President Uhuru Kenyatta has given Sh21 billion to jump-start his ambitious affordable housing dream.
Among the first projects is the construction of 1,640 homes along Park Road in Nairobi, where the housing shortage is most severe.
Nairobi Governor Mike Sonko confirmed the project will start next month and is expected to put up between 10,000 and 12,000 units.
It covers old and new Ngara, Pangani, Jeevanjee-Bachelors, Ngong Road Inspectorate staff quarters, Uhuru and Suna Road.
Ururu hopes to leave a legacy built on enabling low- and middle-income households acquire homes, besides universal access to healthcare, jobs and food security. The President yesterday signed the Supplementary
Appropriation Bill No. 2 of 2018 that listed revised spending plans, and whose other highlights were deep cuts for allocations for infrastructure and information technology (ICT).
Uhuru’s approval means the housing funds, which are part of the Sh47 billion he gave consent to spend, can be accessed immediately.
All eyes will now focus on the Department of Housing, which should build the cheap homes, albeit in a highly discriminatory programme that locks out the biggest contributors. It is assumed that anyone earning a monthly salary exceeding Sh100,000 can afford a house at market prices, while their contributions equaling three per cent of their pay will be refunded after 15 years.
Housing Principal Secretary Charles Hinga gave the revenue projections at a round-table meeting with the private sector in a presentation that also indicated the starting prices for a studio apartment at Sh600,000. The price of three-bedroom apartments has been capped at Sh3 million.