In the joint venture, HFDI will provide the funds for the construction of the houses while Richland Development Limited will provide the land.
The houses located on Kamiti Road, about 800m from the Kahawa West junction, will comprise 65 two-bedroom (97sqm) units going for Sh7.25 million and 183 three-bedroom (125sqm) units selling at Sh8.25 million.
The apartments, which will be known as Richland Pointe, will have a range of amenities such as a borehole, children play ground, secure perimeter wall, lifts and back up generators.
“Prospective owners will pay a 10 per cent upfront deposit of the buying price while 70 per cent of the cost will be spread over the life of the project and the balance of 20 per cent payable prior to hand-over of the purchased unit,” Mr Karanja said.
He also added that the HF Group’s decision to sign the deal was due to the positive response to residential developments undertaken by the group recently such as Komarock 5A and 5B maisonettes, Precious Gardens Apartments in Riruta and Komarock Heights Apartments which featured 1,272 two and three bedroom units retailing at Sh5.75 million and Sh6.75 million respectively.
Richland Pointe is scheduled for completion in December 2017.
HF Group has recently ventured into partnering with land owners who lack the financial muscle to develop their properties, a deviation from its traditional model where it would build houses on its own land and sell them through mortgage schemes.
The new trend has been attributed to the high cost of land in Nairobi and its environs coupled with the complicated process of land acquisition.
Richland Pointe is the third joint venture between a land owner and HFDI.The first project was Precious Gardens in Riruta built in 2013 while Kahawa Downs was second. Plans are in place for a fourth one at ClayWorks on Thika Road comprising of 1,520 two and three bedroom apartments.