Nyong’o pleads with Uhuru to intervene over row with National Housing Corporation

Kisumu Governor Prof Anyang' Nyong'o address the press in Kisumu last week. He has appealed to President Uhuru Kenyatta to immediately intervene so as to help unlock impasse between the County Government of Kisumu and the National Housing Corporation over the issue of affordable housing project that is to be undertaking in Kisumu City-File Photo

 

By Dickson Odhiambo

October 31, 2020

Nyong’o pleads with Uhuru to intervene over row with National Housing Corporation

KISUMU Governor Prof Anyang’ Nyong’o has sent a passionate appeal to President Uhuru Kenyatta to immediately intervene and solve an impasse between the County  Government of Kisumu an National Housing Corporation over the issue of building affordable Housing in Kisumu City.

 Nyong’o says over the last two years, the County Government of Kisumu has been struggling to implement Affordable Housing in Kisumu by undertaking an urban renewal program.

 In a Press statement to News rooms today, Governor Nyong’o said this has meant building new affordable houses for the people where old dilapidated houses currently exist.

 

Nyong’o says while trying to do this, they County Government of Kisumu has come across tremendous road blocks created by the National Housing Corporation (NHC) which has been collecting rent from houses in some of the residential houses for over 40 years as a result of previous agreements with the defunct Municipal council of Kisumu.

 “The houses under discussion were developed by the municipal council using a loan from the NHC. Some of these houses include-Arina, Makasembo, Ondiek, Shauri Moyo and Argwings Kodhek, among others,” Governor Nyong’o says.

 Nyong’o claims that he municipal council of Kisumu defaulted on paying the loans, hence handed over the houses to NHC to collect rent and pay themselves until the debt is fully recovered.

 “Unfortunately, NHC has been very inefficient in collecting rent over the years, and not even collecting rents with respect to the County Government Finance Act since 2013. In the meantime, LAPFUND has reached an agreement with us to build affordable modern houses for our people in Makasembo Estate currently being mismanaged by the NHC. We agreed with the NHC that we shall pay them the nearly shs 1 billion they are claiming from us so as to vacate Makasembo Estate for the development of affordable housing by LAPFUND,” Nyong’o adds.

 

He says this is because NHC has already recovered the principal amount through rent collection.

The Kisumu Governor says Local Authority Provident Fund {LAPFUND} is now in Kisumu City to begin discussions with the Makasembo tenants but NHC has put yet another road block on its way by inciting the tenants to withdraw from the discussions.

Governor Nyong’o further claims that some officials at the NHC have personal interests in the said Estate and are not prepared to see the development of affordable housing in Makasembo.

 “I would like to appeal to the President to come to our help by writing off the so-called debt that NHC, is arbitrarily claiming from us. It is more important to provide affordable housing for our people than for NHC to make money out of mistakes committed by itself and the defunct Municipal Council of Kisumu. After all, fulfilling the President's agenda is more important than fulfilling the interests of a specific parastatal,” Nyong’o further adds

 

He says these houses were built through a BOT (Build Operate and Transfer) principle, adding that agreement was that NHC will collect rent to recover their investment after which they will hand over the estates to the Municipal Council of Kisumu and it has collected rent for over 40 years.

 

The Kisumu Governor further say the County Government of Kisumu has held several consultative meetings with NHC on the matter and agreed to gradually take back the estates in order to develop and improve them in line with the Big Four Agenda, adding that this will help the residents of Kisumu to own decent affordable homes.

 

“We are seeking help from H.E the President because, next year Kisumu City will be hosting Africities Summit with over 10,000 delegates in attendance and my Government is in dire need of infrastructure including accommodation for our guests.Effective next week tenants within all Kisumu Estates must register with the City Housing Department in order to identify them. I want to assure the tenants that they will be given first priority in the ownership of the new modern affordable houses but for the time being they should cooperate with my government,” Nyongo further adds.

 

Governor Nyong’o has directed that all the illegal structures constructed within the estates must also be removed within the next 14 days and I would like to appeal to NHC not to incite the tenants in these estates, especially in Makasembo to disobey the notices and invites for meetings

 

“We take great exceptions over an incident in which the NHC vide a letter dated 27thOctober, 2020, warned the invited stakeholders and the tenants of Makasembo estate not to participate in any way in the meeting that was to be held on 28thOctober 2020.The meeting had to be postponed. We have information that some NHC staff have vested interest in Makasembo Estate where they have put up illegal makeshift structures and are fighting to block the change of status quo.The faster this row is resolved, the better for us, as we race against time to implement our Urban renewal commitment,” Governor Nyong’o concludes.

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