The Oshakati Town Council has entered into an agreement with the National Housing Enterprise (NHE) to alleviate the housing need in Oshakati.

Council spokesperson Anna Ingwafa says a total of 2 000 houses will eventually be built in Oshakati North, the first 357 being at Ehenye village to the northeast.

NHE on Tuesday officially handed over the site to the contractor, Nexus Civils, to provide the basic infrastructure such as roads, water and electricity.

Ingwafa said this project will cost about N$77 million.

Once the plots have been serviced, the construction of the houses will start.

She said 300 more plots in Oshakati North have been allocated to Vula Construction and Property Management, who will start with the construction work soon.

The Oshakati Town Council is urging developers to come forward to develop the rest of the plots.