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SA group plans 345 Ngong Road housing units

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Kenya’s housing demand is growing at 150,000 units annually. FILE PHOTO | NMG

A group of South African investors that raised Sh25 billion for real estate development in five African countries will put up a 345-housing unit development in Nairobi’s Ngong Road.

Eris Property Developers Ltd said the development will be at Ngando area off the upcoming Ngong dual carriageway. It will offer tenants a clubhouse and a four-floor supermarket.

Eris is a joint venture between MMI Holdings Ltd (73.75 per cent) and Eris Property Group that owns 26.25 per cent, both of South Africa.

A notice by National Environment Management Authority (Nema) says the development will see seven nine-storey blocks constructed to host 63 one-bedroom units, 63 three-bedroomed units, 195 two-bedroomed units, and 24 studio apartments.

The investment follows a 2014 cash call from long-term institutional investors keen on cashing in on the growing urban housing need in five African countries, experiencing economic growth of five per cent and above in the past years.

The project will be funded under the investment vehicle Momentum Africa Real Estate Fund (Maref) that raised Sh25 billion for real estate projects in Mozambique, Zambia, Kenya, Nigeria and Ghana. Eris is the fund adviser for Maref.

The plan comes days after a group of Chinese investors announced ground-breaking for a 10-floor residential development in Nairobi.

READ: Chinese firm to build Sh522m homes in Nairobi

A 15-floor hotel-cum-residential development investment by Eritrean investors Hearan Enterprises is also in the works.

Nema said the public have 30 days to present views on the project. Kenya’s housing demand is growing at 150,000 units annually.