Decade-Old $200m Housing White Elephant Advances as Mahama Government Resurrects Project
By Gifty Boateng
In a dramatic move to rescue a national embarrassment, the government has launched a final attempt to complete the infamous Sagleme Affordable Housing Project a sprawling ghost town of 1,500 empty flats that has swallowed $200 million and become a symbol of Ghana’s failed housing promises for over a decade.
Water Resources, Works and Housing Minister, Kenneth Gilbert Adjei, has revealed that a secret deal with a new private developer has been struck and the crucial documents are now with Attorney-General Dr. Dominic Ayine for a make-or-break review, sparking hope that the 5,000-unit dream may finally see life.
The Sagleme project, a 300-acre vision in Prampram, was launched in 2012 by then-Vice President John Mahama. It promised to ease the housing crisis with flats for low-income earners. By 2016, the first phase 180 blocks with over 1,500 units stood nearly complete. Then, politics intervened.
The incoming Akufo-Addo government halted work, filed a lawsuit alleging embezzlement against the original Brazilian contractor, Constructora OAS, and left the estate to rot. The court case stalled, the buildings decayed, and the project became a haunting monument to waste, devoured by weeds and harsh weather.
“For eight years, it was a tool for political blame. Now, it’s a test for redemption,” a senior ministry official told The New Republic.
Minister Adjei, speaking at a Government Accountability Series, announced that after a selection process led by global audit giant Deloitte Ghana, a developer has been chosen. A ‘Head of Terms’ and a joint-venture agreement have been signed and dispatched to the Attorney-General.
“The document is currently with the Attorney General for review and finalization,” Adjei stated, confirming the government has essentially filed for ‘no case’ in the old lawsuit to clear the path for the new deal.
The identity of the savior developer remains a state secret, raising questions about who would take on such a politically toxic and financially risky venture.
Adjei’s announcement was part of a larger housing and infrastructure blitz. He reported progress on other fronts:
· State Housing Company’s ‘Surge Homes’ in Amrahia is advancing.
· 129 completed units in Tema Community 22 await commissioning.
· An ambitious rewrite of Ghana’s Rent Acts is nearing parliamentary submission, aiming to spur private investment while protecting tenants.
In a major shift, the Minister also unveiled a coastal warfare plan against erosion. He confirmed that Phase II of the critical Blekusu Coastal Protection Project in the flood-ravaged Ketu South is 25% complete, and President Mahama has already broken ground.
He also revealed the Lower Volta Basin has been added to a major World Bank-funded resilience project (WACA Phase II), with new studies planned for Shama, Ada West, and Ningo-Prampram.
Skepticism runs deep. For thousands of Ghanaians on housing waiting lists, Sagleme is a painful joke. “We’ve heard ‘final push’ before. We will believe it when we have keys in our hands,” said Kofi Mensah, a carpenter who has followed the saga for years.
The Attorney-General’s review is now the critical hurdle. If the deal passes legal muster, it could mark a stunning turnaround. If it fails, Sagleme will stand as perhaps Ghana’s most expensive permanent monument to failure. The government isn’t just building houses; it’s battling to rebuild its own credibility.