17.7 C
Kenya
Sunday, August 18, 2019
  • REAL ESTATE

Shock as customer houses worth Sh. 2 billion to be auctioned

Must Read

Godrej Youth Empowerment Program Set to be unveiled in Kitui

With over 20,000 youth expected to be trained in hairdressing and beauty therapy under the Godrej Wezesha Youth program, the program...

USERNAME Investment Ltd. CEO Crowned The African Business Personality

Reuben Kimani CEO, Username Investment Ltd was crowned the 2019 African Business Personality Award at the Voice Achievers Award gala dinner recently held at...

Uhuru: Grade six pupils won’t sit exam to join lower secondary in Kenya

Lower secondary in Kenya: There will be no final exam for grade six pupils looking to join lower secondary....

HF Houses: Housing Finance has put up customer houses worth Sh. 2 billion for auction. According to a report that appeared in Kenyan business newspaper, Business Daily, Housing Finance – popularly known as HF – has already signed up auctioneers to sell off the houses and commercial buildings.

“HF is selling 11 of the properties on behalf of customers in what is known as private treaty, which allows for disposal at market prices and the owner keeps the difference after offsetting the loan balance. Majority of the 54 properties that are on sale in Nairobi and its environs are standalone houses and apartments whose reserve prices range from Sh. 3.4 million to Sh. 300 million,” says the newspaper report.

Homeowners in shock as Sh. 2bn Sunset Boulevard estate to be auctioned

The report further says that “the priciest property listed for auction by the bank is a five-storey, Sh. 300 million commercial building in Nairobi West built on 0.18 acres, which currently houses a hotel. Another hotel property in Ngara is being sold at Sh. 260 million by private treaty, while a house in Kileleshwa is up for auction for Sh. 155 million. Other pricey sales include two Sh. 65 million houses in Karen and Embulbul in Kajiado County, and a block of 30 apartments houses in Ngong for Sh. 195 million, some of which have already been sold. The lender is also auctioning 11 apartments in a housing block in Kilimani for Sh. 198 million in total.”

Housing Finance has been struggling with non-performing loans as has been the general banking sector. Banking sector data compiled from the lenders’ financial reports shows that gross non-performing loans increased by Sh. 27.5 billion or 8.7 percent in the first quarter of 2019. The non-performing loans piled up even as banks reported a 22 percent year-on-year rise in first quarter net profit to Sh. 33.6 billion. “The effect of the tough environment their customers are facing is, in the short-term, manifested in the rising gross NPLs and not necessarily in the top-line. However, in the long-run, if the current situation persists, we could see declines in the bank’s revenue,” said Harrison Gitau, the head of research at stockbrokerage firm Apex Africa.

- Advertisement -

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest News

Godrej Youth Empowerment Program Set to be unveiled in Kitui

With over 20,000 youth expected to be trained in hairdressing and beauty therapy under the Godrej Wezesha Youth program, the program...

USERNAME Investment Ltd. CEO Crowned The African Business Personality

Reuben Kimani CEO, Username Investment Ltd was crowned the 2019 African Business Personality Award at the Voice Achievers Award gala dinner recently held at Louis Leakey Memorial Hall in...

Uhuru: Grade six pupils won’t sit exam to join lower secondary in Kenya

Lower secondary in Kenya: There will be no final exam for grade six pupils looking to join lower secondary. This has been announced by...

Shock as Sossion, KNUT officials kicked out of education conference

KNUT officials: The bad blood between education officials in Kenya and the Kenya National Union of Teachers (Knut) is far from over. On Friday,...

Kenya to start taxing YouTube, Netflix

Netflix in Kenya: Kenya is set to start taxing online streaming media services including YouTube and Netflix. This has been revealed by the Communications...

More Articles Like This

- Advertisement -
%d bloggers like this: