Title: Modular Housing Construction as an alternative solution for the Addis Ababa City

Administration's Housing program.

Abstract
Addis Ababa, the capital city of Ethiopia, faces a significant challenge in providing adequate
housing for its growing population. To address this issue, the Addis Ababa City Administration
has initiated a Low Housing Program aimed at providing affordable housing to its residents.
However, traditional construction methods are often time-consuming, expensive, and unable to
meet the increasing demand within the required timeframe. Over the few years this construction
technique has slowly been introduced into the G+4 residential low housing in Addis Ababa.
Modular housing construction, characterized by the use of prefabricated modules or components
manufactured off-site and assembled on-site, offers several advantages over traditional
construction methods. This abstract explores the potential of modular housing construction as an
alternative solution for the Low Housing Program. Modular housing refers to the construction of
residential units using prefabricated components that can be manufactured off-site and assembled
on-site. This approach offers several advantages over traditional construction, including cost-
effectiveness, faster construction time, improved quality control, and flexibility in design. The
study examines successful case studies of modular housing implementation in various global
contexts and evaluates their applicability to the Addis Ababa context. It analyzes the economic,
social, and environmental benefits associated with modular housing, such as reduced construction
costs, increased affordability, improved living conditions, and minimized environmental impact.
Furthermore, the abstract discusses the challenges and potential barriers to implementing modular
housing in Addis Ababa, including infrastructure, regulatory frameworks, public perception, and
the need for skilled labor. By considering these factors, modular housing construction presents a
promising alternative to address the housing shortage in Addis Ababa. This abstract emphasizes
the potential of modular housing construction to expedite housing delivery, reduce costs, ensure
quality, accommodate changing housing needs, and contribute to sustainable urban development.
In conclusion, modular housing construction presents a promising alternative solution for Addis
Ababa City Administration's Low Housing Program. By embracing this innovative approach, the
city can address the pressing housing needs of its residents more efficiently and effectively,
ensuring the provision of affordable, quality housing for its growing population.
Keywords
Modular housing, alternative solution, Housing program, affordable housing, traditional
construction methods, time-consuming, expensive, growing population, cost-effectiveness, faster
construction time, quality control, design flexibility, case studies, economic benefits, social
benefits, environmental benefits, challenges, barriers, supportive policies, capacity-building
initiatives, implementation, integration.

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 1. Introduction
The Addis Ababa City Administration in Ethiopia is grappling with the critical challenge of
providing adequate and affordable housing for its rapidly growing population. The city's
urbanization and population growth have led to an increased demand for housing, creating a
housing shortage that requires innovative and efficient solutions. In response to this pressing issue,
modular housing construction has emerged as a potential alternative solution for the Addis Ababa
City Administration's law housing program.
Modular housing construction involves the fabrication of building components or modules in a
controlled factory environment, which are then transported and assembled on-site. This
construction method offers several advantages over traditional construction approaches, making it
an attractive option for addressing the housing needs of Addis Ababa.
One of the primary benefits of modular housing construction is its ability to expedite the
construction process. The prefabricated modules can be manufactured concurrently with site
preparation, significantly reducing construction time compared to traditional methods. This
accelerated construction timeline is crucial for meeting the urgent demand for housing in Addis
Ababa.
Cost-effectiveness is another key advantage of modular housing construction. The standardized
production process allows for economies of scale and efficient use of resources, leading to
potential cost savings. These cost efficiencies can enable the Addis Ababa City Administration to
allocate resources more effectively and deliver housing units at a more affordable price point.
Quality control is a critical aspect of any housing program, and modular construction excels in this
regard. The factory environment ensures consistent production standards, adherence to building
codes, and rigorous quality checks. As a result, modular housing units can offer high-quality,
durable, and safe living spaces for the residents of Addis Ababa.
Flexibility and adaptability are crucial considerations for the Addis Ababa City Administration's
housing program. Modular housing construction allows for customization and future expansion or
reconfiguration of housing units. This flexibility is especially relevant in urban areas where land
availability may be limited and housing needs may evolve over time.
Sustainability is another significant aspect of modular housing construction. The controlled
manufacturing process benefits potential include higher financial return due to less construction
interest carry and related time savings via a shorten construction schedule and potentially reduces
hard cost from repeatable and higher efficiency construction methods, streamline construction
process, reduces material waste, and higher construction quality. And the use of sustainable
materials and energy-efficient features can be incorporated into the design. This aligns with the
Addis Ababa City Administration's goals of promoting sustainable urban development and
reducing the environmental impact of housing construction.

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While modular housing construction presents numerous benefits, there are challenges that need to
be addressed. Infrastructure requirements, including transportation and on-site assembly facilities,
must be adequately planned and developed. Additionally, regulatory frameworks should be
adapted to accommodate modular construction methods, ensuring compliance with local building
codes and regulations. Public perception and awareness of the benefits of modular housing
construction might also need to be addressed to overcome potential resistance or skepticism.
Considering the advantages of modular housing construction, including accelerated construction,
cost-effectiveness, quality control, flexibility, and sustainability, it holds promise as an alternative
solution for the Addis Ababa City Administration's law housing program. By embracing modular
construction, the city can expedite housing delivery, meet the demand for affordable housing, and
contribute to sustainable urban development.

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 2. Literature Review
2.1 Introduction
The Addis Ababa City Administration faces a significant challenge in providing affordable
housing to its growing population. The traditional construction methods have proven to be time-
consuming, costly, and unable to meet the demand for housing. This literature review aims to
explore the potential of modular housing construction as an alternative solution for the Addis
Ababa City Administration's low housing program. It examines the existing literature on modular
housing construction, its benefits, challenges, and its applicability to the specific context of Addis
Ababa.
Modular housing construction has gained attention globally as a viable solution to address housing
shortages. Several studies highlight the advantages of modular construction, such as increased
construction speed, reduced costs, improved quality control, and enhanced sustainability. Modular
construction involves the fabrication of building components in a factory-like setting, allowing for
simultaneous construction on-site and off-site, leading to faster project completion. This
accelerated construction process can help the Addis Ababa City Administration meet its housing
targets efficiently.
While modular housing construction offers numerous benefits, it also faces certain challenges that
need to be considered. One of the primary concerns is the initial investment required to establish
the necessary manufacturing facilities and infrastructure. Additionally, the transportation of
modular components to the project site can pose logistical challenges, especially in congested
urban areas like Addis Ababa. Ensuring the compatibility of modular construction with local
building codes, regulations, and cultural preferences is another crucial aspect that needs to be
addressed.
2.2 Review on world Modular Housing practices
Humberto Cantu, Charlie Canal and Aaron Costin (University of Florida) prepared a research
paper on “Modular Construction: Assessing the Challenges Faced with the Adoption of an
Innovative Approach to Improve U.S. Residential Construction”. The paper that focuses on
assessing the challenges associated with the adoption of modular construction in the residential
industry. The paper follows a structured approach, starting with a comprehensive background
review that highlights the differences and similarities between traditional, modular, and
manufactured homes. To gather insights into the potential challenges faced in utilizing modular
construction, a survey was conducted among professionals and stakeholders in the modular
industry. The purpose of the survey was to obtain effective responses that shed light on these
challenges. Following the survey, a descriptive analysis was performed on the collected responses.
The results of the survey confirmed the hypothesis that owner resistance is a significant reason
why modular construction is not widely incorporated into projects. Owner resistance emerged as
the primary challenge identified in the survey. Additionally, past experience and site constraints

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were also identified as significant challenges. The second hypothesis, which posited that the
intrinsic benefits of modular construction, such as the economy of simplified modules and the
flexibility and scalability of low-tech on-site methodologies, could not be demonstrated due to the
limited number of respondents. As modular home construction becomes widely adopted across the
United States, some major issues in the residential industry could be resolved. Building affordable
houses for middle class families has become harder to achieve. Therefeoe, modular home
construction can provide a solution for obtaining affordable homes while maintaining the goals of
sustainability.
Sri Velamati Bachelor of Science, Economics University of Pennsylvania, at the Massachusetts
Institute of Technology September, 2012 conducted a research on “Feasibility, Benefits and
Challenges of Modular Construction in High Rise Development in the United States”. The
modular industry has made significant progress in improving products and providing benefits to
owners, with recent successes like Atlantic Yards and Sky City prompting developers to consider
modular technology. Modular construction offers time and cost savings, sustainable construction,
and reduced material waste. The most advantageous product types are hotels, apartments, and
condominiums. The mix of modular and site-built construction methods is crucial for time and
financial savings. Scheduling and project timing are crucial, with hotels, build-to-suit offices, and
condos benefiting from reduced operating deficits and lower interest rates.
Charlotte Kurs (Western University), 2021, prepared a research paper on “Local Government
Response to Housing Unaffordability in Three Major Canadian Cities: A Study of Vancouver,
Calgary, and Toronto”. The research paper examines the responses of Vancouver, Calgary, and
Toronto to the issue of affordable housing supply. It focuses on the success of these cities in
producing new stock of supportive and social housing, and highlights the importance of
partnerships between municipalities and various agencies in achieving affordable housing goals.
The analysis explores the role of partnerships, particularly with provincial governments and
agencies, in enabling successful affordable housing creation initiatives. When comparing the three
case study municipalities, Vancouver stands out as the most successful in producing new
supportive and social housing, as well as setting goals for increasing affordable housing. The
analysis of major affordable housing initiatives reveals that partnerships between the municipality
and other agencies play a crucial role in their success. These partnerships involve provincial
governments and agencies, health agencies, private sector housing developers, and nonprofit
housing providers. Partnerships with the provincial government or its agencies are particularly
significant, as they provide access to substantial financial resources. Vancouver's success in
supportive and social housing creation can be attributed to partnerships with the provincial
government and BC Housing, which have facilitated initiatives such as supportive housing and
modular housing projects. The availability of provincial funding has played a vital role in the city's
achievements in affordable housing. As municipalities take on a greater role in addressing housing
unaffordability, understanding the factors that contribute to successful initiatives is crucial. It
enables municipalities to set appropriate targets for affordable housing creation and develop

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strategies to meet these targets. The experiences of Vancouver, Calgary, and Toronto highlight the
significance of partnerships as a key component of successful affordable housing initiatives. The
findings of this analysis have important implications for Canadian municipalities aiming to
increase their stock of affordable housing. By recognizing the value of partnerships and leveraging
resources from provincial governments and other agencies, municipalities can enhance their
capacity to address housing affordability challenges.
Romero Quidel, G.; Soto Acuña, M.J.; Rojas Herrera, C.J.; Rodríguez Neira, K.; Cárdenas-
Ramírez, J.P. Published an Article on 22 May 2023 about “Assessment of Modular Construction
System Made with Low Environmental Impact Construction Materials for Achieving Sustainable
Housing Projects.” The Skylark 250 model for modular home construction in Chile has shown
potential for improved efficiency and sustainability. It uses subtractive manufacturing techniques
for block fabrication, incorporates materials like wheat straw for thermal insulation, and uses
photovoltaic panels for energy supply. This sustainable approach reduces greenhouse gas
emissions and is 30% cheaper than traditional options, making it a competitive alternative to
address Chile's housing deficit. However, user acceptance and perception of the system need to be
thoroughly analyzed. Overall, the Skylark 250 model is a promising alternative for a more
sustainable future.
Joseph Kwame Ofori-Kuragu, [email protected] Anglia Ruskin University, UK and Reece
Hill, [email protected] SDC Builders Ltd, UK prepared a Conference Paper in December 2021
on “An Exploration of the Potential for Using Modular Housing Solutions to Address the UK’s
Housing Shortage.” They described on the paper that the UK housing sector faces a housing crisis
affecting 8.4 million people, with a lack of sustained investment in apprenticeships and skills
trades shortages. Modular housing offers potential solutions, including speed of construction, eco-
friendly materials, waste reduction, and reduced CO2 emissions. However, awareness of these
benefits is low, indicating a need for industry-wide educational efforts. Further research could
explore innovative ways to enhance awareness, investigate costs associated with contractors
establishing manufacturing facilities, and integrate Value Engineering and Building Information
Modelling into modular house building.
Johannes A.W.H. van Oorschot, Johannes I.M. Halman, Erwin Hofman published a Journal
(Journal of Cleaner Production 319 (2021) 1298524) on “The adoption of green modular
innovations in the Dutch house building sector.” The study explores the adoption of green
modular innovations in the housing sector, identifying four paths that could lead to their adoption.
It highlights the importance of supply chain integration, integration of functions, and lowest cost
considerations. The research also explores the role of innovation maturity and market maturity in
the adoption of green modular innovations. The study supports Fine's modularity framework and
the claimed effect of modularity on innovation adoption. Implementing green modular innovations
requires technological and organizational coordination, and the Dutch government's energy
efficiency regulations are a key driver. The government could adopt a more directive role by

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prescribing green modular innovations through covenants with clients and builders, or by
stimulating the development and implementation of quality certification standards and warranties.
SASKIA GEDIN Master Thesis 2023 Chalmers University of Technology Department of
Architecture and Civil Engineering in Sweden conducted on “Modular Housing for Young Adults
affordability, quality & site integration.” Modular housing is a strategy for designing affordable
housing that reduces variations and facilitates serial production. The design proposal aimed to
reduce the number of modules, resulting in three apartment types. The solution was to place
essential functions into one common module, rationalizing technical installations and spatial
configuration. The efficiency of site usage and total planned area usage was a driving factor for
the overall cost of the project. The modular design was found to facilitate the attainment of
residential qualities, with all apartments achieving the gold grade for residential qualities according
to MAB. Architects must prioritize quality in designing residences, as affordability has been
approached in other ways than reducing apartment size. The application of modular apartment
series for serial production requires site integration, which is crucial for public perception. The
thesis illustrates how modular housing can improve housing situations for young adults while
respecting cultural values.
Elena M. Generalova, Viktor P. Generalov , Anna A. Kuznetsova (Samara State University of
Architecture and Civil Engineering, Molodogvardeyskaya St 194, Samara, 443001, Russia)
studide on “Modular buildings in modern construction.” Modular construction technologies are
becoming widely used all over the world finding more and more applications. Modular
construction is beyond the limits of low-rise construction and is extensively introduced into multi-
storey and high-rise construction. In this direction energy saving construction technology is used.
Material resources, eco-friendly production and the latest engineering equipment and materials are
developed. It allows modernizing modular systems and introducing them in construction on a
larger scale. It is very important that the use of modular units makes the construction cheaper
including the construction of high-rise buildings. A myth that high-rise residential houses are only
for the rich is being destroyed. This is one of the promising trends where the interested experts
should find the ways of solving the problem of building affordable residential housing for different
population groups under the conditions of hyperdense urban environment.
Shuzhan LIU, Qianwei LIU and Minhao ZHANG conducted a research on “Modularization of
Prefabricated Affordable Housing in Zhengzhou, China”. The research suggestions for the
Zhengzhou, prefabricated affordable housing project, focusing on the integration of standardized
design, green building concepts, and modularization. The aim is to maximize resource efficiency,
environmental protection, pollution reduction, and promote the standardization and green
development of prefabricated affordable housing. The first suggestion emphasizes the need to
combine standardized design with green building concepts. Given the global challenges related to
energy and resources, it is crucial to design prefabricated affordable housing in a way that saves
resources, protects the environment, and reduces pollution. By incorporating green building
principles, the design of prefabricated affordable housing can reach a new stage of "standardization

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and green." The second suggestion highlights modularization as the core of standardization. The
low overall prefabrication rate, low assembly rate, and poor market liquidity in Chinese
prefabricated affordable housing projects are attributed to the absence of a modularization concept
and a universal modular coordination system. The third suggestion emphasizes the
interdependence of modularization, green building, and prefabricated technology. These three
aspects are considered key to the transformation of the construction industry. Green building
technology provides the necessary technical support for environmental protection and sustainable
development. Modularization, as a core concept, drives the development of prefabricated
affordable housing towards intensified, standardized, and industrialized approaches. Prefabricated
technology, in turn, offers an effective means to transform traditional construction methods into
more intensive, green, environmentally friendly, technological, and industrialized practices.
Together, these three factors promote the standardization and sustainable development of
prefabricated affordable housing.
In March 2018, S.F. Husain and M. Shariq from the College of Engineering & Technology, Aligarh
Muslim University, Aligarh, India, presented a conference paper titled "Low-Cost Modular
Housing – A Review." The paper emphasized the need for radical changes in the current plan of
action to effectively fulfill the government's aim of providing affordable housing for all by 2022
under the Pradhan Mantri Awas Yojana (PMAY). The authors highlighted the shortcomings of the
conventional construction methodology, including delays and compromised quality. They
proposed the use of Industrialized Building Systems (IBSs) to augment modular house
construction and achieve the goal of delivering 20 million affordable homes that offer improved
living standards, proper sanitation, and protection at subsidized rates. Malaysia's successful
implementation of IBSs in modular construction serves as inspiration for achieving affordable low-
cost housing dreams. By adopting modular construction methods and leveraging the benefits of
IBSs, Malaysia is on track to fulfill its housing goals. This success story serves as a model for
other countries, including India, to learn from and implement in their own contexts.
Mi Kyoung Kim and Mi Jeong Kim (ChungBuk National University, Republic of Korea)
conducted a research on “Affordable Modular Housing for College Students Emphasizing
Habitability”. The research framework that aims to evaluate the potential of modular architecture
for affordable housing, with a focus on habitability, sustainability, and affordability. The authors
argue that habitability is crucial for ensuring a reasonable standard of living, while affordability
should take into account the positive functional aspect of modular housing. To validate the
framework, the authors analyzed four dormitories and identified various issues related to
habitability and affordability. Safety issues were prevalent in all the dormitories, except for the
Spacebox, with concerns related to thermal environment, ventilation, noise, and hygiene. The
suggested solutions include insulation, noise prevention measures, and cross ventilation to address
these safety issues. Comfort issues were observed in all the dormitories, with students expressing
dissatisfaction regarding the size and height of units, storage spaces, and built-in furniture.
Sociality issues varied based on the availability of community facilities or activities. To ensure

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habitability and economic feasibility, the authors propose that modular housing should be
supported by public sectors and sustainable systems. They suggest incorporating energy-saving
measures, centralized heating systems, economic hot water systems, maintenance cost aid, and
easy-to-maintain finishing materials. By leveraging the strengths of modular architecture, such as
modularity, prefabrication, reusability, durability, and low construction cost, the authors argue that
the proposed framework can contribute to the development of customized and affordable housing
for students.
Alireza Moghayedi (University of the West of England, Bristol BS16 1QY, UK), Chisomo Phiri
and Ann-Marie Ellmann (University of Cape Town, 7700, South Africa) conducted a study on
“Improving sustainability of affordable housing using innovative technologies”. This research
significantly advances understanding of the relationship between sustainability and affordability
in South African housing design, providing insights applicable to the local context. The study
delves into the complexities of sustainability and affordability in housing design, considering
factors such as energy efficiency, resource conservation, optimal space utilization, affordable
construction techniques, and social equity.
Evans K. Essienyi B.Sc. Building Technology, 2004 Kwame Nkrumah University of Science and
Technology, conducted a research on “Prefabricated Housing, a Solution for Ghana’s Housing
Shortage.” The absence of economic and social factors that make prefab housing successful in
developed countries, such as a well-functioning market economy, heavy industrialization, and a
well-developed housing sector, undermines efforts to implement prefabrication programs. In
Ghana, the economy was largely agrarian, with cocoa being its main export commodity. The
government had to provide resources within a short time, requiring significant upfront investment
and a significant upfront investment for the three prefabrication factories in Accra, Tarkoradi, and
Kumasi. The prefab houses were higher than traditional ones, but required more man hours to
construct and did not offer any measurable advantage over traditional buildings.
Ali Hassan Ali (The British University in Egypt), Ahmed Farouk Kineber (Prince Sattam Bin
Abdulaziz University in Saudi Arabia & Canadian International College in Egypt), Thikryat Jibril
Obied Qaralleh (Prince Sattam Bin Abdulaziz University in Saudi Arabia), Naif Sultan Alaboud
(Umm Al-Qura University, Makkah, Saudi Arabia), Ahmed Osama Daoud (The British University
in Egypt) wrote an article on “Classifying and evaluating enablers influencing modular
construction utilization in the construction sector”. The study explores the enablers of Modular
Construction (MC) adoption and sustainability in housing projects in Egypt. It presents categories
and rankings to help professionals integrate these enablers into their projects. The study highlights
the complexity of factors promoting MC adoption in the construction sector and advances the
literature by classifying enablers. Practically, the study may aid nations not yet adopting MC,
enhance understanding of MC researchers, and enhance project objectives.
Toyah Eglin (KTH Royal Institute of Technology-Stockholm, Sweden), 2023, conducted MSc
Thesis on “Sustainable and affordable housing in Nairobi, Kenya”. The study explores the

9
potential and challenges of sustainable and affordable housing in Nairobi, Kenya focusing on the
city's urban population growth and housing supply issues. The study uses methods such as desk
research, semi-structured interviews, and field visits to identify opportunities for locally adapted
building strategies. The study found that using local materials, knowledge, and workforce can lead
to cost-saving effects without compromising housing quality. This approach promotes cultural
identities, respects local traditions, resources, and people, and considers users' needs and decent
standards of life. However, the study also found that the priorities of most people in Nairobi are
not sustainable approaches, but rather meeting daily needs and access to basic amenities. The main
challenge in implementing sustainable and affordable housing is the lack of structural foundations
in policy, regulations, guidelines, and funding opportunities. The definition of affordability varies
among actors, and communication is limited. The study also suggests that there is strong potential
for using climate responsive and sustainable building adaptations to respond to affordable housing
needs. However, significant changes are needed in the political and social framework for
successful implementation. Learning from the local context and potentials is crucial, and further
research is needed to adapt sustainability and affordability in the region.
2.3 Review on Ethiopian Modular Housing practices
Esrael Woldeeyesus Mohammed (MBA) prepared a paper and presented at “ECAS7: 7th European
Conference on African Studies” which is held from June 29 to July 01, 2017 in Basel, Switzerland,
on “Affordable Housing: Practices and Prospects of House supply in Addis Ababa, Ethiopia.” The
research shows that only 44% of condominium house residents in Addis Ababa are natives,
indicating a high number of migrants attracted by employment opportunities. Most residents are
renters, with 62% of them being program beneficiaries. Rent and mortgage burdens both residents
and homeowners. Only 20% are optimistic about their ability to continue paying rent or mortgage
without compromising their household needs. 76% of respondents are pessimistic about the future
of low-income community members owning condominium houses. However, 38% of respondents
feel more stable and secure living in condominium houses compared to renting rooms in someone's
compound. Professionals believe that Ethiopia needs to research and find other methods to make
houses affordable, and express concerns about the provision of affordable housing in the capital
city.
In June 2019, Wendmagegn Geleta conducted an MSc Thesis at Addis Ababa University, focusing
on "The Status of Modular Building System in the Building Construction Industry: The Case in
Addis Ababa." Geleta's research aimed to assess the advantages of modular building systems in
Addis Ababa's construction industry, particularly in terms of housing affordability, reduced costs,
construction flexibility, safer work environment, shorter project completion time, and improved
construction quality. Modular building systems offer potential solutions to the housing
affordability crisis in Addis Ababa. Their lightweight design reduces foundation costs, making
them a cost-effective option. Moreover, the decreased consumption of formwork for molding
supports further reduces the overall cost of formwork construction. The utilization of modular
buildings in construction projects can significantly minimize costs. The lightweight design reduces

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the need for expensive foundation materials, resulting in substantial cost savings. Modular
construction methods minimize site disturbances compared to conventional construction. It alos
offers greater construction flexibility. The prefabricated components can be easily customized and
assembled on-site, allowing for design modifications and adjustments to meet specific project
requirements. One of the significant advantages of modular construction is the shorter time
required for project completion. While there may be initial concerns about the quality of modular
components, when well-designed and subjected to quality assurance and control processes,
modular construction can result in better quality buildings. The controlled factory environment
ensures precise craftsmanship, minimizes errors, and reduces the likelihood of conflicts during on-
site material testing. Consequently, modular construction can deliver buildings with consistent
quality standards.
Y T DAGET and H ZHANG (Southeast University, China) presented a paper in international
Conference, Boston, USA, 16th-17th September 2018, on “Application of Industrialized Housing
System in Addis Ababa, Ethiopia”. The paper discussed the status of housing development
projects in Addis Ababa, Ethiopia, with a focus on the application of industrialized housing
systems. It acknowledges the existence of several projects that have implemented these systems
but highlights the need for significant improvements to achieve substantial advancements in
production, affordability, quality, and value for money. It expained that four housing development
projects in Addis Ababa have adopted industrialized housing systems, varying in scale and
encompassing different housing designs, construction levels, and dwelling quantities. However,
these projects are considered as incremental improvements over traditional construction methods,
lacking the radical approach required for significant progress in construction science and
technology. Addis Ababa, as the economic, cultural, and political hub of Ethiopia, possesses
favorable conditions for the development of housing industrialization. However, the city faces
challenges in its housing industry, including poor design concepts, primitive technology, low
management levels, limited use of new materials and production methods, and inadequate
standardization. These factors hinder the sector's ability to meet the demand for housing while
ensuring high-quality construction. To address these challenges, substantial investment in research
and development programs is necessary. This investment should include extensive testing of
prototypes to refine designs and minimize the risk of failure. Building elements and components
need to be integrated effectively to withstand environmental conditions and user wear.
Additionally, proper education and on-the-job training for the local workforce are crucial for
successful adoption of new technologies. The paper also stated that to encourage the adoption of
industrialized methods in housing production, incentives should be provided to local housing
developers. These incentives can help drive the transition towards industrialized construction
practices and foster innovation in the sector. By supporting and empowering local developers,
Addis Ababa can expedite the development of housing industrialization and modernize the housing
construction industry. It also explained as there is an urgent need to accelerate the development of
housing industrialization in Addis Ababa to meet the growing demand in the housing market. By
embracing industrialized methods, the city can enhance production efficiency, improve

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affordability, and modernize the overall construction industry. Timely action is crucial to ensure
the housing needs of the population are met effectively.
2.4 Conclusion:
Modular housing construction holds significant promise as an alternative solution for the Addis
Ababa City Administration's low housing program. The benefits of increased construction speed,
cost-effectiveness, quality control, and sustainability make it an attractive option. However, careful
consideration of local constraints and adaptation to the specific context of Addis Ababa are crucial
for its successful implementation. By leveraging the experiences of other countries, engaging
stakeholders, and addressing challenges, modular housing construction can play a vital role in
meeting the housing needs of Addis Ababa's growing population. Further research and pilot
projects are necessary to assess the feasibility and scalability of this approach in the Addis Ababa
context.
3. Objective of the Study
• Compare the time and cost effectiveness of Modular Construction and Conventional
Construction methods for housing development in Addis Ababa.
• Determine which construction method is most suitable for providing affordable housing
and delivering houses quickly to the low-income society.
• Analyze the experiences and best practices of both developed and developing countries in
implementing Modular Construction for mass housing projects.
• Evaluate the performance of existing contractors involved in Modular Housing
construction and propose recommendations to enhance the practice based on the housing
demand and supply.

4. Methodology
This section provides an overview of the research methodology employed in the study and
emphasizes the importance of a multi-disciplinary approach. It also highlights the various sources
of data used and outlines the data analysis method. Additionally, the study's context in Addis
Ababa, Ethiopia, is introduced.
The study utilized a range of qualitative methodologies to address the research questions and
achieve the study's objectives. The aim was to provide a multi-disciplinary and diverse perspective
on the identified problem by drawing on multiple sources of data. The methodologies employed
include a comprehensive review of existing relevant documents was conducted. This involved
analyzing contract documents, reports, and other sources to gather background information on the
research topic. To further enrich the study, key actors in the sector were interviewed. These
individuals possess expertise and insights relevant to the research topic. The interviews provided
firsthand information, diverse perspectives, and valuable insights, contributing to a deeper
understanding of the advantages and disadvantages of modular housing over convensional
construction under investigation. A site visit was also conducted to an active sustainable and

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affordable housing development construction site in Addis Ababa. The site, consisting of 4,380
houses, is constructed by the Ethiopian Construction Works Corporation (ECWC). Through this
visit, we gained direct observation and practical insights into the ongoing construction process and
the implementation of sustainable and affordable housing practices.
Following data collection, an inductive thematic content analysis approach was employed to
translate and analyze the gathered data. This approach involves identifying patterns, themes, and
categories within the data without preconceived notions or predefined frameworks. By using this
method, we aimed to derive meaningful insights and develop a holistic understanding of the
research findings.
4.1 Scope of the Research
The research has a specific focus on investigating the construction process of 4,380 modular
houses undertaken by the Ethiopian Construction Works Corporation (ECWC) in the housing
development sector in Addis Ababa, Ethiopia. The aim is to conduct a thorough analysis of the
construction time and rough construction cost for both modular houses and conventionally
constructed houses.
One aspect of the analysis involves examining the construction time for modular houses compared
to conventionally constructed houses. We likely collected data on the time taken to complete the
construction of the 4,380 modular houses, as well as data on the construction time for
conventionally constructed houses. By comparing these two timeframes, the study aims to assess
the time efficiency of modular construction in the specific context of the housing development
sector in Addis Ababa.
Another aspect of the analysis focuses on the rough construction cost for modular houses and
conventionally constructed houses. We likely gathered data on the costs associated with
constructing the 4,380 modular houses. Similarly, data on the construction costs for conventionally
constructed houses would have been collected. By comparing these costs, the study aims to
evaluate the cost-effectiveness of modular construction in relation to conventional construction
methods.
Additionally, the study aims to determine the cost per square meter for constructing both types of
houses. This metric provides insights into the relative costs of constructing modular houses and
conventionally constructed houses in terms of their size. By calculating the cost per square meter,
we can compare the financial efficiency of the two construction methods, considering the specific
context of the housing development sector in Addis Ababa.
The analysis of construction time, construction cost, and cost per square meter for modular houses
and conventionally constructed houses enables us to assess the cost-effectiveness and efficiency
of modular construction in comparison to conventional construction methods. The findings of this
analysis can provide valuable insights for decision-makers in the housing development sector in

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Addis Ababa, helping them make informed choices regarding the selection of construction
methods for future projects.
5. Analysis
The study focuses on the houses being built in the Kaliti area, commonly known as the "5,000
modular houses." These houses are owned by the Addis Ababa city administration, and the
Ethiopian Construction Works Corporation is the contractor responsible for their construction. The
study aims to assess and compare the benefits of modular construction with conventional
construction systems in this specific context.
Modular construction, as mentioned, involves the off-site manufacturing of building components
or modules in a factory or production facility. These components are then transported to the
construction site and assembled to complete the building. This method offers several advantages,
including time efficiency, reduced labor requirements, and improved quality control due to the
controlled factory environment.
Conventional construction, on the other hand, refers to the traditional method of building where
all construction activities, including the manufacturing of building components, take place on-site.
This method typically involves a more extensive labor force and longer construction durations
compared to modular construction.
The purpose of the study is to assess and compare the benefits of modular construction with
conventional construction systems in the specific context of the Kaliti area. By conducting this
study, we aim to gain insights into the advantages and disadvantages of both construction methods.
This information can then inform decision-making processes in future construction projects,
helping stakeholders determine the most suitable construction approach for similar housing
projects.
The study would likely involve various research methodologies such as document assessing,
interviews, site visits, and analysis. We conducted an interview with experts from the Ethiopian
Construction Works Corporation to gather insights into the modular construction processes used
in the project. These interviews would help understand the specific advantages of modular
construction, such as time efficiency, reduced labor requirements, and improved quality control.
Additionally, a site visit would be conducted to gather first-hand information about the
construction project. This would involve observing the assembly of the modular components on-
site, assessing the efficiency of the construction process, and examining the quality of the finished
houses. We would likely compare this information with their findings about conventional
construction methods to identify the relative strengths and weaknesses of each approach.
Through data analysis and comparison, the study aims to provide a comprehensive assessment of
the benefits of modular construction compared to conventional construction systems in the specific
context of the Kaliti area. The findings of the study can then be used to inform decision-making

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processes, helping stakeholders determine the most appropriate construction method for future
housing projects in the area or similar contexts.The study mentioned in the text involves
conducting interviews with experts from the contractor who will be responsible for carrying out
the construction project. These interviews are important to gather insights and expertise regarding
the construction methods and processes involved. Additionally, a site visit is conducted to gather
first-hand information about the project site and its specific requirements.
The project itself consists of two types of blocks: 70 blocks of G+4 (ground floor plus four
additional floors), with each block containing 40 houses, and 20 blocks of G+9, with each block
containing 72 houses. This indicates that the project is a large-scale construction endeavor with a
significant number of housing units.
During the interviews with the contractor's experts, it was revealed that the construction of a G+4
building using modular construction took 75 days to complete. This means that the entire process
of manufacturing and assembling the modular components, such as walls, floors, and roof panels,
as well as the on-site installation, was completed within this time frame. In contrast, it was
confirmed through the interviews and contract documents that if the same type of building were to
be constructed using conventional construction methods, it would take up to 1 year to complete.
This stark contrast in construction time suggests that modular construction offers a considerable
time advantage over traditional construction methods.
Furthermore, during the on-site visit, it was observed that the assembly of the modular buildings
required the assistance of 15 experts and the use of cranes. These experts would be responsible for
coordinating the placement and installation of the modular components, such as columns, beams,
and slabs. The presence of cranes indicates that heavy lifting equipment is utilized to facilitate the
installation process efficiently. In contrast, conventional construction methods typically involve a
more extensive labor force, consisting of numerous professionals and day laborers who perform
various tasks such as bricklaying, carpentry, and concrete pouring. The use of prefabricated or
modular construction significantly reduces the need for such extensive manpower, as the majority
of the construction work is completed off-site in a controlled factory environment.
From the point of view of construction cost, based on the contract signed by Addis Ababa City
Administration and Ethiopian Construction Works Corporation, the cost of modular housing
construction is stated to be 19,000 Birr per square meter. In contrast, the contract for the Federal
Prisons Commission Aleltu Police Training Institute G+4 administrative building was negotiated
to be built using conventional construction methods, with a total cost of 293,275,394.95 Birr per
square meter. The building occupies an area of 2,176 square meters, resulting in a buildable area
of 10,880 square meters. When the total cost of the building is divided by the buildable area, the
cost per square meter is calculated to be approximately 26,955.46 Birr. Based on this calculation,
it can be inferred that modular construction is more cost-effective compared to conventional
construction methods, as the cost per square meter is significantly lower for modular housing. This
finding suggests that modular construction could be a better option for low-income urban

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communities seeking affordable housing. However, it is important to acknowledge the limitations
of the study. The comparison is based on a single modular construction contract and a single
conventional construction contract, which may not be fully representative of all construction
projects. Additionally, the study does not provide information on the material specifications and
quality of the two buildings, which are crucial factors influencing construction costs and overall
value. Therefore, while the rough comparison indicates the potential cost-effectiveness of modular
construction, it is necessary to conduct more comprehensive studies considering various factors
such as material quality, construction techniques, and project scale to obtain a more accurate
assessment.
The other advantage of modular construction is the use of low formwork. Formwork refers to the
temporary structure or mold used to shape and support concrete during the construction process.
In conventional construction, high formwork is typically required to create the desired shapes and
structures. This involves the time-consuming process of constructing formwork on-site, which can
be labor-intensive and may require specialized skills. However, in modular construction, the
majority of the components are manufactured off-site in a controlled factory environment. Since
the modular components are pre-fabricated according to the design specifications, they are already
shaped and molded to the required dimensions and configurations. This significantly reduces the
need for extensive formwork on the construction site, streamlining the construction process and
saving time and labor costs. The modular components can be directly assembled and
interconnected on-site, resulting in faster and more efficient construction.
Another significant benefit of modular construction is the reduction in waste generation compared
to conventional construction methods. Since the modular components are manufactured off-site,
precise calculations can be made to minimize material waste during the manufacturing process.
The controlled factory environment allows for accurate cutting, shaping, and assembly of the
materials, optimizing the use of resources. Additionally, any waste generated during the
manufacturing stage can be effectively managed and recycled within the controlled factory
environment. For example, excess materials or offcuts can be collected and reused in future
projects or recycled to minimize environmental impact. As a result, there is minimal waste
generated on the construction site during the installation of the modular components, reducing the
overall environmental footprint of the construction project.
The environmentally friendly nature of modular construction extends beyond waste reduction. By
minimizing waste and optimizing material utilization, modular construction contributes to a more
sustainable and eco-friendly construction approach. The controlled factory environment allows for
efficient energy use, as it enables the implementation of energy-saving techniques and
technologies. For instance, factories can employ energy-efficient machinery, lighting systems, and
heating/cooling systems. Additionally, the centralized production in a factory reduces
transportation-related emissions and energy consumption, as compared to conventional
construction where materials are transported to the construction site from various locations. These

16
environmental benefits make modular construction a favorable choice for environmentally
conscious construction projects.
In terms of quality, modular construction offers distinct advantages over conventional construction
methods. The modular components are manufactured in a controlled workshop environment,
where stringent quality control measures can be implemented. This controlled setting allows for
precise fabrication, accurate assembly, and rigorous testing of the modular parts. The standardized
manufacturing processes and quality assurance protocols ensure consistency and uniformity across
all the modular components used in the construction project. The use of advanced technologies,
such as computer-aided design (CAD) and automated production systems, further enhances the
accuracy and precision of the modular components. As a result, the quality of the finished modular
construction tends to be higher compared to conventional construction, where variations in
craftsmanship and on-site conditions can potentially affect the overall quality of the structure. The
controlled factory environment minimizes the risk of errors or defects, leading to a more reliable
and durable end product.
Despite the comparisons listed above, modular construction typically requires a significant upfront
investment due to the need for specialized machinery and equipment. Setting up a modular
construction facility involves acquiring and maintaining large-scale manufacturing equipment,
such as assembly lines, molds, and specialized tools. These investments can be substantial and
may pose financial barriers for smaller construction companies or projects with limited budgets.
The initial investment required for modular construction can deter widespread adoption,
particularly in regions where financial resources are constrained.
While modular construction offers benefits in terms of time efficiency and quality control, it can
face challenges when it comes to scaling up production and implementation on a large scale.
Expanding the production capacity of modular components requires additional investments in
manufacturing facilities and machinery. This scalability constraint can make it difficult to meet
the demands of large-scale construction projects or to implement modular construction widely
across an area or industry. The limited scalability of modular construction may restrict its
effectiveness in addressing housing shortages or infrastructure needs in rapidly growing cities like
Addis Ababa.

Another challenge of using modular construction is transportation. Modular construction involves

fabricating components off-site and then transporting them to the construction site for assembly.
However, modular parts are often heavy and bulky, which can present logistical challenges during
transportation. Moving these components from the manufacturing facility to the construction site
requires careful planning, specialized transportation methods, and coordination. In the context of
Addis Ababa, where transportation infrastructure may be limited or road conditions may be poor,
the transportation of modular parts outside the city can become even more challenging. These

17
transportation difficulties can increase costs and time associated with modular construction,
making it less feasible for projects located farther from the manufacturing site.
The construction industry is traditionally rooted in conventional construction methods and
practices. Introducing modular construction methods requires a shift in mindset, practices, and
skill sets. Some stakeholders, including contractors, developers, and workers, may be resistant to
adopting new construction techniques due to concerns about quality, durability, or unfamiliarity
with the modular approach. Resistance to change can slow down the adoption of modular
construction and limit its effectiveness in addressing housing or infrastructure needs in Addis
Ababa.
Modular construction often relies on standardized components that are manufactured off-site.
While this approach offers efficiency and cost benefits, it can limit the design flexibility of
structures. Modular buildings may face constraints in terms of architectural diversity and
customized features. Projects that require unique designs or architectural elements may find it
challenging to achieve their vision within the constraints of modular construction. This design
limitation can create resistance to adopting modular methods for projects that prioritize design
flexibility and uniqueness.
While it is true that conventional construction methods typically involve a larger labor force
compared to modular construction, which can create more job opportunities, it is important to
consider the overall context and long-term implications. Conventional construction often requires
a diverse range of skilled and unskilled workers, including masons, carpenters, electricians,
plumbers, and other tradespeople. The labor-intensive nature of conventional construction can
provide employment opportunities for a significant number of individuals, particularly in areas
with high unemployment rates or limited job opportunities. This can have positive social and
economic impacts by reducing unemployment, promoting skill development, and stimulating local
economies. On the other hand, modular construction relies more on the efficient use of technology
and controlled factory environments, which can reduce the reliance on extensive manual labor.
While this may result in a smaller workforce requirement for on-site construction, it also offers
opportunities for employment in the manufacturing and assembly stages of the modular
components. Skilled workers are needed in the factory setting to operate machinery, oversee
quality control, and ensure efficient production processes.

6. Conclusion & Recommendation

5.1 Conclusion
1. One of the primary advantages of modular homes is their affordability. Modular homes are
factory-built, allowing for cost savings due to economies of scale, streamlined production
processes, and reduced construction time. As a result, these homes can be a more affordable

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 option compared to traditionally built houses, helping individuals and families achieve
homeownership at a lower cost.
2. Modular homes are designed and built with sustainability in mind. The controlled factory
environment minimizes waste and optimizes material usage. Additionally, modular homes
often incorporate energy-efficient features, such as insulation, solar panels, and energy-
saving appliances, reducing both operating costs and environmental impact.
3. Due to the modular construction process, where homes are built off-site and then assembled
on-site, the overall construction timeline is significantly reduced. This rapid construction
method can help address housing shortages and allow homeowners to move into their new
homes quickly.
4. Modular construction requires a smaller labor force compared to conventional
construction. The assembly of modular components on-site requires the assistance of a
limited number of experts and the use of cranes, while conventional construction methods
involve a more extensive labor force. This reduction in labor requirements can lead to cost
savings and increased productivity.
5. Modular construction provides improved quality control compared to conventional
construction. The controlled factory environment allows for precise fabrication, accurate
assembly, and rigorous testing of modular components. Standardized manufacturing
processes and quality assurance protocols ensure consistency and uniformity, resulting in
a more reliable and durable end product.
6. Modular construction minimizes waste generation and has a lower environmental footprint
compared to conventional construction. Precise calculations and optimized material
utilization in the factory environment reduce material waste. Additionally, any waste
generated during the manufacturing stage can be effectively managed and recycled. The
energy-efficient practices and reduced transportation-related emissions further contribute
to a more sustainable construction approach.
8. Modular construction may face challenges in scaling up production and implementation on
a large scale. Additional investments in manufacturing facilities and machinery are
required to expand production capacity. The limited scalability of modular construction
can hinder its effectiveness in addressing housing shortages or infrastructure needs in
rapidly growing cities.
9. Transportation of modular components from the manufacturing site to the construction site
can present logistical challenges, especially in areas with limited transportation
infrastructure. Heavy and bulky modular parts require careful planning, specialized
transportation methods, and coordination. These challenges can increase costs and time
associated with modular construction, particularly for projects located farther from the
manufacturing site.

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10. Introducing modular construction methods requires a shift in mindset, practices, and skill
sets. Some stakeholders may be resistant to adopting new techniques due to concerns about
quality, durability, or unfamiliarity. Resistance to change can slow down the adoption of
modular construction and limit its effectiveness in addressing housing or infrastructure
needs.
11. Modular construction relies on standardized components, which can limit design flexibility
and architectural diversity. Projects that require unique designs or customized features may
face challenges in achieving their vision within the constraints of modular construction.
This design limitation can create resistance to adopting modular methods for projects that
prioritize design flexibility and uniqueness.
12. Conventional construction methods provide more job opportunities due to the larger labor
force required. Modular construction, on the other hand, relies more on technology and
controlled factory environments, resulting in a smaller on-site workforce. However,
modular construction offers employment opportunities in the manufacturing and assembly
stages of modular components, requiring skilled workers to operate machinery and oversee
quality control.
In general, modular housing construction offers several advantages over conventional construction
methods, making it a compelling option for the Addis Ababa city administration to consider. By
adopting modular housing construction, the Addis Ababa city administration can potentially
achieve better results in terms of cost savings, faster housing delivery, improved quality control,
waste reduction, and environmental sustainability. However, it's important to consider the specific
context and challenges of implementing modular construction in Addis Ababa, such as the need
for adequate manufacturing facilities, transportation logistics, and stakeholder acceptance. Careful
planning, stakeholder engagement, and collaboration with experienced modular construction firms
can help maximize the benefits and address any potential challenges associated with this
construction method.
5.2 Recommendation
1. In addressing the housing problems of residents in Addis Ababa, engaging the private
sector and paying attention to modular construction can be a beneficial approach. Involving
the private sector in housing projects brings several advantages. Private companies often
have the necessary expertise, resources, and innovation to contribute to the development
of affordable housing solutions. By partnering with private developers, the Addis Ababa
city administration can leverage their knowledge and experience to address housing
challenges effectively.
2. By increasing awareness about modular construction, the government can empower the
home-seeking community with knowledge about this alternative housing solution. This
includes educating them about the benefits, features, and potential of modular construction

20
 in meeting their housing needs. By understanding the advantages and possibilities offered
by modular construction, individuals can make informed decisions and actively consider it
as a viable option.
3. Modular home builders should offer a wide range of customizable floor plans and design
options to suit various preferences and needs. From small and cozy to spacious and
luxurious, modular homes can be tailored to meet individual preferences, making them a
viable choice for diverse households.
4. While modular housing has gained little popularity in recent years due to its potential
benefits, it is important to note that more research is needed to provide definitive evidence
that it is a better alternative to conventional construction methods. More research is needed
to evaluate the cost-effectiveness, the structural integrity of modular components over time,
analysing the energy consumption of its all activities, the perception of residents and
explore the design possibilities and limitations of modular construction.

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7. References
1. Humberto Cantu, Charlie Canal and Aaron Costin, “Modular Construction: Assessing
the Challenges Faced with the Adoption of an Innovative Approach to Improve U.S.
Residential Construction”, June 2019, University of Florida.
2. Sri Velamati, “Research on Feasibility, Benefits and Challenges of Modular
Construction in High Rise Development in the United States”, September, 2012,
Bachelor of Science, Economics University of Pennsylvania, at the Massachusetts
Institute of Technology.
3. Charlotte Kurs, “Local Government Response to Housing Unaffordability in Three
Major Canadian Cities: A Study of Vancouver, Calgary, and Toronto”, 2021, Western
University.
4. Romero Quidel, G.; Soto Acuña, M.J.; Rojas Herrera, C.J.; Rodríguez Neira, K.;
Cárdenas-Ramírez, J.P. on 22 May 2023, Assessment of Modular Construction System
Made with Low Environmental Impact Construction Materials for Achieving
Sustainable Housing Projects.
5. Joseph Kwame Ofori-Kuragu, and Reece Hill, Conference Paper in December 2021,
An Exploration of the Potential for Using Modular Housing Solutions to Address the
UK’s Housing Shortage.
6. Johannes A.W.H. van Oorschot, Johannes I.M. Halman, Erwin Hofman published
Journal (Journal of Cleaner Production 319 (2021) 1298524), The adoption of green
modular innovations in the Dutch house building sector.
7. SASKIA GEDIN Master Thesis 2023 Chalmers University of Technology Department
of Architecture and Civil Engineering in Sweden, Modular Housing for Young Adults
affordability, quality & site integration.
8. Elena M. Generalova, Viktor P. Generalov , Anna A. Kuznetsova (Samara State
University of Architecture and Civil Engineering, Molodogvardeyskaya St 194,
Samara, 443001, Russia), Modular buildings in modern construction.
9. Shuzhan LIU, Qianwei LIU and Minhao ZHANG, “Research on Modularization of
Prefabricated Affordable Housing in Zhengzhou”, 2022, Department of Architecture,
Zhengzhou University, Zhengzhou, Henan, China.
10. S.F. Husain and M. Shariq, College of Engineering & Technology, Aligarh Muslim
University, Aligarh, India, in March 2018, conference paper titled, Low-Cost Modular
Housing – A Review.
11. Mi Kyoung Kim and Mi Jeong Kim, “Affordable Modular Housing for College
Students Emphasizing Habitability”, January 2016/56, ChungBuk National
University, Republic of Korea.
12. Alireza Moghayedi, Chisomo Phiri and Ann-Marie Ellmann Improving sustainability
of affordable housing using innovative technologies.
13. Evans K. Essienyi B.Sc. Building Technology, 2004 Kwame Nkrumah University of
Science and Technology, Prefabricated Housing, a Solution for Ghana’s Housing
Shortage.

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14. Ali Hassan Ali, Ahmed Farouk Kineber, Thikryat Jibril Obied Qaralleh, Naif Sultan
Alaboud, Ahmed Osama Daoud, an article on “Classifying and evaluating enablers
influencing modular construction utilization in the construction sector”.
15. Toyah Eglin, “Sustainable and affordable housing in Nairobi, Kenya”, 2023, KTH
Royal Institute of Technology-Stockholm, Sweden.
16. Esrael Woldeeyesus Mohammed “ECAS7: 7th European Conference on African
Studies” which is held from June 29 to July 01, 2017 in Basel, Switzerland, on
“Affordable Housing: Practices and Prospects of House supply in Addis Ababa,
Ethiopia”.
17. Wendmagegn Geleta, in June 2019, MSc Thesis at Addis Ababa University, focusing
on the Status of Modular Building System in the Building Construction Industry.
18. Y T DAGET and H ZHANG, “Application of Industrialized Housing System in Addis
Ababa, Ethiopia”, 16th-17th September 2018, Southeast University, China.
19.

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Photos taken from Convensional Construction Sites

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Contract document for Convensional Construction

25
26
Photos taken from Modular Construction Site

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Contract document for Modular Construction

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