NHC to construct 110,000 affordable houses, says Lands CS

National Housing Corporation (NHC) will build 110,000 units out of the 1 million affordable houses expected to be constructed within five years by Kenya Kwanza government.

Lands, Public Works, Housing and Urban Development Cabinet Secretary Alice Wahome said NHC will construct 100,000 units under the Affordable Housing Programme, 5,000 units under the commercial band, and a further 5,000 as student hostel rooms.

“The government plans to construct one million housing units by the end of the financial year 2027-2028. Of this, the Corporation will construct 110,000 housing units: 100,000 units under the Affordable Housing Programme, 5,000 units under the commercial band, and a further 5,000 as student hostel rooms,” said Wahome.

The CS was speaking on Monday in Nairobi during an event that saw NHC rebrand by unveiling a new logo and launch a new five-year Strategic Plan 2023-2027 as it celebrated 70 years since establishment in 1953.

The Strategic Plan covers five pillars among them Housing, Financial, Estate Management, Research & Innovation and Corporate Sustainability.

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The corporation has been constructing houses and selling them to Kenyans affordably through various means including Tenant Purchase Scheme (TPS).

The CS lauded the corporation for its efforts in housing Kenyans for the last 70 years.

“For 70 years, the National Housing Corporation has played a pivotal role in shaping the landscape of housing in Kenya. From providing housing solutions to fostering sustainable urban development, the Corporation has been a beacon of hope for countless Kenyans aspiring to own decent homes,” said Wahome.

“Through this rebranding initiative, the corporation seeks to modernise its operations, enhance its service delivery, and build stronger partnerships with stakeholders across the public and private sectors,” she added.

Under the research and innovation pillar, the corporation is embracing new building technologies that are more environmentally friendly and cost-effective.

Currently, NHC has embraced Expanded Polystyrene (EPS), which it uses to construct houses apart from conventional brick and mortar.

“As we embrace the digital age, it is imperative that we stay at the forefront of technological advancements. Our plan outlines specific initiatives and investments in a housing resource centre, which will be the hub of information on housing matters for scholars and researchers. This will not only keep us competitive but also pave the way for pioneering solutions,” the CS said.

Chief of Staff and Head of Public Service Felix Koskei said the government is committed to expanding the capacity of the NHC to meet the growing demand for affordable housing.

According to statistics, the current housing demand is 200,000 per year against the 50,000 being constructed.

“To achieve this, we are encouraging public-private partnerships to leverage additional resources and expertise. We are also reviewing and updating policies to create a more conducive environment for housing development. Our aim is to ensure that every citizen has access to safe, affordable, and decent housing,” he said.

The NHC Managing Director and CEO, David Mathu said that they are committed to help the government achieve 250,000 housing units per year under the Bottom-up Economic Transformation Agenda(BETA).

“We are actively involved in affordable housing projects in four counties of Nyandarua, Embu, Kirinyaga and Homa Bay. The Corporation has also broken ground in Meru, Nakuru, Kericho, Kakamega, Uasin Gishu, Mombasa, Kisumu, Machakos and Taita counties,” he said.

Mathu revealed that the corporation is moving to recover grabbed land, which has impeded the delivery of the housing agenda.

“Under the Estate Management key result area, the Corporation will in the next five years, secure and conserve all its land against grabbers, offer suitable and conducive housing units, redevelop the old schemes built in the 70s and 80s and settle squatters where necessary,” he said.

“Moreover, sustainability is not just an aspiration, it is a responsibility we owe to the environment and future generations. The plan includes initiatives that prioritise environmentally friendly construction practices, energy efficiency, and the incorporation of green spaces into our urban developments,” he added.

NHC Board Chairman Yusuf Chanzu said under the Financial Pillar, the Corporation will establish a sustainable financing model, collaborate with individuals and institutions, and set up a financial institution to deliver low-cost housing to Kenyans.

“This will entail mobilising financial resources to the tune of Sh353.9 billion from both internal and external sources and growing the annual operating profits by 540 per cent by 2028. Our EPS Factory has also been a focal point under the Resource Mobilisation and Financial Management Pillar, aiming to ensure the panels' plant contributes to the Corporation’s resources,” said Chanzu.