Kenyans in the Diaspora Set to Build a Sh1 Billion Housing Units in the Lakeside City of Kisumu
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Kenyans residing abroad have ambitious plans to construct housing units worth Sh1 billion in the city of Kisumu.
The project aims to support the development and economic elevation of the country at large. The real estate industry in this region is set to witness significant changes spearheaded by Wema Magharibi Limited, a business established in 2020 by expatriate Kenyans. George Mudachi, the company's chairman, explains that in addition to sending remittances for immediate consumption, they have made the decision to invest their funds back into their home country. This strategic move will not only provide them with a long-term source of income but also align with their plans of returning home for retirement.
Recent records indicate that diaspora remittances into Kenya reached an impressive $4 billion last year, making it the country's largest foreign exchange earner. Speaking on Thursday during the groundbreaking ceremony for the state-of-the-art housing units in Riat Hills, located along the Kisumu Kakamega road on the outskirts of Kisumu City, Mudachi expressed his confidence that these units will be completed and occupied within the next two years. Potential residents will be spoilt for choice amongst 50 three-bedroom units, 70 two-bedroom units, as well as eight one-bedroom units mirroring the esthetics of contemporary luxury. The development entails an assortment of luxurious facilities such as a gym, swimming pool, clubhouse, basketball and football courts, local eatery, and spa.
Mudachi reveals that 120 members of the diaspora have actively contributed to financing these units as a means of enhancing the country's economy. He notes that these members are distributed across various countries including the United States, United Kingdom, Dubai, Canada, and Australia. The chairman further conveys that Kisumu was picked for investment due to its advantageous geographical position and fully developed infrastructure. Mudachi cites the significant growth made in Kisumu's road network and social amenities, such as hospitals, schools, and other tourist attractions, as contributing factors enticing both investors and tourists.
At the groundbreaking ceremony, Kisumu Deputy Governor Mathews Owili fondly recounted how his visits to the States led to diplomatic connections with prosperous Kenyans living abroad. He convinced them to invest in their home country by highlighting Kisumu's vast potential for development and talented workforce. In a statement, Mr Owili recognized that the private sector serves as the driving force of the economy. Under the administration of Governor Anyang Nyong'o, a commitment has been made to construct 10,000 housing units by 2027. Presently, the construction of 3,000 affordable units at Makasembo estate is at an impressive 65% completion.
Laban Mburu, the Nyanza Regional Kenya Investment Authority (KIA) representative, reassures the private sector that the government is eager to leverage its capabilities. He encourages diasporas to seize the numerous opportunities, particularly in the agri-business sector. Mburu emphasizes the significance of investing in the food value chains and utilizing the aggregation parks that have been established through collaboration between county and national governments. The hospitality and real estate sectors in Kisumu are thriving investment centres, attracting many Kenyans living abroad. Kisumu Governor Prof Anyang Nyong'o, in an interview with Alex Chamwada in June, highlighted that the introduction of AirBnb in Kisumu has significantly boosted real estate investments.
Recently, the Grand Royal Swiss Hotel launched a new initiative targeting local investors and Kenyans residing abroad. The hotel is constructing contemporary and fully furnished suites for sale at the scenic Riat Hills, situated along the Kakamega-Kisumu Highway. According to Ruth Mbula, the Marketing Director for Grand Swiss Suites, the one-bedroom suites present an excellent investment opportunity. She highlights that each unit, priced at Ksh5 million, can generate a net income of Sh40,000 per month for investors.
Another real estate scam in the works.
Haven't diasporans not had enough of this scams over the years?