, NAIROBI, Kenya, Mar 10 – The National Social Security (NSSF) has warned that it will repossess close to 600 houses in Nairobi over arrears.
In a notice, NSSF said the tenants who own the houses under the Fund’s Tenant Purchase Scheme, have up to March 15 to settle their arrears or otherwise vacate the properties.
The Fund says on expiry of the deadline, the houses will be given to other people under new agreements without further notice.
“Take notice that on expiry of the said period the Fund will rescind the Tenant Purchase Agreements of the said tenants purchasers and offer the property to other deserving Kenyans without further reference to defaulters,” the notice read.
Areas affected include Kitisuru Estate, Mountain View estate, Embakasi Estate Phase I-V and Hazina Estate in Nairobi.
“The tenants who would not have cleared their arrears by March 15, 2014 will be expected to give vacant possessions of the premises to the Fund immediately.”
The Fund is seeking in excess of Sh1.5 billion from the arrears.
“We want to put these people on their toes, because they are indeed defaulters. We really want to them to bring this money,” NSSF Communications Manager Chris Khisa told Capital FM Business.
Some of the tenants have arrears of up to Sh600,000.
“Apart from further development, the profit we get from these scheme is what we put on your account as NSSF member as interest every year. So you see when they don’t pay, it means they are affecting very many other people,” Khisa added.
Under the arrangement, tenants pay 10 percent of the purchase price and the balance over a period of up to 20 years. NSSF has sold out 5,000 units under the scheme.