A developer of green affordable housing across Africa, International Housing Solutions (IHS) Kenya, and KCB Bank Kenya, have entered into a strategic partnership to accelerate the development of green affordable homes in Kenya.
According to IHS Kenya managing director Kioi Wambaa, the partnership with KCB will enable IHS to accelerate the development and offtake of its projects thereby ensuring that more units are brought into market at a faster pace.
It will also amongst other banking products, provide debt financing to IHS to support the construction of high-quality affordable housing units and end-user financing for homebuyers to purchase the units.
“Through our investment in climate-friendly affordable housing, we aim to create jobs, grow skills and stimulate economic development. With KCB’s financial backing, we can accelerate our projects and bring more units to market, meeting the growing demand for sustainable housing,” Mr. Wambaa said during the signing ceremony at IHS’s Tilisi Development PLC project site in Limuru, Kiambu County.
IHS Kenya, through its IHS Fund, is poised to deliver at least 3,000 units valued at approximately Sh10 billion in the next 5 years.
With Kenya facing a significant low-income housing deficit, this partnership aims to bridge this gap by ensuring a steady supply of ready-built, high-quality homes at Tilisi Development PLC, a master-planned, mixed-use community. The units will be available to KCB Bank Kenya’s mortgage customer base, making it easier for first-time buyers and existing homeowners to achieve their dream of homeownership.
KCB Bank Kenya has continued to explore multiple approaches to support the housing sector in Kenya, enabling both the supply and demand side. In addition to financing, KCB is one of the participating primary mortgage lenders (PMLs) in the government backed Kenya Mortgage Refinancing Company (KMRC) that aims to support the Affordable Housing Pillar.
“We believe that homeownership is a key pillar of economic and social progress. This partnership with IHS Kenya reinforces our commitment to providing innovative and accessible financing solutions that empower more Kenyans to own homes. By combining our financial strength with IHS’s development expertise, we are unlocking new opportunities for individuals and families to achieve their dream of homeownership,” KCB Director Mortgage Business Caroline Wanjeri said.
Kenya’s Affordable Housing Programme represents a significant effort to address the nation’s housing needs. The success of the programme hinges on a strong partnership ecosystem between financial institutions and developers to provide over 250,000 decent and affordable housing units, particularly for low-income earners. This is in line with Article 43 of the Constitution, which guarantees every person the right to accessible and adequate housing.
