This project gave permanent housing to 155 families previously living in rental housing without proper access to basic infrastructure and services. It provided home ownership, reliable access to water, sanitation and energy. The project is collaborative, with municipality providing infrastructure development support. The community was responsible for purchasing land and paying the cost of house construction, with all other facilities being either full or partial grant funded.
This was the first housing project for low income rental families in Pokhara and sought to emphasise the value of community participation, with families assisted to plan, design and build their own homes. This helped to demonstrate to the municipality that low-income rental families and communities are important actors of the city development, and that financing for improved housing conditions is a key contributor to economic growth.
Lumanti used funding to facilitate access to housing loans for families who otherwise face financial exclusion from formal banks due to a lack of data and perceived high risk. The project demonstrates the capability of low-income communities to repay loans. The money repaid has been revolved to invest in more community-led housing projects, the success of which is expected to attract banks and other financial institutions to finance affordable housing as part of their core business.
Since moving in, the majority of clients have further expanded their homes. The incremental design meant that all homes could be extended from single storey detached to up to 2.5 storeys.
Clients estimated to sit between 41st and 50th percentiles of incomes in Pokhara
|Description||Type||Number Completed||Unit Size (m2)||Monthly Cost |
|Loan Length (months)|
|Bank loans for self-build housing||Self Build||155||34||2380||84|
|Finance Description||Finance Source||Interest Rate (%)|
|Bank loans for self-build housing||Laxmi Bank||4.0|
Based on exchange rate on 31/12/2020
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Data last updated on 10/03/2021