JVL Rebuts Claims of Delay in Ngara Housing Project

(Nairobi) – Jabavu Village Limited (JVL), a key player in Kenya’s real estate sector, has dismissed claims that its affordable housing project in Ngara’s Jevanjee Housing Estate has stalled. The company asserts that construction remains on schedule, with significant progress made, and financing is secured through legally sanctioned means.

Managing Director Abdulkadir A. Hussein stated that the Ngara project, currently at 50 percent completion, aims to deliver affordable housing units by September 2025. Market-rate units are projected for completion by September 2026. Hussein explained that the project initially encountered delays due to complex land acquisition processes, the COVID-19 pandemic, and increased steel costs attributed to the Ukraine conflict. However, these issues have since been addressed, and construction is moving forward.

The Jevanjee Housing Estate development features two 14-story towers, each containing 400 housing units. Towers 3 and 4 have reached full structural completion, with roofing on Tower 3 nearly finalized, while Towers 1 and 2 are currently under construction up to the ninth floor. This progress reflects JVL’s commitment to meeting deadlines despite the challenges faced.

Addressing financing concerns, JVL clarified that the Jevanjee land was lawfully transferred from Nairobi City Council to a Special Purpose Vehicle (SPV), Nairobi Bachelors Jevanjee Estate Ltd, in 2019. JVL holds an 80 percent stake in this SPV due to its substantial investment in the project, while Nairobi County Government retains the remaining 20 percent.

To fund the construction, JVL secured a bank facility of KSh 1.9 billion. Out of this, the company has drawn KSh 450 million so far, corresponding to completed work certified by contractors. Hussein emphasized that the financing is fully backed by these certifications, ensuring transparency in the project’s financial management.