The government is set to launch the first ever Transit-Oriented Development Housing Programme in Nairobi's Mowlem estate.
The project costing Sh18 billion is under the Affordable Housing Programme which is taking shape to provide affordable houses for Kenyans.
Principal Secretary for Housing and Urban Development Charles Hinga on Wednesday said the project will be the first of its kind in Kenya.
“This great development is of great interest to us because it will be the first of what we call the Transit-Oriented Development in Kenya," he said.
The Mowlem project is in Embakasi West's Mowlem ward that neighbours Dandora railway station.
It is one of the stations built by the government in partnership with Kenya Railways for the Nairobi commuter rail service.
Speaking during the signing of the MoU of the project, Hinga said the location of the houses was strategic, and that the beneficiaries will also have access to rail transport which is of low cost and convenient.
“The location is strategic for all residents and that means the transport is sorted. One can hope in a train, go do errands or go to work using the train,” he said.
The Mowlem project will consist of 4,900 units which will be done in three phases, with the government looking forward to launching phase one at the end of the first quarter.
Phase one will include 1,200 units, 2,000 for phase two and the 1,700 units to be done in phase three.
Studio units will be 880 costing Sh1.8 million, while 660 units will be one bedroom going for Sh3 million.
Two bedroom which will have 1,680 units and will be sold for Sh3.7 million while three bedroom with 1,680 units will be sold for Sh5.4 million.
Fidel Gondi, director Seascan Development Limited who are the developers, said the design of the Mowlem project will be friendly to the buyers.
Apart from the houses, Gondi said they will set up social amenities for comfortability within the compound.
"Being a Transit-Oriented Development that allows citizens to be able to have houses and commute to CBD and other areas, we will also provide social amenities within the compound. This will allow people to live comfortably and still be able to enjoy with their families,” he said.
Contractor Jia Yangping said they are ready to commence with constructions once paperwork is done.
Hinga assured the developer of full support from the government to ensure the project becomes a success with ready market as Kenyans are going after the houses.
“As the State Department, we have given assurance to the developer that they will get the full support of the government,” he said.
“We encourage the developer that buyers will not be a problem because there are more than enough,” Hinga added.
The PS said the Affordable Housing Programme is now fully driven by the private sector, but with the government as an enabler providing incentives, mortgage and stamp duty exemption.
Nairobi county has benefited from the Affordable Housing Programme.
Pangani, being the pilot of Nairobi’s affordable housing project, its phase one is estimated to cost Sh25 billion and sits on 5.2 acres of land valued at Sh4 billion.
The original 48 tenants of Pangani will be part of the first group that will take ownership of the new units.
The first block of 18 floors is complete. The construction of other blocks is ongoing.
Hinga said the units will be distributed in a 70:30 share agreement. Seventy per cent of the units must be low-cost housing.
Thirty per cent can be costlier so investors can recoup their money and make a profit.
The cost ranges from Sh1 million to Sh3 million in the affordable bracket.
Redevelopment of the estate is being done by Technofin for a contract sum of Sh5 billion for the developer and consultant SS Malonza, a Nairobi-based law firm.
The government is on course to set up 5,280 units at Clay City in Nairobi.
Construction works on 1,900 units are underway at Jevanjee estates, formerly known as Bachelor Quarters.
Plans are also underway to transform 55 repossessed acres along Enterprise road in Industrial Area to an affordable housing project in Mukuru.
The government will also be launching the construction of 5,000 units in Kibera’s Soweto B.
According to Hinga, this is the biggest social housing project undertaken in an informal settlement.
The project is part of the planned upgrade of the slum which has been divided into four zones and is being spearheaded by the Ministry of Housing.
Zone B where 5,000 affordable housing units will be constructed.
The first phase of the project included Zone A which was completed in 2016.
It was designed as a pilot project to assess the viability of the plan and after completion the government handed over 822 houses to new owners.
(edited by Amol Awuor)