Construction financing is a challenge to many land owners in Kenya.
Many land owners and developers would like to construct houses for sale but the limitation usually comes due to lack of finances.
Kenyan banks require that the land owner finances the consultancy fees, marketing and sales fees and bank interest.
All the above usually form an approximate of 15% of the total construction cost but varies from project to project depending on the scope.
A half acre plot in a middle income area such as Ongata Rongai to be constructed with maisonette type units will cost approximately KES 80 million in total including cost of land purchase. Therefore, 15% of such a project is around KES 12.5 million.
After raising this amount, the banks require that the land owner or developer now raises a further 15% in terms of hard cash into the actual brick and mortar construction project.
This requirement has locked out many potential developers due to the high amount.
PRISM DESIGNS AFRICA has worked out a solution to this.
PRISM DESIGNS AFRICA offers equity contribution in terms of professional services namely Architecture, Quantity Surveying, Structural Engineering, Electrical engineering, Civil Engineering, Mechanical Engineering, Legal services and Sales and Marketing.
PRISM DESIGNS AFRICA works out a Joint Venture/agreement with the land owner to offer part of these professional services as a contribution so that the land owner can reach the 15% project value contribution.
Once the land owner/developer’s equity reaches 15%, PRISM DESIGNS AFRICA then organizes for a Joint Venture with Shelter Afrique Bank.
Shelter Afrique bank offers a further contribution of 15% of the total project value as contribution.
Once the land owner/developer’s contribution now reaches 30% [15% from land value+PRISM DESIGNS AFRICA consultancy contribution AND 15% from Shelter Afrique Bank], local banks can now be approached to finance the balance of the construction project.
This way, the land owner can now get funding for their project with their only contribution being the value of their land. Consultancy fees are offered by PRISM DESIGNS AFRICA at no initial cost to the land owner/developer.
Once the land owner/developer contributes their 15% of the project value with the assistance of PRISM DESIGNS AFRICA, Shelter Afrique bank forms a SPV which is a company owned jointly by Shelter Afrique and the Land Owner. The land ownership is now transferred to the SPV.
The SPV develops the project and at the end of the project, the profits realized are shared between Shelter Afrique bank and the land owner/Developer.
At this stage, PRISM DESIGNS AFRICA receives monies that it had contributed to the land owner/developer initially.

The land owner/developer will now have realized profits from the sale of units with their only contribution of land.
For more information, contact PRISM DESIGNS AFRICA
Francis Gichuhi Kamau.

Francis Gichuhi (692 Posts)

Architect Francis Gichuhi . B.Arch. University of Nairobi. Registered Architect, Kenya. Member, Architectural Association of Kenya. Contacts. email Telephone +254721410684



  1. August 8, 2011 at 1:21 pm

    For the attention of Francis/concerned person.
    Reading the article on how to get 100%financing housing construcion is music to
    my ears.In fact I made an inquiry through my advocate Makoli Advocates to
    Shelter Afrique inquiring about how I could get Finance to construct about 2o Flats
    of 3bedrooms each on 1/4 acre piece of land freehold title deed the communication
    I got was maximum finance one can get fro them was 80% of 1milliion US Dollars.
    As you clearly mentioned its very expensive for an ordinary person to meet those
    professional fees etc.
    My plan is to get that kind you talk a bout , the developer on completion to sell 1/2 the units or more recoup costs and profits leave some for rental as my continueous source of income .Will appreciate your response to this inquiry . B.HUNGA>

  2. frank
    August 8, 2011 at 1:41 pm

    Thanx 4 ua inquiry Benson.

  3. frank
    August 8, 2011 at 3:09 pm

    Hi Hunga.
    We can commence on the proposal . The steps are as below:
    1. i visit your site to come up with a feasibility report.
    2. I furnish Shelter Afrique ith the report.
    3. If Sheler Afrique gives a go-ahead for the JV, funds are availed and construction commences.
    4. Profits are devided. I get my pay for consultancy from profits.
    So, we can start with number 1 above-when do we visit your site?

  4. Lawrence Kaaria
    July 10, 2014 at 12:25 pm

    Hi, I am also interested in putting up some cottages for sale/rental outside Nairobi. Already have the land and plan, what I need is financing. Would like to have an idea of what “consultancy fees” I would be looking at if I worked with you, so I know if it a viable avenue for me.
    Thanks and regards.

      July 10, 2014 at 12:30 pm

      Hi Lawrence,
      Check the consultancy fee breakdown below

      • Stephen Nyakondo
        June 9, 2017 at 6:57 am

        Hallo if i have already finished the designs, i got approved designs what next? does the fee reduce?

    • Ronald
      May 26, 2017 at 1:47 pm

      I have 1/8 Acre plot in Eldoret next to University of Eldoret and I intended to build rental houses because it’s good place for residential but I luck finance to build the houses. Can i get loan to help me build the houses and the rent to repay the loan after?

  5. July 21, 2015 at 12:19 pm

    I have a plot of 100×75 in Kisii municpality 3km from Kisii town. Can this land be developed and proceeds from rent help pay the loan? Kisii is in need of rental houses for sure

  6. Kelly Matano
    October 8, 2015 at 3:47 pm

    I have a 1/4 acre situated in a very good area for rentals. My plan is to do a rental flat but financing the project has been a challenge but your article has given me hope. Kindly advise.

  7. March 2, 2016 at 12:56 pm

    Can you please contact me on my email I have a 1/4 piece of land and want to construct commercial/rental housing and need 100% financing. Please assist and advise asap

  8. Jane Mang'au
    April 30, 2016 at 10:25 pm

    Hello, can you finance to buy a completed block of 20 units flats that have tenant already?
    can u finance land and build a block of flats of 20units flats,2or 3 b/rm.
    Am a salaried employee wanting to invest in real estate but the banks only want to finance upto 80%,its too sad. Kindly let me know the rates and the requirements and the answers. Thnks

  9. October 8, 2016 at 9:43 pm

    hi I have 50m×100m partially developed in Mbita,would like to developed rental houses but I lack funds,how can I be helped.

  10. Tonny Juma
    December 5, 2016 at 10:58 am

    I have three plots that I would like to develop one bedroom apartments for rental. How can I get your financial assistance please?

  11. Nelson mwangi
    December 12, 2016 at 9:13 am

    Hello is it possible to assist in purchase of land especially in prime area. Thank you.

  12. Timothy
    January 6, 2017 at 5:44 am

    I have 1/4 acre plot in a prime residential area in Nakuru town and need help in financing flats.
    Please contact me so we can arrange.

  13. Ngubia
    January 16, 2017 at 7:01 am

    I have a ¼ acre of land in Kiambu, Banana, 3 km from two rivers project in Ruaka; 16 km from Nairobi.
    The plot is worth more than 10m. Nearby, there a number of projects putting up houses for sale. These houses are being sold from 8m-17m. The rent for some units is KeS 65k

    I intend to put up 4-bedroom maisonettes for sale. Depending on design 8 units can fit.
    I don’t have funds to implement. Kindly how we can get into a venture as described above.
    Kind regards

  14. Elizabeth
    January 21, 2017 at 3:57 pm

    I have a 1/4 piece of land touching Magadi road in Ongata Rongai and want to construct commercial/rental housing and need 100% financing. Please advise if you have full project finciers – Regards Elizabeth

  15. sammy murithi mputhia
    March 27, 2017 at 4:39 pm

    have got a plot in juja(40*80) with share certificate,can i get help in building a flat for resident units?

  16. Doris Bosire
    April 5, 2017 at 1:47 am

    Have a plot 60 by 40 in naivasha and need residential flats, how will I get 100% financing?

  17. April 11, 2017 at 9:47 am

    As a new company, we are in the process of buying some land on Shelly beach,have already paid 10% for the purchase of land, have done a visibility study,would we get fiancé for such a project?

    April 21, 2017 at 7:29 am

    i have some land 1/8 acre which i think can accommodate a block of 4 apartments two at ground floor and two 1st floor. please i need to know if it i feasible. the plot is in Nakuru town in the fashinable subburb of Kiamunyi.

  19. Patrick muriithi
    May 27, 2017 at 10:45 am

    hi am planning to construct a flat at uthiru and I need how I can financed.

  20. Patrick muriithi
    May 27, 2017 at 10:47 am

    hi am planning to construct a flat at uthiru and I need how I can be financed.

  21. Lydiah
    July 12, 2017 at 5:44 pm

    Hallo am lydiah i have 4plots in a prime place in narok that i would love 100% financing on to build apartments… how can u help me?

  22. Joe
    August 28, 2017 at 6:09 am

    Is there any bank in Kenya that is currently offering 100% financing for real development?

  23. bie
    September 13, 2017 at 7:49 am

    i have 1/8 plot i would like to build houses for sale in syokimau, can i get 100% financing?

  24. chris munywoki
    September 29, 2017 at 11:18 am

    Hi my name is Chris and very passionate about real estate but the challenge is financing.
    now my question is if i want to buy a fully occupied flat say price range 68million with monthly income of 500,000 how can i get it?i don’t have savings but i can surrender the monthly income to pay for the loan untill its fully paid.can this work? kindly advice

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