ACCRA BUSINESS SCHOOL

Ernest Dei project

Student Name: Ernest Dei

Student ID: ABS0124048

Project ID: C500USTFFEDGCSS24

Project Title: Construction of 500 Affordable Housing Units for Ghana Civil Aviation Authority
(GCAA) Staff

Project Sponsors: Ghana Civil Aviation Authority and Government of Ghana

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Executive Summary
The Ghana Civil Aviation Authority (GCAA) seeks to partner with a construction firm to
develop 500 affordable housing units for its staff. This initiative is driven by the need to provide
decent, cost-effective housing solutions for GCAA employees while addressing Ghana’s wider
housing deficit. The construction of these units will enhance employee welfare, improve job
satisfaction, and contribute to national efforts to close the housing gap. This business case
outlines the rationale, funding needs, key objectives, project scope, financial projections, and the
benefits of this housing project. The development of affordable housing (SDG 11: Sustainable
Cities and Communities) and the promotion of sustainable construction practices (SDG 13:
Climate Action) are key components of the project. The total capital requirement for the real
estate projects is $30 million Ernest Dei has been assigned as the project manager to manage this
project. Final Handover and Project Close: 36 months from project initiation starting from
January 2025 to January 2028.

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Table of Contents
Executive Summary.........................................................................................................................2
1.1. Project Background..................................................................................................................4
1.2. Project Objectives.....................................................................................................................4
1.3. Strategic Alignment..................................................................................................................4
1.4. Project Scope............................................................................................................................5
1.5. Financial Analysis....................................................................................................................5
1.5.1 Funding Sources..................................................................................................................6
1.5.2 Revenue Projections............................................................................................................6
1.5.3. Profitability and ROI..........................................................................................................6
1.6. Project Benefits.........................................................................................................................6
1.7. Risks and Mitigation Strategies................................................................................................7
1.8. Project Implementation Plan.....................................................................................................7
1.8.1. Project Timeline.................................................................................................................7
1.8.2. Project Management..........................................................................................................8
2.1. Project Scope Statement:..........................................................................................................9
2.2. Project Title..............................................................................................................................9
2. 3. Project Objective.....................................................................................................................9
2.4. Project Deliverables..................................................................................................................9
2.5. Project Scope Description.......................................................................................................10
2.6. In-Scope Activities.................................................................................................................10
2.7. Out-of-Scope Activities..........................................................................................................10
2.8. Project Constraints..................................................................................................................10
2.9. Project Assumptions...............................................................................................................11
2.10. Project Risks and Mitigation Measures................................................................................11
2.11. Project Key Stakeholders......................................................................................................11
2. 12. Project Approval Requirements...........................................................................................11
2.13. Project Milestones................................................................................................................12
3.1. Work Breakdown Structure....................................................................................................13
4.1. Conclusion..............................................................................................................................17
References:....................................................................................................................................18

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1.1. Project Background
Ghana faces a housing deficit of over 1.7 million units, particularly in urban areas like Accra and
its surrounding regions. The Ghana Civil Aviation Authority (GCAA) employs a significant
number of workers, many of whom struggle to find affordable housing near their workplace.
Current accommodation options are either too expensive or far from their place of work, leading
to long commutes, increased costs, and lower overall productivity and satisfaction. To address
this, GCAA has decided to build 500 affordable housing units for its staff to enhance their living
conditions and improve employee retention.

1.2. Project Objectives

Provide 500 affordable housing units: Ensure that all units are constructed with high-quality
materials while keeping costs affordable for GCAA staff.
Enhance employee welfare and retention: Offering affordable housing close to the workplace
improves quality of life, productivity, and loyalty among employees.
Address Ghana’s housing deficit: Contribute to reducing the national housing gap by adding
affordable units to the market.
Promote sustainable and eco-friendly practices: Incorporate energy-efficient systems and
environmentally friendly materials in the construction process to ensure long-term sustainability.
Complete the project within 24 months: Ensure timely delivery to meet the housing needs of
GCAA staff promptly.

1.3. Strategic Alignment

This project aligns with the GCAA’s broader goals to support its workforce while contributing to
national priorities, including:
Housing for Public Sector Workers: Aligns with government policies aimed at providing
affordable housing for civil servants and other public sector employees.
Sustainable Development Goals (SDGs):
SDG 11: Sustainable Cities and Communities – By providing affordable housing that is safe and
accessible, this project will support the creation of sustainable urban settlements.
SDG 8: Decent Work and Economic Growth – Enhances worker satisfaction and productivity by
improving living conditions.
Ghana’s Housing Policy: Supports the government's efforts to encourage private sector
participation in addressing the housing deficit, especially for middle-income and public sector
workers.

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1.4. Project Scope
The project focuses on developing affordable housing for GCAA staff, incorporating modern
facilities and sustainability features.
In-Scope Deliverables:
Design and Construction of 500 Housing Units:
Location: Near the GCAA office complex in Accra to reduce staff commute time.
Unit Types: A mix of 1-bedroom, 2-bedroom, and 3-bedroom apartments to accommodate
various family sizes.
Facilities: Each unit will include basic amenities such as modern kitchens, bathrooms, and access
to reliable water and electricity. The development will also have common facilities such as a
community center, playgrounds, and green spaces.
Sustainable Infrastructure:
Solar-powered electricity for common areas and lighting.
Rainwater harvesting systems.
Energy-efficient construction materials.
Infrastructure Development: Roads, drainage, and sewage systems for the housing estate.
Financing and Payment Plans: Develop flexible payment options to make housing accessible for
different levels of GCAA staff, including mortgage and rent-to-own schemes.
Out-of-Scope:
Expansion of the project to non-GCAA employees or commercial activities.
Large-scale commercial facilities (retail spaces, offices) within the housing estate.

1.5. Financial Analysis

Capital Requirements
The estimated cost for the construction of 500 housing units is $30 million. This budget includes:
Land Acquisition: $5 million for the purchase of land close to the GCAA offices in Accra.
Construction Costs: $22 million for the design and construction of the housing units,
infrastructure, and common facilities.
Marketing and Sales: $1 million for marketing, pre-sales efforts, and staff engagement.
Legal and Administrative Fees: $1 million for regulatory permits, approvals, and legal services.
Contingency Fund: $1 million to cover unforeseen costs.

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1.5.1 Funding Sources
Funding for the project will be sought from the following sources:
Bank Loans: GCAA will partner with local banks to secure a $15 million loan, using the housing
development as collateral.
Equity Investment: The project will seek $10 million in private equity investment from real
estate developers or investment funds.
Government Support: GCAA will explore government housing initiatives that offer grants or tax
incentives for affordable housing development for public sector employees.
Employee Contributions: Pre-sales of units to GCAA employees via flexible mortgage schemes,
potentially raising $5 million upfront.

1.5.2 Revenue Projections

Revenue streams will be generated from:
Sales of Housing Units: Each unit will be sold at an average price of $70,000 (1-bedroom units at
$50,000, 2-bedroom units at $65,000, 3-bedroom units at $85,000), generating a total of $35
million.
Maintenance Fees: Monthly maintenance fees for services such as security, waste management,
and landscaping will generate additional long-term revenue.

1.5.3. Profitability and ROI

Net Profit: The project is expected to generate a net profit of approximately $5 million over 5
years.
Return on Investment (ROI): The ROI is estimated to be 16.6%, driven by strong demand for
affordable housing in Accra and the cost-effective nature of the project.

1.6. Project Benefits

Economic Benefits
Job Creation: The project will generate construction jobs, administrative positions, and long-term
employment for property managers, maintenance staff, and security personnel.
Boost to Local Economy: The purchase of construction materials, utilities, and services will
stimulate local industries.
Support for Local Contractors: Engage local contractors and suppliers, providing business
opportunities and growth for small- and medium-sized enterprises (SMEs).
Social Benefits

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Employee Welfare: By providing affordable housing near the workplace, the project will
significantly improve the quality of life for GCAA employees, reduce commute times, and
increase job satisfaction.
Community Building: The creation of a cohesive housing estate with shared amenities will foster
a sense of community among employees.
Address Housing Deficit: The project will contribute to Ghana’s efforts to close the housing
deficit by providing affordable and sustainable homes for public sector workers.
Environmental Benefits
Sustainable Construction: The project will use energy-efficient materials and practices to reduce
the environmental impact.
Reduced Carbon Footprint: The proximity of housing to the workplace will reduce daily travel
and associated emissions.
Green Spaces: The inclusion of parks and green spaces will contribute to a healthier, more
sustainable living environment.

1.7. Risks and Mitigation Strategies

Market Risks
Low Demand: If demand for the units is lower than expected, sales may be delayed. Mitigation:
Conduct early surveys among GCAA staff to gauge interest and offer flexible payment options.
Construction Delays
Delays in construction could affect project timelines and increase costs. Mitigation: Engage
experienced contractors and closely monitor project milestones to ensure timely delivery.
Cost Overruns
Unexpected costs could arise during construction. Mitigation: Establish a contingency fund and
ensure detailed project planning to minimize cost overruns.
Regulatory Risks
Delays in regulatory approvals could push back the project start date. Mitigation: Work closely
with local authorities to ensure all approvals are secured early in the process.

1.8. Project Implementation Plan

1.8.1. Project Timeline
The project is expected to be completed over a 24-month period:
Phase 1: Land Acquisition and Planning (4 months).
Phase 2: Construction of Housing Units (16 months).
Phase 3: Marketing, Sales, and Employee Engagement (4 months).

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Phase 4: Final Inspections and Handover (2 months).

1.8.2. Project Management

A project management team will be appointed to oversee the entire development process,
ensuring that timelines are met, costs are controlled, and quality standards are maintained.
Stakeholder Engagement
Regular communication with GCAA staff, investors, contractors, and government authorities
will be conducted to ensure all stakeholders are informed and engaged throughout the project.

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2.1. Project Scope Statement:

2.2. Project Title

Construction of 500 Affordable Housing Units for Ghana Civil Aviation Authority (GCAA)
Staff

2. 3. Project Objective
The objective of the project is to design and construct 500 affordable housing units for the staff
of the Ghana Civil Aviation Authority (GCAA) in Accra. The housing development will include
modern and sustainable facilities, providing employees with safe, comfortable, and accessible
living conditions. The project aims to improve employee welfare and reduce commute times,
while also contributing to Ghana’s efforts to address its housing deficit.

2.4. Project Deliverables

The key deliverables for this project include:
Land Acquisition: Secure suitable land close to the GCAA office in Accra for the construction of
the housing units.
Design and Architectural Plans: Develop architectural designs and plans for the housing estate,
including detailed site plans, unit layouts, and infrastructure designs.
Construction of Housing Units:
500 affordable housing units, with a mix of 1-bedroom, 2-bedroom, and 3-bedroom units.
Each unit will include basic amenities such as bedrooms, kitchens, bathrooms, and living spaces.
Common Facilities and Infrastructure:
Community center for social gatherings and events.
Playgrounds and recreational green spaces.
Roads, drainage systems, and walkways.
Installation of water and electricity supply systems.
Sewage and waste management systems.
Sustainability Features:
Installation of solar-powered lighting for common areas.
Rainwater harvesting systems for efficient water use.
Use of energy-efficient materials and building techniques.
Legal Approvals and Permits: Obtain all necessary building permits and approvals from local
authorities to ensure compliance with legal and regulatory requirements.

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Marketing and Sales: Develop a strategy for engaging GCAA employees and offering flexible
payment and mortgage options, including rent-to-own schemes.
Project Handover: Final inspections, quality control checks, and formal handover of the
completed units to GCAA and its employees.

2.5. Project Scope Description

The scope of this project includes the construction of 500 affordable housing units on a site close
to GCAA offices in Accra. The housing development will cater to the varying needs of GCAA
staff by offering a combination of 1-bedroom, 2-bedroom, and 3-bedroom units. The
development will be designed with sustainability in mind, incorporating eco-friendly building
materials and energy-efficient systems.
The project will also include the development of communal spaces, such as a community center,
green spaces, and playgrounds, to foster a sense of community among the residents. Key
infrastructure, including roads, drainage, water supply, and electricity, will be constructed to
support the housing units.

2.6. In-Scope Activities

Conducting a feasibility study to determine the project’s viability.
Land acquisition, legal due diligence, and securing permits.
Design and architectural planning of the housing units and estate layout.
Procurement of construction materials and hiring of contractors.
Construction of housing units and associated infrastructure.
Installation of sustainability features, including solar power and rainwater systems.
Marketing the housing units to GCAA staff and offering flexible payment plans.
Managing project schedules, costs, and risks to ensure successful delivery.

2.7. Out-of-Scope Activities

Expansion of the housing units to non-GCAA employees or the general public.
Construction of large-scale commercial or retail facilities within the housing estate.
Involvement in property management services beyond the initial handover to the staff or external
management companies.

2.8. Project Constraints

Budget Constraints: The project must be delivered within a budget of $30 million, covering all
aspects from land acquisition to the final handover.
Time Constraints: The project must be completed within 24 months to meet the housing needs of
GCAA staff.

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Legal and Regulatory Requirements: All construction activities must comply with local building
codes, environmental regulations, and safety standards.

2.9. Project Assumptions

The demand for housing among GCAA staff will remain strong throughout the project duration.
Local government authorities will approve the necessary permits and legal requirements in a
timely manner.
Adequate funding will be secured from GCAA, private investors, and government initiatives to
cover the project costs.
No major disruptions (e.g., economic downturns, supply chain issues, or legal disputes) will
significantly impact the project timeline or costs.

2.10. Project Risks and Mitigation Measures

Cost Overruns: Unexpected increases in construction costs due to material shortages or inflation.
Mitigation: Establish a contingency fund and secure fixed-cost contracts with suppliers.
Construction Delays: Delays caused by poor weather, supply chain disruptions, or contractor
performance issues.
Mitigation: Create a detailed project schedule with buffer times and closely monitor construction
progress.
Regulatory Delays: Possible delays in securing necessary permits or regulatory approvals.
Mitigation: Engage local authorities early in the planning phase to ensure timely approvals.
Low Employee Uptake: Risk that fewer GCAA staff than anticipated will take up the housing
units.
Mitigation: Conduct surveys to gauge interest levels and offer flexible payment and mortgage
options.

2.11. Project Key Stakeholders

Ghana Civil Aviation Authority (GCAA): The primary sponsor and beneficiary of the housing
project.
GCAA Employees: The end-users and beneficiaries of the housing units.
Contractors and Construction Teams: Responsible for executing the construction activities.
Local Government Authorities: Will provide necessary permits and regulatory oversight.
Financial Institutions and Investors: Provide funding and investment capital for the project.

2. 12. Project Approval Requirements

For the project to proceed, the following approvals are necessary:

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Approval of the project budget by GCAA and relevant stakeholders.
Permits and legal approvals from local government and regulatory bodies.
Finalization of financing agreements with financial institutions and investors.

2.13. Project Milestones

Land Acquisition: 2 months.
Design and Architectural Planning: 4 months.
Construction of Housing Units: 16 months.
Final Inspections and Quality Control: 2 months.
Handover of Completed Units: 24 months from the project start date.

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3.1. Work Breakdown Structure
Work Breakdown Structure (WBS): Construction of 500 Affordable Housing Units for Ghana
Civil Aviation Authority (GCAA) Staff
This WBS outlines the hierarchy of activities involved in the construction project, breaking down
the major tasks and deliverables for easier management and tracking.

Level 0: Construction of 500 Affordable Housing Units for GCAA Staff

Project Overview: Full scope of the project
Level 1: Planning and Design Phase
Project Initiation
1.1 Project feasibility study
1.2 Stakeholder identification and engagement
1.3 Land acquisition
1.4 Environmental impact assessment

Design and Planning

2.1 Architectural design
2.2 Structural engineering design
2.3 Mechanical, Electrical, and Plumbing (MEP) design
2.4 Sustainable infrastructure planning (solar, rainwater systems)
2.5 Site layout design
2.6 Approval of design plans

Legal and Regulatory Approvals

3.1 Obtain building permits
3.2 Regulatory inspections
3.3 Zoning and land use compliance

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3.4 Final approval from authorities
Level 2: Procurement Phase
Procurement of Materials and Services
4.1 Tendering process for contractors
4.2 Procurement of construction materials
4.3 Procurement of sustainability systems (solar, water systems)
4.4 Contract agreements with suppliers and subcontractors
Level 3: Construction Phase
Site Preparation and Infrastructure Development
5.1 Land clearing and grading
5.2 Site utilities setup (water, electricity, drainage)
5.3 Road construction and parking areas
5.4 Foundation construction for all units

Construction of Housing Units

6.1 Structural construction
6.1.1 Laying foundation for units
6.1.2 Framing (walls, roofs)
6.1.3 Roofing and insulation installation
6.2 Installation of utilities (water, electricity, sewage)
6.2.1 Plumbing and water connections
6.2.2 Electrical wiring
6.2.3 Sewer and drainage systems
6.3 Interior work
6.3.1 Flooring installation
6.3.2 Wall finishes (plastering, painting)
6.3.3 Kitchen and bathroom fittings
6.4 Exterior work

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6.4.1 Exterior finishes (walls, painting)
6.4.2 Landscaping and green spaces
6.4.3 Fencing and security features
Common Facilities and Amenities
7.1 Community center construction
7.2 Playground and recreational areas
7.3 Waste management and recycling systems
7.4 Sustainable energy installation (solar panels)

Level 4: Testing, Inspection, and Handover Phase

Quality Control and Inspection
8.1 Regulatory inspections (structural, MEP)
8.2 Safety and compliance checks
8.3 Quality assurance of materials and finishes

Final Adjustments and Handover

9.1 Final site inspection
9.2 Handover of units to GCAA
9.3 Employee allocation and occupancy process
9.4 Documentation and warranty handover

Project Closeout
10.1 Financial closure and final payments
10.2 Review of lessons learned
10.3 Final project report

Level 5: Ongoing Maintenance and Management

Post-Construction Maintenance

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11.1 Establishment of management and maintenance teams
11.2 Development of a long-term maintenance plan
11.3 Implementation of waste and recycling programs
11.4 Solar energy maintenance plan

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4.1. Conclusion
The construction of 500 affordable housing units for Ghana Civil Aviation Authority staff is a
timely and necessary project that addresses both the housing needs of GCAA employees and the
national housing deficit. With strong demand for affordable homes, the project is expected to be
financially viable, offering a significant return on investment while improving employee welfare
and supporting the local economy. By incorporating sustainable construction practices and
delivering high-quality housing, the project will create lasting social, economic, and
environmental benefits for Ghana and its public sector.
The construction of 500 affordable housing units for GCAA staff is a crucial initiative that will
provide essential housing for employees while contributing to reducing Ghana’s housing deficit.
This project scope statement outlines the key objectives, deliverables, constraints, and risks to
ensure that the project is delivered on time, within budget, and to the satisfaction of all
stakeholders.
The WBS provides a structured approach to managing the construction of 500 affordable
housing units for GCAA staff, covering all phases from planning and procurement to
construction and handover. Each level details the tasks involved in completing the project,
ensuring clarity in roles and responsibilities across teams.

References:

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industry in emerging markets south of the Sahara: A case study of Ghana. In Real Estate,
Construction and Economic Development in Emerging Market Economies, (pp. 166-193).
Asiedu-Danquah, Y. A. (2016). Building regulations and the development of unauthorized
structures in urban Ghana: A case study of the Tema Metropolis. (Doctoral dissertation,
University of Ghana).
Ofori, P. A., Twumasi-Ampofo, K., Danquah, J. A., Osei-Tutu, E., & Osei-Tutu, S. (2017).
Investigating challenges in financing contractors for public sector projects in Ghana.
Journal of Building Construction and Planning Research,, 5(02), 58.
Okantah, E. (2024). The use of Building Information Modelling (BIM) to aid in Creating
Optimal Design and Construction of Real Estate Buildings in Ghana.
Oppong, R. A., & Masahudu, M. (2014). Exploration of building adaptations and retrofitting
challenges in Ghana: the case of selected rural bank projects. Structural Survey, 32(5),
349-364.
Owusu, M. D., Badu, E., Edwards, D. J., & Adjei-Ku, T. (n.d.). TOWARDS BRIDGING THE
‘FINANCING GAP’IN CONSTRUCTION FIRMS IN GHANA WITH SPECIAL
REFERENCE TO CAPITAL EQUIPMENT ACQUISITION FINANCE. In CME 25
Conference Construction Management and Economics (p. (p. 787). .

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