Hazina Trade Centre opened for the general public towards the end of 2021, five years after the anticipated completion date. The National Social Security Fund (NSSF) is the principal owner of the 18-story Tower.
The first advertisements for the extended block spaces for occupancy were published by NSSF in local publications immediately after the facility was opened to the public. The center also includes three pre-existing floors that make up a shopping arcade with Naivas as the anchor tenant, while the remaining 15 floors are entirely offices.
The extension of Hazina Towers had been under construction since 2013, although it took more time to complete than the initial date set in 2016 due to a number of difficulties, including budgetary constraints and legal suits.
On costs associated with the construction work’s delay, NSSF disagreed with project contractor China Jiangxi. The Public Investments Committee (PIC) has also probed the project because of possible misappropriation of public funds.
Initially envisioned to be a high-rise 36-storey building, the Hazina Towers block that is currently standing is just about half of the dream.
Reported on Feb 2014
Construction of Kenya’s tallest skyscraper kicks off
Construction of Kenya’s tallest skyscraper, 40-storey Hazina Trade Centre in Nairobi has started. The tower will be constructed atop the existing 8-storey Hazina Trade Centre located on Moktar Daddah Street and currently hosting one of Kenya’s main chain stores, Nakumatt Lifestyle.
China Jiangxi International has been contracted to construct the building and is already on the site. On completion, the building will be the tallest in Kenya. The construction of the tower was stopped last year after Governor Dr. Evans Kidero said the county had not approved the construction and instead asked them to get an updated Environmental Impact Assessment report from National Environment Management Authority (Nema).
Dr. Kidero revealed that the last report had been obtained in 2006 and there was a need for an assessment to be redone. The Towers will feature an architectural design inspired by the outline of a Maasai Moran standing on one leg and leaning on a spear. The building will incorporate sustainable architectural features including; fritted glazing, vegetated roof terraces, a ventilated atrium, a helipad, and a Nairobi City skyline viewing gallery.
The Hazina Trade Centre project commenced in 1994 with construction works kicking off in 1997. However, due to financial constraints, NSSF was unable to complete the construction and leased it out as a shopping mall in 2003 to Nakumatt Holdings. The building is expected to get up to KES 100 million (1.1 million) in rental income from various tenants.
The construction of Nairobi’s tallest tower now awaits the court’s approval
Construction of Hazina Trade Centre into what is to be Nairobi’s tallest tower has been stalled, pending a court ruling to be made in seven days. The project was being undertaken by the National Social Security Fund (NSSF) at a cost of US$ 75m.
The construction project had been challenged by Nakumatt Holdings, whose Nakumatt Lifestyle branch is housed in the current building. NSSF owns the Hazina Trade Centre. This is after the supermarket obtained temporary orders halting construction works, claiming US$ 18m as compensation for business losses.
This is after construction works on the to-be Nairobi’s tallest tower or building commenced in December last year. They also wanted the court to suspend construction works until 2023 when the lease term of the building will expire.
In their defense, NSSF indicated that they had not been forewarned of the suit filed against them by the complainant. This is because the earlier signed agreement between the two had parties allowed to construct extra floors on the current building with no liability to pay any compensation for any form of loss incurred due to loss of profit due to construction works.
Justice Lucy Gacheru has extended the order stopping construction of the tower by seven days, to allow Nakumatt to respond to NSSF’s application where they want the injunction filed against them lifted. The Hazina Tower Centre is expected to be the tallest building in East Africa and the third tallest in Africa once complete, with 39 stores.
NSTF’s 35-storey tower set for Nairobi City center
The National Social Security Fund (NSSF) has officially kicked off construction works to complete the 35-storey Hazina Trade Centre in Nairobi. The construction works are to be completed at a contracted cost of 6.7 billion shillings and will involve the building of a 31-storey office tower at the existing Hazina Trade Centre location.
The proposed Towers will feature an architectural design inspired by the outline of a Maasai Moran standing with a crossed leg and leaning on his spear.
The 31-storey office tower will be, constructed atop the existing Hazina Trade Centre building along Monrovia and Mokhtar Daddah Streets. Other features include vegetated roof terraces, a ventilated atrium, a Helipad, and a Nairobi City skyline-viewing gallery.
Concerns raised over stalled construction of US $67m Hazina towers in Nairobi
Concerns have been raised over the stalled construction of the 39-storey Hazina Trade Centre in Nairobi. The US$ 67m building is a National Social Security Fund (NSSF) project.
Reason for the stalled construction
The reason given for the standstill is that the columns in the building that houses Nakumatt Lifestyle supermarket needed to be reinforced for the other floors to be added. However, Nakumatt Holdings Ltd, the tenant, moved to court, arguing that it was bound to suffer losses due to disruption of its business if the contractor was granted access to its space.
Auditor-General Edward Ouko has raised concerns saying that its stall may result in an escalation of costs and contractual claims.
“NSSF has been unable to proceed with the construction of the building after a dispute with its tenant. The tenant has denied the contractor access to the basement floors, contrary to the provisions of the lease agreement signed in 2003; this is according to Mr. Ouko in his audit report tabled in the National Assembly recently.
“In view of the foregoing, NSSF should take legal action against the tenant. This will therefore ensure completion of the building to safeguard members’ contributions,” Mr Ouko recommended.
Construction of the mega building was to take three years for it to be complete. But since its commencement in June 2013 to June 30, 2016, the building is not yet complete.
Additionally, a whooping US$ 20m had already been paid to the contractor by the time the work was halted.
Delay of another project
Further to this, Mr. Ouko also argues that NSSF, a government agency, risks losing approximately US$ 2m in the delayed completion of the Nyayo housing scheme in Nairobi’s Embakasi estate.
The same contractor, M/s China Jiangxi International Kenya Ltd. was awarded both projects. The construction of the housing scheme which started in 2013 was to take one-and-a-half years but by June 2016 it was still pending.
With the contract period having been scheduled to expire on November 30, 2014, Mr. Ouko notes in his report that by June 2016; only 52 out of 324 units had been constructed.
Hazina Trade Towers in Nairobi to reach 15 floors instead of 39
Hazina Trade Towers in Nairobi, Kenya will only reach a maximum of 15 floors instead of the planned 39. This is majorly due to structural weaknesses that cannot support the initial planned 180 meters.
The National Social Security Fund says it will complete the building at its current height which of 15 floors. Construction was stopped in October 2016 over safety concerns, when the beams were found not to be strong enough to support a building of such a height.
Anthony Munyiri, an NSSF trustee, confirmed the reports and said that at the moment, NSSF is seeking approvals from the County Government of Nairobi to complete the building.
“We have decided to stop at the 15th floor and are currently waiting for approvals from the County Government of Nairobi so that we can complete it as it is,” he said.
An audit inspection carried out on January 14, 2016, by Mr. Ouko revealed that the work had stalled after reaching the 15th floor or at 38%. His report further revealed that NSSF has been unable to proceed with the construction of the building after a dispute with its anchor tenant- Nakumatt Lifestyle.
The tenant has denied the contractor access to the basement floors, contrary to the provisions of the lease agreement signed in 2003; this is according to Mr. Ouko in his audit report tabled in the National Assembly recently.
Hazina Trade Towers
Hazina Trade Towers was meant to feature in the league of Africa’s tallest buildings. Construction of the mega building was to take three years for it to be complete. But since its commencement in June 2013, the building is still not yet complete.
NSSF fined US $70m by Chinese firm on stalled building
The National Social Security Fund (NSSF) has been fined a whopping US $70m by a Chinese firm- China Jiangxi, the contractor for the stalled 39-storey building in Nairobi that housed Nakumatt Lifestyle.
The Chinese firm was contracted by NSSF to finish building the tower, which by then had eight floors, including the four that accommodated the supermarket, between June 2013 and July 2016, but work however stopped on the 15th floor.
Anthony Omerikwa, the NSSF Managing trustee confirmed the reports and said that the current claim under evaluation at this moment is US$ 20m; however, he said that the Public Works Ministry will soon provide the rightful share owed to China Jiangxi.
“The current claim under evaluation at this moment is US $20m which would accumulate at the rate of US $200,000 per week should the project stall again,” he said.
Nakumatt had initially blocked NSSF contractors from reinforcing columns inside the store for additional floors. Auditor-General Edward Ouko last year recommended legal action be taken against Nakumatt to end the blockade.
Unfortunately, the retail chain was evicted from the building in December for failure to pay rent, paving the way for the resumption of construction.
About China Jiangxi
China Jiangxi Corporation for International Economic and Technical Cooperation (CJIC or called Jiangxi International) is a Chinese construction and engineering company operating in many countries of Anglophone Africa.
The firm won top-grade contracting qualifications in building projects, water conservancy, and hydroelectric projects; road and bridge projects in Botswana, Zimbabwe, Kenya, Ghana, and Zambia.
Reported on Jul 2021
Hazina Trading Centre along Moktar Daddah Street in Nairobi, Kenya
Hazina Towers, also known as Hazina Trading Centre, is a commercial building under construction along Moktar Daddah and Monrovia streets in the central business district of Nairobi the capital and largest city in Kenya.
Poised to become East and Central Africa’s highest tower in terms of floor space, the construction of the 39-floor Hazina Towers began back in 1997. The design of the building, which would also feature a helipad and viewing gallery for Kenya’s high and mighty to catch a glimpse of the city under the sun, was inspired by the outline of a Maasai Moran standing with a crossed leg and leaning on his spear – a great architecture that would further beautify the Nairobi skyline.
However, construction stalled at 8 stories due to financial difficulties faced by the project developer, National Social Security Fund (NSSF). In 2003 NSSF leased the eight-storey structure to Nakumatt Holdings limited.
Construction resumed in June 2013 and was to take 155 weeks to complete, but in October 2016 NSSF suspended the works, which had reached the fifteenth floor, following a report by the Ministry of Public Works that it would be unsafe to go beyond 25 floors. The report indicated that this was because the existing structure beams did not have the capacity to support a building of that magnitude.
After considering other options, including reinforcement of the beams, NSSF decided to put an end to the project on the 15th floor. Currently, the retail section of the tower is ready for immediate use while the office wing is still under construction.
Hazina Towers feature a retail section with a supermarket, panoramic lifts, escalator access, and food court; four-level KAPS basement parking; rooftop gym and restaurant; stand-by generator provision for all sections, eight high-speed lifts to office section including a goods lift and VIP lift.
Moreover, it features CCTV surveillance to common areas, firefighting equipment including alarms and sprinkler systems to all areas; and frontage to both Monrovia and Moktar Daddah Streets which are Tarmacked to adoptive standards.
Developer: National Social Security Fund
Architect: Mruttu Salmann & Associates
Structural Engineers: Kisa & Partners/Metroeng
Quantity surveyors: Rana & Associates
Main Contractor: China Jiangsu International Construction