More Suraya houses, land up for auction

Loneview Apartments done by Suraya properties along Mombasa Road in this photo taken on June 14, 2019. 

Photo credit: File | Nation Media Group

Real estate developer Suraya Properties is set for deeper woes after an auctioneer put up for sale scores of apartments and land amid mounting pressure from banks and investors.

In a newspaper advert, Dalali Traders auctioneers are seeking buyers for 62 apartments for a property known as Lonehill Estate located in Nairobi’s Makadara estate, two five-bedroom properties called Mandara Villa 12 Rosslyn Heights and undeveloped parcel of land measuring 0.84 acres in Imara Daima. The auction is set for January 28.

The Lonehill Estate apartments consist of 21 two-bedrooms, 10 one-bedrooms, 18 studios and 13 bedsitters. The apartments are situated off Mbagathi Road, opposite Akila II Flats in Madaraka Estate, approximately four kilometres from the City Centre.

Each bedsitter is being auctioned for Sh1.3 million, a studio for Sh1.7 million, one bedroom for Sh4 million and two bedroomed apartment for Sh5 million, bringing the total from the 62 apartments to Sh192.5 million.

One of the Mandara Villa properties comprise a five-bedroom, all ensuite double storey house with a detached servant’s quarter while another in the same location has a swimming pool and entertainment areas. Each villa is being auctioned for Sh53 million.

It was not immediately clear how much the auctioneers are seeking from the vacant land that is situated off Mombasa Road in Imara Daima Estate.

The auction is the latest setback for individuals who entrusted Suraya with their money. Banks, including Equity, Absa Bank Kenya and Access bank Kenya have been pouncing on Suraya’s properties to recover unpaid loans.

“All the interested purchasers are requested to view the property and verify the details for themselves as these are not warranted by neither the auctioneer nor the charge,” read the auctioneer’s notice in part.

Prospective buyers are required to pay a deposit of 10 percent of the sale price during the day of the auction and pay the balance within 90 days if they are successful.

They will also be required to deposit Sh500,000 to obtain a bidding number. This will be refunded if they are unsuccessful in their bid.

Many home buyers who paid a deposit to Suraya to build a house for them have endured years of waiting even as the property developer failed to deliver on its promise. Suraya defaulted on loan payment on the properties it constructed, forcing banks to start auctioning the houses.

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