IHS Kenya reshapes affordable green housing in Nairobi, Limuru

By Evans Ongwae

If you offered residents of Nairobi a home located just 30 kilometres from the central business district, most would grab it. If you informed them that the house is in a prime location, they’d thank you profusely. If you informed them that the house is affordable at less than Ksh8 million, they’d quickly consider to buy it.

Now, if you informed them they’d make huge savings on utilities such as energy and water for a lifetime, they would probably want to immediately see the house and confirm all this for themselves.

This is no fantasy. Such a development exists.

Limuru, located to the south-west of Nairobi, falls with the 30-kilometre distance from the capital city’s CBD. This is where Muzi Salama, an EDGE-certified green development by International Housing (IHS) Kenya, is located, within the Tilisi master-planned community.

EDGE stands for “Excellence in Design for Greater Efficiencies”. It is a green standard building and an international green building certification system created by the International Financial Corporation (IFC), and aimed at making buildings more resource-efficient.

Muzi Salama

Affordable housing units in the Nairobi metropolitan area are in short supply. Muzi Salama caters to the affordable housing market. The development comprises two- and three-bedroom houses.

The Sales and Leasing Project Manager, International Housing Solutions - Property Management Real Estate, Ms Beryne Ogema explains why Muzi Salama has been well received by the market.

She says other than the location – a short distance from Nairobi CBD and within the Tilisi community with well-developed infrastructure and social facilities– this real estate development is an attractive investment option for several reasons.

Key among these is the affordable price. The two-bedroom houses sell at Ksh5.75 million, while the three-bedroom ones go for Ksh7.7 million.

Ms Ogema points out that the power and water savings also put money in the pockets of the investors or tenants.

She estimates that, in a year, the reduced utility bills will save a month’s worth of rent in a year, a massive saving.

She says investors – both local and those in the diaspora – can choose to buy and rent out, buy then wait for the units to appreciate in value and sell, or buy to live there.

“Decide what you want the house for,” says Ms Ogema, pointing out that whatever your reason for investing, you still stand to benefit.

For example, the houses are expected to appreciate every year by between eight and 10 per cent of the buying price.

“Even rent increases annually,” Ms Ogema points out, saying investors who buy the houses for rental purposes will gain.

Muzi Stawi

IHS Kenya also has a rental estate at Garden City on Thika Road, Nairobi. Muzi Stawi is a green estate with modern amenities located a short distance from the Nairobi CBD, offering convenience for tenants who commute to nearby places of work. It is designed and built to EDGE standards.

The development comprises one-bedroom and two-bedroom houses. Monthly rent for the former is Ksh38,000 and the latter, Ksh55,000, inclusive of service charge.

Amenities include a swimming pool and a clubhouse. Residents have access to the Garden City Mall. The estate is near major social developments such as churches, schools and malls. It’s a ten to fifteen-minute drive from the CBD.

Muzi Stawi is nearing full occupancy.

Ms Ogema says the company is happy with the uptake and plans to develop more estates on Thika Road near USIU, at Karen End, in Kikuyu, and Eldoret, among many others.

IHS Kenya manages its two estates through its property management subsidiary, IHS Property Management.

These management services are available for investors who purchase to rent, guaranteeing hassle-free tenant sourcing, screening, onboarding, rent collection, maximum occupancy rates and financial reporting.

IHS Kenya finances the development of energy-efficient, affordable housing communities. Learn more about its projects at www.ihskenya.co.ke