US $ 2.9 billion housing scheme in Kenya that intended to build an extra 14,000 housing units in Nairobi has hit a snag.
Also read:Kenya’s capital Nairobi moves to curb housing deficit
City Hall confirmed a glitch in documentation at the National Land Commission offices and compensation issues had held up the progression.
“For the development to start there needs to be fiscal closure, which cannot come about unless documentation on compensation has been concluded,” said Urban Housing Renewal Executive Tom Odongo.
He said compensation claims, which last year amounted to US$ 77 million, was a chief subject since the residents wanted to be paid to search for alternative accommodation with conditions akin to those of the units they presently reside in.
Mr. Odongo, nonetheless, revealed that not all tenants would have to move for the renewal to take place in regions such as Pangani. He said where relocation was a necessity; the county would pay tenants the equivalent of their rent for a year.
“This will, nonetheless, be less the sum they are paying us monthly and after the project is done, they will be given first precedence for the houses. They can, however, decide to come back as tenants or buy the houses,” added Odongo.
The first phase of the project in which 14,000 units are to be built for a huge Sh70 million, was to start in January last year but the date was changed to July. It was further moved forward due to holdups in documentation.
The houses will be in Old and New Ngara, Pangani, Jeevanjee-Bachelors, Ngong Road Inspectorate staff quarters, Uhuru and Suna Road. The project is likely to take 24 months. According to information relayed by City Hall, Ngong Road estate will be changed into 360 three-bedroom units, 1,440 two-bedroom and 720 one-bedroom units.
In addition, the 24-storey Old Ngara (Fort Jesus) estate will be altered into 120 three-bedroom units, 480 two-bedroom flats and 240 one-bedroom apartments. Older estates such as Bahati, Mbotela, Ziwani, Makongeni, Kaloleni, Jericho and Shauri Moyo will be pulled down and redeveloped to make room for more people.
Evans Kidero had last year said only 535 houses in the estates were targeted in the initial phase. Urban Planning and Renewal chief officer Rose Muema said the setting up of aneconomical housing scheme would help tackle the problem of budding slums and insecurity. “These houses are very old and were built horizontally, occupying a lot of space,” he said.
