Evaluates project to provide low-cost core housing units in Kenya’s secondary cities. Special evaluation covers the period 10/81-7/83 and is based on visits to seven subprojects. The project, the first of its kind to be implemented in Kenya outside of Nairobi, although not without its shortcomings, has significantly assisted the Government of Kenya to shift toward low-income housing. A total of 1,001 units were built in 11 cities (vs. 1,400 in 12 cities originally targeted). Although site layouts were poorly designed by the National Housing Corporation (NHC) and local councils, the level of services and construction appear to be quite high in comparison with similar projects in other countries. At the sites visited, 45% of units have already been expanded by owners. The units are desirable to higher-income families, and many owners are profiting by subletting their units without council approval, which is prohibited. Local councils have made no attempts to reduce the incidence of subletting; only three councils have imposed the planned 10% subletting levy. Implementation delays – subprojects were completed 2-55 months late – resulted from problems with site selection and acquisition, inefficient contractors, difficult soil conditions, and inaccurate surveying, as well as from a lack of coordination between NHC and local councils. The Meru subproject, last to be occupied, has not yet been completed or turned over to the Town Council. Its streets and drains are in need of repair, erosion problems remain, and two units have yet to be built. Maintenance of streets, drainage, public space, and sewerage by local councils has been largely inadequate, due to a lack of funds. In addition, beneficiaries in every subproject have fallen into large payment arrears, mainly because local councils have not made serious efforts to collect monthly payments. While several local councils sent repossession notices to those in serious arrears, none took follow-up action. Community development activities, e.g., educating owners on unit maintenance, have also been lacking. Several recommendations address project design and implementation problems.
