Residential Projects

UN-Habitat, Kisumu Ink Sh2.7bn Social Housing Deal

The project will deliver 360 houses priced from Sh1.8m to Sh2.7m.

Updated on

October 16, 2025

Prof Anyang’ Nyong’o and Anaclaudia Rossbach sign the deal in Kisumu. (Photo: Courtesy)

The United Nations Human Settlements Programme (UN-Habitat) has signed a major deal with Kisumu County to upgrade social housing and improve residents’ living standards.

Valued at Sh2.7 billion, the initiative falls under the Partnership for the Implementation of the New Urban Agenda (PINUA) — a global effort aimed at fostering community-driven urban development.

The deal, signed by UN-Habitat Executive Director Anaclaudia Rossbach and Kisumu Governor Prof Anyang’ Nyong’o, will see the two partners work together to upgrade housing, with a focus on helping the most vulnerable residents.

“The PINUA programme [is] designed to benefit the most vulnerable members of the community,” Prof Nyong’o said, emphasising the county’s commitment to building sustainable neighbourhoods equipped with essential services.

Rossbach highlighted UN-Habitat’s role in advancing global urban transformation.

“This partnership is crucial in advancing our new strategy, which focuses on improving housing access and digitally transforming informal settlements for everyone,” she said.

The pilot projects will begin next month in Kibuye Estate and Muhoroni Sub-County, adding schools, sanitation, affordable homes to let, childcare centres, and public spaces.

Incremental housing models will enable families to start with basic structures and gradually improve them over time as resources allow.

According to project architect Alfred Omenya, construction will begin in January 2026 with two blocks comprising 24 housing units in Kibuye Estate.

The full Kisumu project will deliver 360 affordable one- and two-bedroom units, fully funded by UN-Habitat, costing Sh1.8 million for one-bedroom, Sh2.4 million for two-bedroom, and Sh2.7 million for three-bedroom units.

In Muhoroni’s Shauri Yako area, the programme will adopt a cooperative financing model supported by the European Union, enabling the construction of up to 800 housing units.

Twenty homes will be provided free to the most vulnerable families, while the rest will be financed through cooperative savings and loans.

Mr Omenya stressed that redevelopment would be carefully managed: “We’re not demolishing the entire Kibuye Estate. Only five blocks will be taken down to make room for two high-rise buildings, which will house half of the current residents across 24 units.”