The Housing Authority will be now working with two Chinese State owned companies to carry out a feasibility study on the low cost housing development projects.

The Chief Executive Officer, Alipate Naiorosui said a memorandum of understanding was signed with the two companies and their focus will be mainly on the subdivision of land and construction of houses for low income earners including squatters.

He said the Housing Authority is faced with many development constraints including high development costs and high cost of loan borrowings and they are grateful that the Prime Minister Office facilitated the visit between the Chinese delegation and the Authority.

Naiorosui said the land development engineering plans for four major projects have been approved at Tacirua, Nepani, Wainibuku and Savusavu. He said earthwork will begin once a suitable contractor is identified and funding is finalized.