The International Finance Corporation (IFC) has signed a deal with Belco Reality LLP to develop 1,379 affordable housing units in Kongowea, Mombasa County.
The deal will see IFC mobilize up to $12 million in equity from international strategic partners to invest in the project and offer the firm the necessary technical support.
Additionally, Belco will also develop at least 4,500sq of retail and commercial space as part of the Kongowea Village project.
Belco Reality further says the project is projected to create close to 1,160 jobs during the three-year construction period.
Similarly, in January this year, the United Kingdom approved KSh8 billion for the Affordable Housing Program. The funding was split into tranches, with KSh1 billion coming from the UK funded InfraCo and another KSh7 billion from private investors.
In March 2019, the World Bank also approved a $250 million International Bank for Reconstruction and Development (IBRD) loan to support the affordable housing agenda.
By December last year, GoK had raised KSh536.5 million in deposits from the sale of 1,370 low-cost houses on Park Road in Nairobi. They feature one, two, and three-bedroom units. The project, whose construction started in April 2019, is the first to be completed by the national government under the Big Four’s 500,000-unit Affordable Housing Programme.