NHC to Build 5,000 Low-Cost Homes at Konza City

The National Housing Corporation (NHC) is set to build 5,000 homes at Konza City in Machakos County following the signing of a land lease agreement with the Konza Technopolis Development Authority.

Construction of the affordable housing units is expected to begin in November – marking a major milestone for the technology city that is slowly coming up in Machakos County.

NHC has recently signed deals with several counties, including Laikipia, Murang’a, Kiambu, and now Machakos, for the development of affordable houses within their respective areas.

In Kiambu, for example, the State corporation has signed a deal that will see the construction of 2,000 low-cost homes in various parts of the county.

The first batch of the project will deliver 500 units in Ruiru by the end of the year, with the remaining 1,500 units expected to come up in Kiambu town, Thika, Migaa and other areas.

The NHC relies on new technologies, mainly EPS technology, to cut construction costs.

“The use of EPS panels in construction can save up to 30% on total building costs while reducing construction period by up to 50%,” the State company said in a statement.

Phase one of the Konza Technopolis Urban Residential Housing involves the construction of 100 units within the proposed technology city. The project will cost Sh400 million.

RELATED: Doubts Mount Over Future of Konza City as Project Stalls

The project comes at a time when a growing number of local and international investors are increasingly showing an interest in the development of affordable housing in the country.

These include UK Climate Investments (UKCI) and FSD Africa Investments (FSDAi) who confirmed a Sh5 billion funding commitment to a local green affordable scheme last month.

The partners said the venture had received 100% of its targeted Sh9 billion investor backing for the first close, enabling the locally managed fund to become operational this year.

The initiative targets the delivery of 10,000 housing units using green building technologies.

The units will provide affordable ownership and rental opportunities with 100% ownership at an average price of Sh4.5 million and rentals ranging from Sh15,000 to Sh50,000 a month.

Join 15,000+ pros getting our weekly digest of news and insights.