Hustlers want President Ruto's affordable housing rent lowered

Affordable housing

Nairobi City residents during the National Assembly Departmental Committee on Housing, Urban Planning and Public Works hearing on the Affordable Housing Bill, 2023 at Kenyatta International Convention Centre on January 24, 2024.

Photo credit: Dennis Onsongo | Nation Media Group

What you need to know:

  • A one-bedroom house of 20 square metres will cost Sh960,000 with occupiers paying Sh5, 200 per month.
  • A three-bedroom unit of 60 square metres will cost Sh2.88 million, with occupiers paying Sh15, 600 monthly for 30 years after depositing 10 per cent of the house value

Reduction on the rent payable, building of social amenities and reservation of 10 per cent of the affordable houses ranked top among concerns that stakeholders from the informal sectors raised over President William Ruto’s housing project.

Majority of the stakeholders who attended the public participation exercise on the Affordable Housing Bill 2023 in Nairobi on Tuesday said while they support the programme, the Bill should be amended to include their desires.

Ms Fatuma Mumbi Shahenza from Majengo told the parliamentary committee that the rent payable for a three-bedroom unit of 60 square metres should be reduced from the proposed Sh15,600 to Sh3, 000, which a majority in the informal sector can afford.

“It does not make sense to move from a house where I’m currently paying Sh500 to go and pay Sh15,000. At least Sh3,000 I can work hard to get,” she said.

According to plans by the Housing department, a three-bedroom unit of 60 square metres will cost Sh2.88 million, with occupiers paying Sh15,600 monthly for 30 years after depositing 10 per cent of the house value.

A beneficiary of a two-bedroom house of 40 square metres will deposit Sh192,000 upfront and pay Sh10,400 monthly for 30 years to pay the Sh1.92 million total cost of the house.

A one-bedroom house of 20 square metres will cost Sh960,000 with occupiers paying Sh5,200 per month.

Ms Shahenza also asked the government to come clean on any hidden charges, saying under the slum upgrading programme in 2006, those who were moved to new houses were later slapped with huge bills as part of the loan.

The Matatu Stage Welfare Association said they have been left behind in many government projects and demanded to be given priority in the affordable houses program.

The association, which said it has a membership of 300,000 drivers and conductors, supported the Jua Kali Contractors Association’s call to ensure that at least 10 per cent of the houses are reserved for those in the sector.

The stakeholders also asked the government to ensure that all the areas where the affordable houses will be built have social amenities such as hospitals, schools and an administrative unit.

Those in the micro, small and medium enterprises sector called on the government to put systems in place that will ensure the sustainability of the project.

“We need a sustainable ecosystem post-implementation of this project. Welders, artisans and masons that we need to get contracts locally and even internationally,” said Mr Karanja, who presented a memorandum on behalf of the sector.