Kenyans invest Sh80m in State’s housing plan

Construction workers at the housing project in
Construction workers at the housing project in Ngara. FILE PHOTO | NMG 

Kenyans have contributed at least Sh80 million into the government’s affordable housing programme even as it emerged that by Tuesday only 60 people were eligible for allocation of the houses.

Principal Secretary (PS) for Housing and Urban Development, Charles Hinga said Tuesday that the first batch of houses in Ngara, Nairobi, were complete and that at least 60 Kenyans had paid up the 12.5 percent of the total worth of the units they are hoping to purchase.

For contributors to be eligible for allocation of the houses, they must have contributed at least 12.5 percent of the unit value by the time of handover. They will then have to wait for the ballot-based system of allocation to know if they would get a unit.

The government had promised that the first cohort of the first batch of 228 houses comprising one, two and three bedroom houses, in Ngara would be available for allocation from October.

A Chinese contractor is building the 1,370 unit Ngara project for Sh5 billion.


“The houses are complete, I have a completion certificate but the mechanism of transferring them is being finalised to pave way for the sale, because we are holding all these houses on one title,” said Mr Hinga.

“We’re currently trying to fine tune and operationalise the process of how to hive out 228 sectional titles for apartment owners,” he added during an interview, noting that “Kenyans have been contributing as little as Sh300 per month.”

According to the PS, the balance of 87.5 percent of the value of the house for those taking mortgages is to be financed by a financier that would charge a fee against the title of the house.

“So we cannot give them keys and not give them a title,” said Mr Hinga.

Kenyans can own the affordable houses through three ways including cash, mortgage, and tenant purchase.

For one to qualify for allocation they will be required to have registered with the bomayangu housing fund.

According to the PS, over 14,800 Kenyans are making contributions. There are about 270,000 Kenyans registered on the boma yangu portal that is hosting the registration and purchasing process.

PS Hinga was speaking at the French Embassy Tuesday evening during a seminar bringing together Kenyan and French companies and other organisations to establish partnerships in mobility and transport, housing, water and sanitation, energy and waste management sectors.