Troubled developer sets out to deliver housing units amid covid-19
Thursday, July 2nd, 2020
Real estate developer, Urithi Housing Cooperative Society whose two housing projects fell into trouble last year owing to financial constraints has dispelled fears that the organisation is financially constrained.
Urithi Chairman Samuel Maina confirmed that the company is still on course to deliver pending projects to its members this year, even as the sector continues to stagger from the shocks of the Covid-19 pandemic.
The organisation top brass says it has shifted focus on delivering pending projects unlike initiating new projects as the market prospects are not promising.
“We were doing so many projects across the country, but for the last few months we have embarked on delivery without starting new projects.
We want to deliver all projects in the next one year before we could continue with the model as it is without restructuring our business model,” said Maina.
Speaking in Mombasa during a ceremony to hand over about 100 title deeds to property buyers, Maina assured his members that all pending projects will be delivered within the next six months without delay.
“The problem we are having is that we are owed more than Sh2.5 billion and this is a general problem because the performance of the economy is deteriorating. We are urging our members to fastrack their contributions,” said Maina.
The real estate sector has significantly suffered economic down turn this year as a result of Covid-19 pandemic, which has continued to ravage the economy. And Maina says the company has no plans to audit properties of defaulters.
The delivery of projects comes as members raise concerns over delays in aquring important documents to prove ownership of their land.
“We have been having challenges in acquiring title deeds as a result of cessation of movement, and access to national offices,” he explained.
Beneficiaries of the title deeds lauded the company for delivering the project. “It has been my dream to own land for investment.
This is a big boost for me because I am able to own land as a woman,” said Juliet Karagu, after she received five tittle deeds.