Can Condominiums Become Affordable for Bangladesh's Middle Class?

The demand for condominium housing is growing in Dhaka and other major cities of Bangladesh. Many families are choosing this type of housing because it offers modern facilities, better security, a planned environment and a strong sense of community. However, despite its growing popularity, the high price of condominiums remains beyond the reach of many middle-class families.
Dr. Md. Harun Or Rashid, Vice-President (Finance) of REHAB and Chairman of Ambit Builders Limited, says the rising price of condominiums is not caused by land prices alone. The sharp increase in the cost of construction materials is also a major reason.
According to him, the prices of rods, cement, sand, stone, bricks, tiles, electrical wires, sanitary and plumbing materials, aluminium, glass, elevators, generators, fire safety equipment and other building materials have increased significantly in recent years. At the same time, higher labour wages, fuel and transport costs, and expensive bank loans have pushed construction costs much higher. As a result, developers find it difficult to sell flats at affordable prices.
He also points to the high price of privately owned land. In many housing projects, land accounts for a large share of the total cost. Because of this, builders cannot provide modern condominiums at prices that most middle-class buyers can afford.
Dr. Harun believes government support can make a major difference. If the government allocates public land in a planned way for condominium projects and provides policy support and subsidies, housing costs could be reduced significantly.
He says that a 1,500-square-foot flat that now costs around Tk 1 crore could be sold for about Tk 55 lakh if the same project is built on government land. This would make condominium living possible for many middle- and lower-middle-income families. He also highlights the housing policies followed in many developed countries. In several European countries and in the United States, first-time home buyers can receive long-term home loans for 20 to 30 years at interest rates of around 4 to 5 percent. He believes Bangladesh could introduce a similar system to help more families buy their first condominium.
Dr. Harun says the condominiums of the future should also be environmentally friendly. Around the world, green buildings are becoming more popular. Solar power, rainwater harvesting, energy-efficient designs, modern waste management and green open spaces are now considered essential features of modern housing.
He believes Bangladesh has strong potential to develop green buildings. However, there is still no complete policy for this sector. He says a separate green building policy, along with tax benefits, easy financing and incentives for both developers and buyers, would encourage more environmentally friendly construction.
According to Dr. Harun, a condominium is much more than a residential building. It is a planned lifestyle that combines security, modern facilities, community living and sustainable urban development. He says that with proper government policies, affordable financing, lower construction costs and support for green buildings, condominiums can become an important housing solution for Bangladesh's growing middle class.