.
- The loan one must not exceed 210 times of the SMIG or 85% of the lodging price of the lodging.
- The reimbursement length is of 20 years with a frankness year without interests.
- Interest rate : 6,75% the year.
Source : Journal Officiel de la République Tunisienne du 9 Janvier 2007
According to the " ECONOMIC BUDGET OF 2007", edited by the Ministry of the Development and International Cooperation in November 2006, it will be constructed 50,800 lodgings in 2007 for an investment amount of 1,748 millions of Dinars. The part of the private sector (Households and real estate private developers) will be of 48,000 lodgings and 1,638 MoD. The realized lodgings in 2006 would be of about 47,500.
The shopping Center " ARIANA CENTER", property of the group LE LOGEMENT, contains 160 stores and 115 units of offices was renovated in depth during the year 2006. 4 new portals were installed in order to improve the accessibility of the center. Central air-conditioning (hot and cold) was improved by the purchase of new pumps and the elevators were renovated and embellished.
The Tunisian banks granted 2.569 millions of dinars of credits to the lodging (purchase of lodgings nine or old, renovation or extension of lodgings existing) in 2005 while they already had lent 2.265 millions of dinars be a remarkable progression of 13,4%. The credits lodging represented in average 60% of the total of the credits to the special ones.
After several very successful projects that had big commercial success, LE LOGEMENT, the oldest real estate promoters, starts a real estate project of economical category. It will include 72 apartments type living + 3 rooms and 12 apartments type living + 2 rooms.
The delivery is foreseen at the end of 2007.
The beginning of the registration is foreseen for the end of the Ramadhan (September – October) 2006.
A recent law approved in August 2005 introduced 2 new elements in the management of buildings in co-ownership:
- local authorities, and the mayors first and foremost, may offset the absence of a property management, by nominating for a minimum period of 6 months, a professional property manager (a professional body was created by the law) whilst waiting for the assembly of co-owners.
- Property managers have obtained the necessary rights to receive the contributions to cover maintenance costs, within 24 hours.
DRAFT LAW TO CREATE PROFESSIONAL PROPERTY MANAGERS
The Council of Ministers during its meeting on 10th May 2005 examined a draft law to modify and complete the code on rights.
The draft law aims to provide an appropriate legislative framework to organize the co-ownership of buildings divided into storeys so as to ensure an equilibrium between the individual property rights being exercised and the demands of co-ownership. The draft law also aims to create a professional real estate management which would be regulated by specifications and whose task it would be to look after and to ensure the maintenance of the buildings.
The Council also examined a draft law making it possible for the real estate manager to undertake, apart from his duty as a real estate manager, the functions of a professional real estate syndic.
This measure is likely to support the efforts to maintain the existing real estate and to preserve it.