Economy

Ngara low-cost houses works start next week

NGARA

Ngara estate in Nairobi. FILE PHOTO | NMG

Works on 1,500 low-cost homes on Nairobi’s Park Road estate in Ngara is set to start next week following the award of a multi-billion shilling contract to a Chinese firm.

Transport and Infrastructure principal secretary Charles Hinga said the government has stuck a deal with China State Construction Engineering, setting the stage for the works.

The firm is among a list of Chinese firms that expressed interest to build the one-, two- and three-bedroom houses on a 7.9-acre parcel of land.

Others were Sinohydro Limited and China Road and Bridge Corporation that have recently bagged mega infrastructure projects like the standard gauge railway lines.

“The tender for construction of low-cost houses in Ngara has been won by China State Construction Engineering. We will be breaking ground tomorrow (Thursday) and they will be expected to deliver the first 100 units in the next one month,” said the PS.

The project, which will run for two years through a design, build and finance model comprises 105 one-bedroom units, 540 two-bedroom types and 855-three bedroom houses.

The estate borders Park Road Primary School and Muslim Academy. On completing the first 400 units, the developer will be paid 20 per cent of the contact value, 40 per cent upon project completion and 40 per cent after the defect liability period.

Home owners will then be expected to pay between Sh600,000 and Sh3 million to occupy the low-cost homes.

The 70 per cent drop will be supported by free public land to private property developers and building of access roads, electricity and water connection to housing schemes.