The National Social Security Fund (NSSF) has announced plans to construct high end residential homes on its prime land in Milimani, along State House Road in Nairobi.
According to NSSF, the housing project to be built on its 3.5 acre piece of land – located across the road from its Milimani Social Security House, will help unlock the value of the land currently estimated at Sh150 million per acre.
The number of apartments to be constructed will be guided by consultants, but the fund is keen to earn the ‘highest possible returns’ from the land, Business Daily reported citing sources at NSSF.
The sale of the Milimani houses is expected to be completed in 2014.
The NSSF managing trustee, however, did not divulge much detail about the project to avoid contravening the Public Procurement and Oversight Authority regulations.
High returns in the Kenyan real estate market over the past decade has seen the NSSF going big on property development. The provident fund is currently developing 1581 apartments in Nyayo Estate in Embakasi to be completed by June 2012, and planning to put up additional 34 floors to the four-storey Hazina Trade Centre, currently housing retail chain store Nakumatt Lifestyle in the Nairobi CBD.
The Hazina Trade Centre project is expected to cost Sh2 billion and once complete, the building will displace Times Tower from its position as the tallest buildings in East and Central Africa.
In July 2010, NSSF entered into a dealwith Sahal Construction to construct at least 4,000 two and three bedroom houses in Mavoko (Mombasa Road) at a cost of at least Sh12 billion.