Home Entrepreneurship Turning Dreams Into Reality

Turning Dreams Into Reality

by Brian Yatich

Sacco partners with Malaysian based firm to build houses for members at affordable rates in three weeks

By Boniface Otieno Kanyamwaya

According to Kenya’s Vision 2030, Kenya will be a predominantly urban country by 2030 as more than half of our nation’s population is likely to be residing in urban areas at that time.

This need not to imply that agriculture will matter less or the quality of life will be lower. It only implies that Kenya will need to plan for decent and high quality urban livelihoods for her population.

The country’s vision 2030 for housing and urbanisation is therefore “an adequately and decently housed nation in a sustainable environment”.

It is against this background that Kimisitu Sacco has entered into a partnership with a Malaysian based firm (Koto Housing Limited) to build affordable houses for their members within three weeks.

The firm has adopted the expandable polystyrene (EPS) technology that enables it to build a bungalow in three weeks –with a maisonette taking up to about three months to complete.



Ms.Beth Kimani, Head of Human Resource and Administration at Koto Housing Kenya.

Ms.Beth Kimani, Head of Human Resource and Administration at Koto Housing Kenya.

How it works

With Koto building system, a house construction project starts just like the traditional building but since the wall panels are light, the foundation is not dug several metres deep.

“We use what is called a raft foundation (where the house rest on a large base {raft}), which prevents the house from cracking due to shifting of the ground,” says Koto Housing Kenya Limited Head of Human Resource and Administration Beth Kimani.

The “raft” offers a huge surface area which means the weight distribution does not over-stress particular points of the structure.

Once the foundation has been laid, she says that columns are placed after which the prefab slabs-which measure 1.2 metres in length and 1.8 metres in width-are fixed into place.

The slabs are made of foam and they have holes that are filled with concretes for reinforcement and this is done after they have been placed on the superstructure.

“We allow clients to choose from a range of house plans covering everything from two bedroom bungalows to five bedroom villas,” she says.

Bungalows costs as little as Ksh. 3 million (US$ 30,000) for a 85 sq m two bedroom unit to 6.3 million (US$ 63,000) for a 170 sq m three bedroom unit.

Koto maisonettes range from Ksh 5.5 million (US$ 55,000) for a 150 sq m four bedroom unit and 8.5 million (US$ 85,000) for a five-bedroom unit.

The prices cover material and installation and are exclusive of the cost of land.

Initially, the products had to be imported from Malaysia, but the product is now manufactured locally at Koto factory in Mlolongo in Machakos County.

In an effort to ensure that every member acquires a home, the cost of the loan has been set at the rate of 1.05 percent per month on a reducing balance which translates to effective rate of 6.95 percent per annum.

In addition, the repayment period has been stretched to 84 months to afford members low monthly remittance.

“I believe that a longer period than this is achievable in future if the Sacco can build on its retention coupled with increased savings from members,“says Kimisitu Sacco Limited Chairperson JaneRose Mwangi.



Principal Secretary, State Department for Co-operatives Ministry of Industry, Trade and Co-Operatives Ali N. Noor with Kimisitu Sacco Chairperson JaneRose Mwangi during the launch of Makao Halisi product in Nairobi.

Ali N. Noor,Principal Secretary in the  Ministry of Industry, Trade and Co-Operatives with Kimisitu Sacco Chairperson JaneRose Mwangi during the launch of Makao Halisi product in Nairobi.

About Kimisitu Sacco

The Sacco was established in March 1985 to serve employees of ICRAF and IDRC. Later, it opened its membership to Non-Governmental Organizations, International Organizations, Foreign Missions and Embassies.

Today, it serves employees from over 400 organizations in Kenya.

Over the years, the Sacco has been a safe avenue for members to place their savings with   good rates of return on deposits each year.




You may also like

Leave a Comment

OKB price
5909.46 KES+1.8%