Banda Homes Kenya: A few years ago, a real estate developer called Andrew Kamau claimed that he makes Sh. 20 million on a bad month. Mr. Kamau had given the story of rags to riches. He had claimed that armed with his savings, he had bought two-and-a-quarter-acres at Makongeni, in Thika at Sh. 3.5 million. He paid Sh. 350,000 deposit and after sub dividing it, he sold the plots, paid the land owner the balance and made Sh. 3.5 million profit.
Buoyed by the impressive returns, he said that he shifted gears and started buying land, constructing houses and selling them. His first housing project was near Kenyatta University where he bought half-an-acre and built 49 bed sitters on half of the plot and sold the other to finance the construction. The units sold at Sh. 250,000 each earning him over Sh. 12 million.
At the age of 27 years, he built his first residential house, a two bedroom unit, which he sold at Sh. 1.6 million. “I make between Sh. 20 million and Sh. 25 million per month. Real estate is the place to be,” he claimed. Back then, Mr. Kamau ran a company called Dinara Developers.
Years later, Mr. Kamau is now in the middle of a real estate storm pitting buyers and the Banda Homes company, which he manages. The company is in soup after failing to deliver houses to its clients two years after receiving hundreds of millions.
The buyers bought the houses in an off housing plan. The houses were to be built along Thika Superhighway at Pinewood and Rosewood estates. The buyers paid Sh. 3.9 million each for the houses. A site visit that was conducted by buyers on Saturday revealed that the houses are far from ready.
The buyers have also questioned the quality of work done. However, Mr. Kamau has blamed the coronavirus pandemic for the delays. In February last year, Banda Homes Limited was also accused of shortchanging their buyers. The developer was accused of failing to deliver homes to buyers despite having received deposits amounting to Sh 1.5 billion since 2018. Banda Homes Kenya.