Revitalizing Malawi’s Economy: Harnessing the Power of Real Estate Growth

Key Business Points

• Real estate investment: Eris Properties Malawi urges Malawians to consider real estate as a long-term investment for sustainable income and value preservation.
• Private sector involvement: The private sector is encouraged to take the lead in developing the country’s property and real estate sector, rather than relying on government initiatives.
• Diversification of investments: Village savings and loans groups are advised to channel their collective savings into property development, such as buying land and developing it gradually, to hold value and generate revenue over time.

Eris Properties Malawi, a property development and services company, recently hosted a business breakfast with Icon Properties plc, both subsidiaries of Malawi Stock Exchange-listed Nico Holdings plc. The event aimed to close the knowledge gap about the two companies and the opportunities available in the country’s property and real estate sector. According to Washington Chimuzu, CEO of Eris Properties, the company boasts an occupancy rate of over 95 percent, but acknowledges that the sector is not immune to cyclical economic shifts that affect demand.

Chimuzu emphasized the importance of flexible spaces tailored to customer needs and market conditions, urging village savings and loans groups to consider investing in housing, even if it means buying land and developing it gradually. This approach can help hold value and generate revenue over time. Former Blantyre City mayor Noel Chalamanda stressed the need for private sector proactiveness, citing the lack of structured residential development in the country’s cities despite Malawi having a lot of land.

Private practice lawyer Patrick Mpaka commended Eris Properties for the event and encouraged widening the conversation to include professional bodies such as architects and engineers. He emphasized that the private sector must take the lead in developing the country, and that collaboration with the government is crucial. Guest Noel Mwenifumbo described the meeting as an eye-opener, stating that it expanded his knowledge on how to invest his hard-earned money.

The event highlights the opportunities available in Malawi’s property and real estate sector, particularly for individual investors and village savings and loans groups. By considering real estate as a long-term investment, Malawians can generate sustainable income and preserve value. As Chimuzu noted, "perhaps those groups need to consider investing in housing… it is a way of holding value and generating revenue over time." This approach can also contribute to the country’s economic growth and development, in line with the Chichewa business term "kulima kwa mphamvu", which means "to farm with strength" or to invest with diligence and perseverance.

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