Kisumu County government has inked Sh 3billion deal with Lapfund for construction of housing units on 100-year-old Makasembo estate. The project which is part of President Uhuru Kenyatta’s Big Four agenda, is meant to support the county government of Kisumu in the realisation of affordable housing units for locals. It targets low-income earners.
Governor Anyang’ Nyong’o and Lapfund CEO David Koros signed the deal which has already seen machines mobilised at the site. The county has provided land and will develop infrastructure, including roads, sewers, electricity and water systems, according to the MoU.
Lapfund will provide construction funds. Clearing of the site is nearing completion, with the construction works expected to start in May. The parliamentary Special Funds Account committee chaired by Kathuri Murungi toured the site on Friday and expressed satisfaction with the progress. Members included MPs Justus Mugali (Shinyalu), Erastus Kivasu (Mbooni), Mabonga Mwambu (Bumula), Marwa Maisori (Kuria East) and Geoffrey Omuse.
Lapfund Retirement Benefits Scheme
Koros and acting Kisumu city manager Abala Wanga were also present. The committee was on a fact-finding mission on the Lapfund-owned estate.
“There was an issue with the auditor general because the National Housing Corporation was getting rent from Makasembo estate and this money was not being transferred to Lapfund, which owns the site,” said Mr.Wanga.
Affected residents were given Sh96,000 each (Sh12 million in total) by Lapfund Retirement Benefits Scheme to relocate to make room for the project. Some 128 households moved out by February 28 following successful engagement with Lapfund management.
Koros said the estate will be upgraded to about 2,000 one-, two- and three-bedroom units. It will take 24 months to complete. A one-bedroom unit will cost about Sh1.5 million, with two- and three-bedroom units going for Sh2.5 million and Sh3.5 million respectively.
