An irate group of investors in the Banda Homes real estate development project, confronted the company director Andrew Kamau, demanding answers regarding the completion of their projects.
Citizen TV on Sunday, May 10, aired a follow-up feature of the controversial development project, going on to interview the director at Mapple Ridge Estate, located in Kikuyu, off the Nairobi-Nakuru highway, where several investors aired their concerns.
Kire Mwaniki (an investor at Banda Home's Olive Estate) was visibly angry as he vented about the lack of progress at his future home. He went on to confront the director, who had made an impromptu visit to the site.
"He's going to do other projects and complete them with my money while he's not making any progress on mine. Of the Ksh3 million that I have paid, he can't tell me it's just slabs in place," he claimed.
However, Kamau stated that the lack of progress was engineered by lack of or delayed payments on the part of the investors.
The director went on to release a video which was shared on the Banda Homes Twitter page moments after the feature aired on Citizen TV, explaining the rising concerns.
"We are an off-plan developer and its important to note that off-plan developments rely 100% on customer payments. Some times we are pulled back by customers who are unable to meet their obligations in due time, they derail the project.
"Notwithstanding, we have also had various challenges. I can give you an example of last year, we had the heaviest of rain experienced over the last 10 years and I know we lost 2 to 3 months. Construction is capital intensive and I think it's good for people to note that once you pay a deposit, the first amount caters to the cost of land. All the other installments paid out over 12, 18 or 24 months, go into construction," he explained.
He further elaborated that the fund is placed in one pool which is then directed towards setting up the houses simultaneously, going on to assure all the homeowners who had cleared their payments that he would deliver on his mandate to deliver homes.
During his impromptu visit to Olive Estate where he was confronted by angry investors, he asked for patience, citing the challenge of delayed payment by some investors as the reason why those whose homes were completed could not move in.One of the housing projects overseen by Banda Homesthat commenced in 2018.Daily Nation
"As a developer, we do not look at one particular house we look at the entire project. What I would like them to understand is you will not occupy this estate.
You will have to wait for some time for your neighbour to complete payment so that all of you can move in together. Security reasons, service charges, you cannot cater to the service charge for the entire estate alone. Let us also try to be patient," he remarked.
One of the investors Evelyn Gitonga, provided a copy of her sale agreement which partly reads as "The construction is projected at 12 months from May 2018," going on to claim that despite making her initial deposit back in May 2018 and completing it in January 2020, her house was yet to be completed.
Speaking to Kenyans.co.ke, another investor who preferred anonymity said that their efforts to get an explanation regarding the progress of their future home were frustrated by Banda representatives.
"When this whole story came out, we were swiftly removed from a WhatsApp group by Banda management. We used to air our issues on the group but that was also not viable as people who raised questions were removed from the chat group," the investor stated.
George Ngugi (another investor at Banda Home's Olive Estate), told the media that despite paying Ksh5.75 million, he could not even identify the parcel of land where his future home would be located, as actual work was yet to begin.
"When you look at the ground, construction work at my house has not even been started. I have not even been shown the actual location.
"When you inquire through Banda provided media, they block you, some of them reject you and in other instances, they even threaten you by calling you and asking you to stop," he claimed, going on to provide bank slips to prove his payment.
However, the Banda Homes director maintained that the entire issue was brought about by delayed payments and unforeseen challenges.
"The amount of money that these people owe us is about 45% to 60% of the total value of the entire project, and as I said when I was starting, these projects are financed by the buyer," he explained.
He went on to reveal that they had implemented a house swapping deal to enable investors who had cleared payments to be moved to houses that were almost complete that belonged to investors who had defaulted in payment, further adding that the swap deal was amicable.Oak Park Estate is one of the housing projects developed by Banda Homes.File
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