HF Group last week launched its first housing project in Nairobi since it re-branded about two months ago. Komarock Heights, to be developed by the HF Group’s construction arm, HF Development and Investment Limited (HFDI) - formerly Kenya Building Society - will comprise 1,272 two-bedroom and three-bedroom apartment units sitting on 23.5 acres in Komarock 5C.
It will be developed in three phases and construction of the apartments will take 24 months per phase. The high-profile ground-breaking was presided over by President Uhuru Kenyatta.
While operating as Kenya Building Society, HFDI constructed Komarock and Buru Buru estates as mass housing projects. It was vibrant in the industry in the 80s and 90s before taking a 16-year hiatus.
According to group Chairman Steve Mainda, HFDI plans to capitalise on the housing supply deficit by engaging in the construction of residential housing targeting middle and lower-income groups and to position the group as a major supplier of affordable housing in the country.
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“The low and middle-income classes make up a high proportion of the Kenyan population and the trend is expected to continue,” he said during the ground-breaking, adding: “Increase in population, especially in the urban and peri-urban areas, is pushing up the demand for housing units and hence more pressure is currently on the supply of affordable housing units for this group.”
HFDI’s entry into the market was marked by the construction of K-Mall in Komarock. The mall sits metres away from the new residential project and is expected to be completed by September next year. HFDI plans to roll out housing projects in the counties through joint ventures.
“We want to spread our wings to the rest of the country. We will be revealing other projects in due course and most of them will be joint ventures with several investors,” said Ireri.
HF Group was until last month Housing Finance, a company that was well known for providing mortgages to individuals and giving construction loans. During the relaunch, Managing Director Frank Ireri explained that a fresh identity was needed to reflect the company’s dynamism as it embarks on its Vision 2020.
“The group has expanded its range of services in recent years and we wanted to consolidate all those services under a new group identity. The re-branding will give us the stimulus to register further growth,” he said.