BUSINESSREAL ESTATE

Co-op Bank Rolls Land Acquisition, Financing and Construction into One Service

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Co-operative bank mortgages
Henry Kyanda, Japhet Kahindi Ponda, and Dr. George Wachiuri, after the signing of the partnership.
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Co-op Bank, Optiven Limited, and Everstrong Maskani LLP have signed a  strategic partnership that integrates land acquisition, construction and financing into one seamless journey. The partnership creates a unified ecosystem where customers can access land, financing, and construction services through coordinated partnerships anchored by Co-operative Bank’s financial solutions.

According to the 2024 Kenya Housing Survey by the Kenya National Bureau of Statistics and the State Department for Housing, 55.5% of Kenyans prefer to build their homes incrementally rather than buy completed units. While this approach offers affordability and flexibility, it often leads to project delays, stalled construction, or poor workmanship due to fragmented processes and lack of financial oversight.

Co-operative Bank of Kenya identified gaps in Kenya’s housing market: land acquisition, financing, and construction operate as disconnected processes. This leads to project delays and abandonment. The bank’s solution integrates these services through strategic partnerships.

“This partnership allows us to bring financing directly into a trusted, end-to-end ecosystem where land, lending, and construction are seamlessly linked,” said Japhet Kahindi Ponda, Head of Mortgage Finance at Co-operative Bank of Kenya. “As one of Kenya’s largest banks serving over 9 million customers, our role is to provide affordable credit and walk with clients all the way to the front door of their finished homes.”

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For far too long, many Kenyans have struggled with the disconnect between buying land and building a home, accoring to Dr George Wachiuri, CEO of Optiven Limited. “We’ve seen investors stuck for years, unsure where to begin or whom to trust with construction,” Dr Wachiuri said. “This partnership brings a solution to that struggle. By integrating the process, we are giving every customer a clear, safe, and professionally managed path to home ownership.”

Mr Geoffrey Mwaura, Head of Refinancing at Kenya Mortgage Refinance Company (KMRC), emphasized the affordability aspect of the partnership: “Home loans are affordable in this country today. Through our partnership with institutions like Co-operative Bank, we have provided in excess of KES 22 billion to financial institutions in Kenya,” he said.

Kenyans can access loans of up to Ksh 10.5 million at single-digit interest rates – Co-operative Bank offers 9.5% fixed for the term of the loan, up to 25 years. This means once you start paying, your monthly payment remains constant until you redeem your mortgage, protecting customers from interest rate fluctuations.

Co-operative Bank’s technical team periodically assesses step-by-step progression of customer projects as quality assurance. The bank’s technical experts conduct regular site inspections to verify completed milestones before authorizing payments to Everstrong Maskani. This ensures contractors are only paid upon successful delivery of each construction phase, protecting customer investments and guaranteeing project completion through professional oversight.

Strategic Land and Construction Partners

Optiven Limited provides quality land options across key developments. Everstrong Maskani LLP delivers professional construction services. Both partners operate within Co-operative Bank’s integrated framework to ensure seamless customer experience.

Everstrong Maskani LLP manages the complete construction process through direct customer contracts. The company provides structural guarantees, defect liability clauses, and insurance coverage during construction. “Through our MaskaniBora turnkey program, we walk with each customer from concept to keys. We offer them peace of mind, structural integrity, and professional service at every step,” said Mr Henry Kyanda, Managing Partner at Everstrong Maskani LLP.

Implementation Framework

The bank’s integrated housing solution will initially serve customers in Optiven developments. These include Amani Ridge in Kiambu, Achievers Paradise in Kimuka Ngong, Success Gardens along Gatanga Road, and Victory Gardens and Happy Gardens in Kitengela. The three-year collaboration includes structured performance review frameworks.

Customers access the mortgage solution through Co-operative Bank’s countrywide branch network. Each client signs a direct contract with Everstrong Maskani while maintaining their primary relationship with the bank for financing and project oversight.

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Written by
OORO GEORGE -

Ooro George is a Kenyan journalist, blogger, editor-at-large, art critic and cross-cultural curator.

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