Bids for the employee housing project by the Ethiopian Airlines have been invited, this is after Zhejiang Yefeng, a Chinese contractor stopped working on it following disagreement with the management of the flagship airline and its Employees Housing Project Association.
“Zhejiang Yefeng had stopped work on the project following disagreement with the management of the flagship airline and its Employees Housing Project Association, when it asked for more payment,” said a report.
Six companies submitted their technical and financial offers in June this year in response to the invitation. Among them are YOTEK Construction Plc, Flintstone Engineering, Tekleberhan Ambaye Construction Plc (TACON) and Afro-Tsion Construction Plc.
The initial cost of the project was US$ 72.5m and it included the construction of 2,502 housing units in two phases on a 313,000sqm plot in Bole District.
Zhejiang Yefeng was awarded the first phase of the Ethiopian housing project, started construction in 2011 and the houses were supposed to be delivered by December 2014. Financial restriction caused the delay of the continuation of the construction which hence led to halting the project.
Employees of the Ethiopian Airlines who are estimated to be 6,557 employees, of whom almost half are working in management positions expected their houses to be complete by 2014 but now they have to wait and pay more for them to get value for their money. Hopefully, the airline company will sort out the mess quickly and get the project running again.
Zhejiang Yefeng Construction Co., Ltd. Which was founded in 1993 line of business includes providing residential construction services across the globe.