INTRODUCTION

A Vacancy rate serves the important indicator of the country’s economy. The vacancy rate can
be associated with the decrease in population as well as the decrease in the demand for the large
scale apartments. In highly populated cities in Tanzania as the case of urban development create
actually rise of the urban regeneration. The vacancy rate utilization became the active way for
the occupation to the non-residents according to ------------and promote a new business model to
the private sector and government sector as the case of NHC(National Housing Corporation).The
incidence of the vacancy rate differ according to the nature of the area. Thus the same rate may
tell different stories and different rates may tell the same story.

This study examine the incidence of vacancy on how it is differ. However the “vacant rate” is
residence which have been unoccupied for a certain period of time. As the NHC made it as a
business, this is generally defined as the number of empty and unsold homes out of the total
amount of houses owned. Since the capital city is being shifted to Dodoma that new
developments decision are affected by how difficult the search and matching is for the current
leasing market. In Tanzania the equilibrium vacancy rate and rent level are simultaneously
determined as the result of the interactions of landlords, potential tenants and potential
developers. The increase and decrease of the vacancy rate in Dar es salaam city can be due to
different cases. But in NHC-DMP (National Housing corporation –Dar es salaam Metropolitan
Region) can be affected due to the competition of the private landlords or organization. In
Metropolitan region, however the adjustment of rent level also depend on the demand and supply
thus it’s rent model doesn’t differ much with private landlords. But rent model can give the
mechanism of vacancy formation which can give good picture on the data and report at large.

Contemporary according to the study, our finding have important practical implications to the
commercial rental market. NHC work as government business sector in which the main purpose
it leasing the vacancy space to the tenants. But mainly they made the relationship between the
vacancies they have and rental adjustment they made. At NHC the analysis of the mechanism of
vacancy formation is thus important because different underlying sector of vacancy rate may
have different rate according to the area. Thus in Dar es salaam NHC work in 5 region which are
NHC-UPANGA, NHC-DMP, NHC-ILALA, NHC-TEMEKE and NHC-KINONDONI. Whereas
all they differ in rete of vacancy with NHC-DMP (Metropolitan Region) Posta-Dar es salaam.
In Dar es salaam Metropolitan region the rational of the vacancy can be differ or change due to
dynamic market structure, state of the environment for the building, the new development of
cities(shifting of the government to Dodoma), direct competitive from the private sectors. Our
model of study as it need the change (rise and fall) of the vacancy rate in NHC- DMP with other
interactive effects of private sectors rate and new development of the cities. In Tanzania policies
and TBA(Tanzania Building Agency)are responsible to oversee the sector and acts as the
obstacle to the vacancy development in public sector.

BACKGROUND

When we observed the historical pattern of the vacancy rates in Houston and San Francisco were
about 20%.But this number has very different implications. When we observed the historical
pattern of the vacancy rate in two areas we found that for San Francisco the vacancy rate is quite
sensitive to the change of unemployment rate. Our guess is that high vacancy rate in San
Francisco may mainly be caused of loss of jobs.

In 2004 the U.S national average vacancy rate for the office market was 15.4% and 9.5% for the
industrial market. Such differences explain partly by the incidence of the vacancy rate. Also the
analysis of the mechanism of vacancy formation is thus important because different underlying
contributors of vacancy rate may have different implication for market participation and
government intervation.

In Tanzania at independence both the central and local government of Tanganyika inherited the
houses built by the colonial government civil servants of different races and social status. In
1972 when the local authorities were abolished, the African quarters were entrusted to the
National Housing Corporation (NHC) and later were transferred to the respective local
authorities in 1990.Public houses owned by central government were managed by ministry of
work until 1997 when they were transferred to Tanzania Building Agency (TBA) which was
established by the Executive Agencies Act no. 30 of 1997 pursuant to the public sector reform
programmer 1(PSRP 1). The Agency has responsibility of managing and constructing houses for
the civil servant. The National Housing Corporation (NHC) was established by Act of parliament
no. 45 of 1962.It was establishment by the government response to mitigate housing problem
that faced the majority of African urban dwellers. During 1962 and 1974 the corporation
constructed housing units in different urban areas under slums clearance and rental as well as
tenant purchase (TP) schemes on that the vacancy space started to occur. The NHC was
reconstituted through the Act of parliament no.2 of 1990 which dissolved the registrar of
buildings (RoB) and entrusted its responsibilities to the NHC.

STATEMENT OF THE PROBLEM

The importance of public rental housing continues to grow due to the incidence of vacancy rate
in Tanzania. The crucially of vacancy in the country is so unique and essential requirements to
the people that it’s demand is very effective on management of those vacancy.

Recently in Tanzania is experiencing the incidence of vacancy rate whether rise or fall despite of
the fact that the maintenance and economy vary in current situation. It is clear that in Dar es
Salaam, public rental housing the vacancy rate vary according to the factor of economy and
affordability. But due to the maintenance factor sometimes lead to variation (fall or rise) of
vacancy rate in metropolitan region (NHC-DMP)

Therefore this study is dealing with analysis of the assessment of vacancy rate in public rental
housing as well as with measure of vacancy rate with other area.

RESEARCH OBJECTIVE

MAIN OBJECTIVE

 To examine the variation of the anatomy of vacancy rate in public rental housing.

SPECIFIC OBJECTIVES

 To explore the incidence challenge faced on the variation of vacancy rate in public rental
housing.
 To evaluate the impact of vacancy rate in the country economy.
 To identify the vacancy pattern in the metropolitan region (NHC-DMP).
 To identify the consequences of anatomy of vacancy rate in the business pattern or trend
of business.
  To allocate the quality and promotion of facilities management to the assessment of the
vacancy rate.

RESEARCH QUESTION

1. How does the anatomy of vacancy rate vary in consideration with the area and
management approach?
2. What are the privileges that lead to variation of vacancy pattern in large cities like Dar es
Salaam?
3. What are the existing rationalities of the anatomy of vacancy rate with the level of the
economy of the country?
4. What are the qualities of facilities management in requirement of vacancy rate in public
rental housing?

HYPOTHESIS

According to the nature of the study, This is Alternative hypothesis since there is huge
relationship between the independent variables (vacancy rate) and dependent variables (i.e. rental
housing duration of vacancy, vacancy pattern, rental control, rental housing affordability and
rental housing policy).

RATIONALE OF THE STUDY

The study intends at creating the favourable level of the anatomy of vacancy rate in public rental
housing and supporting the variability of the rental housing policies towards the economy of the
country. Through the rationale incidence of vacancy create the level of the variation pattern in
growth of the business pattern (rental housing) and the economy.

Vacancy space in Dar es Salaam Metropolitan region is quite vary with the level of set up of
management and comparison to the previous years. To be able making stable this variation
mainly the various factors like organization in the state of demand and supply of the vacancy
pattern, practice of the maintenance to the rental housing, keeping standard agreement for the
people, make a standard and affordable houses to the people which could be favourable in
making stabilization.
The study plots to explore the relevance of the paradigm connotation of the anatomy of vacancy
rate in public rental housing. From the background during colonial the vacancy pattern was in
low matured due to the low level of the building pattern. Hence the vacancy rate enhancing
organization to grow and increase of the competition in the rental market.

Formally in Tanzania vacancy pattern rise due to the rise of the private sector which compete
with the public sector. Mainly the vacancy intend to increase thus create the favorable increase of
small firms and tenants occupation in those area. The aspect of vacancy pattern in Tanzania can
be associated with the population or demographic factor of the area. Contemporary in Tanzania
the vacancy pattern is huge and mostly in Dar es Salaam.

Generally the variation of the vacancy pattern would enhance to improve market competition,
integrated business trend, functionality of the building, maintenance pattern, verification of
policies associated with the vacancy. Also this in large would in turn to increase the
competitiveness of the private sector and public sector as well as with the surrounding
environment.

SCOPE AND LIMITATION OF THE STUDY

PHYSICAL SCOPE

In a geographical context, the study takes place in Dar es Salaam Metropolitan Region (NHC-
DMP) Tanzania. The case studied organization have situated at Upanga in Dar es Salaam. Which
make the scope purposively selected to meet the study requirement.

CONCEPTUAL SCOPE

The study explores or assess the anatomy of the vacancy rate in public rental housing. The study
focuses on the variation of the pattern of the vacancy and the number of vacancy space which are
found at Dar es Salaam Metropolitan Region.

LIMITATION OF THE STUDY

The study is limited to public national housing leaving out other private leasing sector of the
buildings. The public national housing branch chosen for the study are those with a well
expanded level of vacancy due to the high concentration of the national building or national
houses.

Apart from methodological limitation of the study; The study is bound in short span of time and
geographical area due to constraints of time, cost and other service necessary to accomplish the
study in its depth.

SIGNIFICANCE OF THE STUDY

The contribution of the study mainly convey the real concept of the property management in the
area. Though the study express on the effort of the facility manager in managing the public
properties and relate it to the market. Thus the property managers are given many of the building
to manage the all assets and the functionalities of the building at large.

The public rental housing should rectify the policies and laws which could enhance the
agreement being suitable to the tenant that will manipulate and stabilize the vacancy rate in the
Dar es Salaam Metropolitan Region (DMP).

The vacancy rate mainly will increase the residence and commercial area of the tenant. In society
will benefit through simplification of getting the affordable places for starting their small firms
and making the residence places. Also will be suitable on the increasing the market of the spaces
thus increasing the economy of country at large.

RESEARCH METHODOLOGY

INTRODUCTION

Research methodology is the systematic way of solving a research problem (creswell 2013). He
further added that it can be qualitative or quantitative approaches; has typically dominated the
whole study as compared to the quantitative one. This chapter outlines the research methodology
adopted in this study, The justification of the methodology selected, choice of the sample that
provided data needed in the study and techniques of data collection. Furthermore, the chapter
presents the assessment of the validity and reliability of the whole research methodology
adopted.
RESEARCH DESIGN

This is sometimes referred to as a research approach. This is the way of doing research that
consist of plans and procedure for carrying out research spans the decision from abroad
assumption to the detailed method of data collection. Basically the selection of research approach
is based on the nature of research problem or issue that will be addressed based on the research
problem. From the problem or case of study the research will base on the combination of
qualitative and quantitative approaches which provides a more complete understanding of
research problem than either approach alone.

According to the study or state of the problem the approach will fit for the study is qualitative
approach in conducting research which will follow distinct philosophical assumption. Qualitative
research approach was adopted for the purpose of allowing the depth understanding of the level
of vacancy rate basing on public rental housing. So the study specifically will base on the
recognized approach which will tend to provide a better method of collecting data.

The pragmatism philosophical assumption guide researcher in qualitative mainly to produce

RESEARCH METHOD

Con-current nested qualitative method is applied to the research. The problem mainly will be in
qualitative approach basing on the variation of vacancy rate in public rental housing. The case is
selected to be able to obtain a relevant picture of the incidence of anatomy of the vacancy rate in
public housing. The case selected is bound by time and place which will be made the data
collection earlier to be done in a specific period of time from the estate manager in NHC-DMP
(Dar es Salaam metropolitan region).

As the study is exploratory in nature, a qualitative approach is adopted on using the questionnaire
and document and records to collect data from the estate manager found in NHC-DMP (Dar es
Salaam metropolitan region). As the method of data collection will create a multiple number of
the vacant spaces from the area. Thus the qualitative research method is the dominant method
because it is capable to fit to many research.

In addition, The study involved multiple cases which were selected based on heterogeneous
feature that will be observed from the data collection. The qualitative approach basing on the
problem chosen will fit to the nature of criteria so those criteria which will be used in data
collection method will be used for data collection in this study includes.

DATA COLLECTION METHOD AND TOOLS

QUESTIONNAIRE

This involved a list of structured questions that were provided to the respondents. The
questionnaire will designed to obtain the extent of the vacancy rate in public rental housing and
satisfication of tenant as well as service quality of the vacancy in Dar es Salaam Metropolitan
Region (NHC-DMP). The first will be to identified from the number of vacant space in posta
because it is the business center. The second case will be to observe variation basing on the
time(years) in consideration to the number obtained. The questionnaire based in open ended
questionnaire and closed ended questionnaire;

1. Open ended questions; Open ended questions help collect qualitative data in a
questionnaire where the respondent can answer in a free form with little to no restriction
2. Close ended question; This is also called the dichotomous questions which is generally a
“yes”/ “no”. This question is usually used in case of the need necessary validation. It is
the most natural form of a questionnaire.

DOCUMENTS AND RECORDS

Typically, Research records refers to the type of records or material that document your research
effort. These can be electronic or hard copy as in various form of logs, notes, books,
correspondence, videos, computer databases, audio or digital records or even the Actual products
of experiments in addition to maintaining accurate and complete research records for data
analysis, all records relating to the conduct of the project are important including those that
documents the management of the research funds and the intellectual property.

From the problem or case of study, The document and records will be preferred way because will
reduce the wastage of obtaining the data by surveying the areas which possess the vacant space
so by using the document and records simplifies to assess the anatomy of vacancy rate easily and
the variation of it as well as the vacancy pattern.

SAMPLING TECHNIQUE AND SAMPLE SPACE

The population in this study included NHC –DMP (Dar es salaam metropolitan) where targeted
respondents are estate officer in national housing corporation. Sample unit in a qualitative
research is purposively selected based on the nature of the problem, type of information needed,
qualities of informants, reliability of data and case of analysis of data collected(Tongsco 2007).
The study aim at collecting data or the vacancy space which are found at the Dar es salaam
metropolitan region hence informants who possess knowledge and experience in state
department will be purposively selected portionally from selected case studies. Due to adopting
purposive sampling there is no need of statistical representation from the sample.

DATA ANALYSIS

Ashirwadom (2018) describe data analysis as the process transforming and modeling data to
discover useful information that can be used to make decision and prediction based on research
findings. Data analysis is an essential part of scientific research, when this part is completely
conducted will allow the impact of work to be determined and the result will be easy to be
communicated to stakeholder(Ashirwadam,2018)
 LITERATURE REVIEW AND CONCEPTUAL FRAMEWORK

INTRODUCTION

This chapter provide a review of different literature relevant to the study and an overview of
vacancy rate and variation of the nature of the vacancy pattern with other area. It start by
providing a brief explanation of the key terms that are used in this research work through
classifying terms, concepts development and an overview of the number of vacant spaces in Dar
es Salaam Metropolitan. The chapter reviews the literature on the scope of vacancy pattern,
vacant space and rental affordability.

LITERATURE REVIEW

Th e Shelter Situation

In UNCH S repor t (2001) , i t is state d tha t th e curren t rate s o f population growth and

urban-rural migration , particularl y i n developin g countries, hav e seriou s impact s o n

living condition s in human settlements. B y the beginnin g of the thir d millennium, it is

estimated tha t 1. 1 billio n peopl e liv e i n inadequate housin g condition s in urban area s

alone. In many cities of developing countries, more than half o f the populatio n lives in

informal settlements , withou t security of tenure and in conditions that can be described

as lif e an d health threatening. Amon g an estimated 10 0 million homeless people around

the world, available data suggest that increasing proportions are women and children.

The annual need for housing in urban areas of developing countries alone is estimated at

around 3 5 millio n units (durin g 2000-2010). The bulk of these, some 2 1 millio n units,

are require d to cate r fo r the need s of the increasin g number o f households. Th e rest is

needed t o mee t th e requirement s o f people wh o ar e homeles s o r livin g i n inadequat e

housing. I n other words, some 95,00 0 new urban housin g units hav e t o b e constructe d
each da y i n developin g countries t o improv e housing condition s t o acceptabl e level s

(ICA/UNCHS, 2000). Governments of the developing countries have found it difficult t o

cope with the increased demand of houses in their respective countries. The UNCHS ha s

initiated th e process t o assess the potentia l an d usefulness o f improving the scop e and
effectiveness o f co-operative involvement in the shelte r secto r to comba t urban housing

problems. UN habitat recognize s the co-operativ e movements tha t have been successfu l

in most East and Sout h African countrie s to delive r housing units especially in
HarareZimbabwe, Nairobi-Kenya , Gabarone-Botswan a an d recentl y Sout h Afric a (UNCHS ,

2001). Th e impac t o f co-operativ e housin g movemen t i s no t ver y muc h

documented/noted i n Tanzani a becaus e o f socialisti c dominanc e i n co-operativ e

activities. Mos t o f housin g projects wer e governmen t owne d o r donor s driven . They

were never driven from people themselves (Nnkya , 1999).

2.1.2 Formatio n of Housing Co-operative Societies

From Tanzani a Co-operative Society Rules of 1991 , housing co-operatives ar e forme d

when group s o f people joi n togethe r t o provid e an d manag e housin g fo r themselves ,

without exploitin g each other . Behin d thi s simplifie d definition , li e a wid e variety of

organisations, wit h quit e fundamenta l difference s bot h i n thei r compositio n an d

objectives. There are mainly two types of housing co-operatives: -

(i) Primar y housin g co-operatives , wher e th e co-operativ e societ y member s ar e

individuals and their main objective is to serve themselves.

(ii) Secondary housing co-operatives is a confederation of primary housing co-operatives

advise t o group s o f peopl e wishin g t o se t u p housin g co-operatives. I t als o provide s

education and promotes management services.

Housin g Co-operatives in the International (UN) Agenda

The UN Habitat recognizes an d applauds th e rol e of co-operatives i n the shelte r sector .

Through variou s instruments , th e U N Habita t ha s show n it s specifi c an d broade r

appreciation o f th e rol e o f communit y organisations . Th e mos t prominen t documen t

dealing exclusivel y wit h co-operatives was prepare d b y th e Committe e fo r th e

Promotion an d Advancemen t o f Co-operative s (COPAC ) unde r U N Habitat . Thi s

document a s "Guideline s aime d a t creatin g a supportiv e environmen t fo r th e

development o f co-operatives " provide s essentia l backgroun d o n th e rol e o f co -

operatives withi n a liberalize d environment. However , it doe s no t mak e an y specifi c

mention o f co-operative s i n th e shelte r sector . Mos t countrie s i n th e worl d receiv e

assistance fro m UN Habitat o n matters concerning settlements. Fo r example, loans and

grants hav e bee n give n t o th e Governmen t o f Tanzani a t o strengthe n housin g

programmes fo r housing co-operatives i n Mwenge-Dar es salaam an d Dodoma (Nnkya,

2001).

The Habitat Agenda, adopted i n 1996 in Istanbul, recognizes the role of co-operatives in

housing development. I t ha s acknowledge d Co-operative s a s on e o f the stakeholders a t

the loca l leve l that support government s i n their efforts t o realis e national shelter goals.
 REFERENCES

Andersen, J. E.; Andreasen, J.;and Tipple, G.(2006) The demise of compound houses,
consequences for the low income population in Kumasi, Ghana, RICS Research
Vol.6 No. 8

Arku, G. (2006) The Housing and economic development debate revisited: economic
significance of housing in developing countries, in Journal of Housing and Built
Environment, Springer Science Vol.21 Issue No.4: 377-395

Auchterlounie, T.; and Hinks, J. (2001) The measurement of customer satisfaction in the
private house building sector” in COBRA 2001 Conference Papers, RICS
Foundation, London; online at

0www.rics.org/Property/Residentialproperty/Domesticresidentialproperty/Housing/m
easurement_of_customer_satisfaction_20011003.htm

Bamanyisa, L.C.(2007) Managing National Housing Corporation Properties with long term
sub leases- the case of Dar es Salaam, unpublished MSc (Real Estate) Dissertation,
Department of Land Management and Valuation, Ardhi University, Dar es Salaam

Bassey, M. (1999) Case Study in Research Educational Settings, Open University Press,
Buckingham

Bavu I. K., Sheya M.S., Mlawa H.M. & Kawambwa S.J.M (1997) Culture of Maintenance for
Sustainable Development in Tanzania, Institute of Technology Management, Dar Es
Salaam

Bengtsson, B. (2004) Swedish Housing Corporatism – A Case of Path Dependence? Paper to

Bengtsson, B.(2001) Solving the Tenants’ Dilemma: Collective Action and Norsm of
Cooperation in Housing, Housing Theory and Society Vol. 17: 175-187
QUESTIONNAIRE

The question based to the estate officer of NHC-DMP (Dar es Salaam Metropolitan Region). The
question is as the following;

CLOSED ENDED QUESTIONS

1. Do you think it is necessary for the public sector such as NHC to produce rental housing?

Answer: Yes ( ) or No ( )

2. Do you think the housing problem is persistent problem?

Answer: Yes ( ) or No ( )

3. Do the tenants have easy access to a front-desk at NHC or with the estate to report problem?

Answer: Yes ( ) or No ( )

OPEN ENDED QUESTION

4. What is the extent of housing shortage problem in urban areas?

______________________________________________________________________________
______________________________________________________________________________
_______________________________

5. Do you see the council playing a role in enabling development of social amd affordable
housing?

______________________________________________________________________________
______________________________________________________________________________
_______________________________

6.How many vacant space that NHC-DMP posses currently and why "if it's above 100 spaces" ?

______________________________________________________________________________
______________________________________________________________________________
_______________________________

7.At what extent that vacancy pattern affecting the rent collection of NHC-DMP?

______________________________________________________________________________
______________________________________________________________________________
_______________________________
8.Why the vacancy rate vary in NHC -DMP?

______________________________________________________________________________
______________________________________________________________________________
_______________________________