Dr Constantine Mwadime is the director of Costa Homes Ltd, Costa International Ltd, Kingdom Mines and Minerals, Dreamland Mines and Minerals, Coast Treasures Mining Limited and several other real estate and mining companies in Kenya. He spoke to PASCAL MWANDAMBO on the proposed Taita International Mining City 1. What kind of projects are you involved in? Most of my companies are involved in the mining of industrial minerals as well as offering real estate consultancy services in the upmarket areas of Nairobi and Mombasa. 2. What do you think of the real estate trends in Kenya? The real estate industry in Kenya is growing rapidly. The growth of the economy is making the sector grow very fast because it is now easier to access funds to buy houses. Apart from the mainstream banks that have been giving mortgage loans to home buyers, we now have micro-finance institutions and private lenders who are financing real estate projects. There is also the new concept of building houses through joint ventures in which the land owner provides only the land and the developer provides 100 per cent funding for the project without charging the title. 3. How does the land factor affect real estate trends? The rise in land prices leads to a corresponding rise in the cost of construction. This is one of the reasons housing prices keep rising. 4. There has been rapid growth in urban populations in recent years. How has this affected the real estate industry in urban areas? Rapid growth in urban populations is pushing the demand for housing up. Currently, the demand for housing in Kenya is higher than the supply. When the demand for anything is higher than the supply, prices go up. The rapid growth of cities and towns is causing real estate to become expensive and at the same time is contributing to the shortage of housing in urban areas.
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