Category: BUILDING SOLUTIONS

Housing as a Verb: The Sense In Building Slowly.

By definition, a verb is an action word. It brings the sense of unfolding series of steps. I would like to borrow this language and relate it to housing.
All the conversation around home ownership has primarily been around buying a fixed product. A House (A Noun). With no action expected on the part of the home owner apart from signing that mortgage agreement or cheque. This top-down authoritarian approach to housing ignores a major player in the equation, the user.
Intellectual Basis: The Freedom to Build
Most buildings cannot be occupied until they are finished. In real life, occupation certificate cannot be issued until the whole building has achieved Practical Completion. However, the question then to ask is, “What is “Completion?”, Can Practical Completion be Achieved In Stages?”

518gfvtmuml-_sx334_bo1204203200_“If housing is treated as a verbal entity, rather than a manufactured and packaged product (noun), decision-making power must, of necessity, remain in the hands of the users themselves.
The ideal we should strive for is a model which conceives housing as an activity in which the users-as a matter of economic, social, and psychological Common Sense-are the principal actors.  This is not to say that every family should build its own house, as the urban squatters do, but rather that households should be free to choose their own housing, to build or direct its construction if they wish, and to use or manage it in their own ways.” – Freedom to Build, John F C Turner & Robert Fitchter (1972)

 

Self-build and The Law
What does the law say about self-build? Is Owner-Building prohibited by the Law? Surprisingly, the answer is partly Yes and No. The National Construction Authority Act 2011 provides in Section 16:

“a person shall not be deemed to be a contractor if the work undertaken— (i) does not incur a cost exceeding such sum or sums as the Board may from time to time determine; or (ii) consists of a residential house for private use, not requiring a structural design.” – See more here.

 

• How many people can afford a Building Contractor?
• How many people can afford to buy a ready built house (ready to occupy)?
• Most importantly, how many people can afford a housing mortgage today?  According to a 2015 survey by Kenya Bankers Association, those who could afford a mortgage in Kenya are only 2.4% of the population.
For a majority of the population, Assisted Self-Build(ASB) (Also called Do-It-Yourself) is the only viable option out if the dream of Home Ownership is to become a reality. In this regard, Building Slowly is the Common Sense Solution!

The Reality
Admit it! Most people don’t have to have all the money to build their own “dream” house. And this is perfectly OK if you understand where to put the brakes and how to proceed to completion.
Nobody ever has enough of everything on short notice. That is why humanity has embraced the concept of growth. Countries aspire to be developed or middle-income after certain number of years. They tell us, “Rome was not built in a day,” but seldom do we hear stories of victory by ordinary people building their life one step at a time. We are inundated with messages of “Utahama Lini” as if housing is an emergency. It is not unless it is!
Real Life Example: Application of Build Slowly
In February 2010, a magnitude 8.8 earthquake hit Chile, killing approximately 500 people and destroying 80% of the buildings in the town of Constitución.

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An award winning firm of Architects called Elemental reconstructed the homes named, “Villa Verde”, housing complex with more than 480 sustainable homes for the victims of the earthquake.

According to 99% Invisible, As part of the relief effort, an architecture firm called Elemental was hired to create a master plan for the city, which included new housing for people displaced in the disaster. Elemental built for the people Half-a-House with one half of the house ready to be moved in and the other half, just a frame with an empty space ready to be built up when the owner grows wealthy.

Incremental Building: Villa Verde by Elemental, Chile

Incremental Building: Villa Verde by Elemental, Chile

This is exactly the idea of a House as a Verb!

As you prosper, then you can have Add-Ons to the initial fabric or structure of the house. In this case, the house is never seen as a complete project but an unfolding expression of the ways, means and creativity of the owner.

If we can start looking at housing from this perspective, all the pressure that one must build NOW and Occupy the Entire House immediately, evaporates.
The technical term for this is called Site and Services Schemes or Incremental Building.
Advantages of Incremental Building:

  • Improvement and Modernisation of the units can be done at a later stage.
  • The fabric of the house can evolve to reflect the achievements of the owner.
  • As the expert, the Design-Build contractor can transform into providing affordable housing solutions or a series of Packaged Deals which any would-be home owner can pick and assemble incrementally with Add Ons as their fortunes improve. This is housing as it should be.

Are we looking at a New Opportunity of User-Controlled Housing?
Does it have potential to become the new vehicle of personal, family and social growth?

If we think of Housing as a Verb, we allow the People to Shape their Destiny. This way, we can build a better future together. …..to be Continued.

The African Courtyard House by Architect Glenn Wilson

In keeping with our value proposition of providing affordable housing solutions, we are pleased to introduce The African Courtyard House designed and conceptualized by a team of designers led by Glenn Wilson Boerstler and Ujenzibora Investment Ltd.

In the year 2013, we set out on a journey to create a series of affordable housing solutions to be implemented in our “Design & Build Package”. We launched the Firstep House: Affordable Housing for Every Beginner  as a first in the series and The African Courtyard House becomes the third deposit after The Minima House.

Even though at first we received minimum participation, The Ujenzibora Housing Challenge continues to receive excellent submissions.

Project Inspiration:

The first and most important concept explored in this design is the concept of shelter (shown through elements of African Architecture).  I have chosen to design with this tradition in mind. The clean lines provide a modern aesthetic while the color and materials complete the link to the vernacular architecture tradition.

Proposed African Courtyard House (A ReThink of Vernacular Architecture fit for Rural Areas)

Proposed African Courtyard House (A ReThink of Vernacular Architecture fit for Rural Areas)

Courtyard Concept:

The house is based on a courtyard concept. There are two courtyards that represent the family’s social life as well as more private family functions and traditions. From the street entry one arrives through a wide plank wood gate by either by foot or car. The walls that surround the entire home are 3040mm in height. The entry courtyard provides sheltered car parking, a formal public courtyard, enclosed storage at the base of the tower and access to the guest bedroom and bath above.

African Courtyard House : Ground Floor Plan

African Courtyard House : Ground Floor Plan

Directly on axis to the wood entry gate is the main entry portico to the house itself. One enters the Great Room of the home which is a tall volume containing the Living Room, Dining room and Kitchen. The home is a bifurcated plan that encloses and inner private courtyard. This courtyard represents an outdoor Living Room accessed on three sides.

The other two arms of the house include the bedrooms. To one side of the courtyard is the Master Bedroom Suite. The Suite includes a master bath with views into a private courtyard. The other arm includes two smaller bedrooms with a shared full bathroom.

In our “Design-And-Build” Package, we have removed the complexity costs and process which have proved to be very tedious and confusing to home owners. For people who already have Land and Clean Title/Ownership Documents, to Construct The African Courtyard House the payment terms are as follows:
1. Committment Fees – 8% of Building Cost – Contract Signing & Design Modifications
2. First Installment, Second and Third Installment – 60% of Building Cost – Construction up to roof level
3. Last Installemnt – 32% of Building Cost – Complete Construction
The installments can be varied in agreement with the client.

Upon project completion, the owner gets a Hand Over Report and As-Built-Drawings which can be used later for property valuation, history or referencing.

Message from Architect Glenn
“Thank you for the opportunity to participate in this. I enjoyed the cultural aspects and African vernacular architecture I researched. A few of the results of this research are posted as inspirations for you to share in the development of the concepts presented herein.

Again, thank you for posting this exciting competition for my colleagues and I to design. I sincerely hope that you find the results you have expected and hoped for. The process of working on this home for you was very gratifying and informative. A note on my graphic approach. I became an architect because of my interest in the arts, in particular drawing. Drawing is an important component of my design process. I hope the graphics adequately illustrate  these ideas.”

Home Ownership through Self-Build

According to a recent survey by Kenya Bankers Association, those who could afford a mortgage are only 2.4% of the total population and 11% of the urban population. This is the case with an average mortgage loan size of Ksh.4.0million.

What does the law day about self-build?
The National Construction Authority Act 2011 provides in Section 16:

“a person shall not be deemed to be a contractor if the work undertaken— (i) does not incur a cost exceeding such sum or sums as the Board may from time to time determine; or (ii) consists of a residential house for private use, not requiring a structural design.”

The results of the survey indicate that home ownership is mainly through building (68%) compared to buying and inheriting which contribute 17% and 15% respectively.

The Minima: 1 Bedroom House by Ujenzibora

The Minima: 1 Bedroom House by Ujenzibora

Key reasons for home ownership according to Centre for Research on Financial Markets & Policy, KBA

  1. Value as a lifestyle investment.
  2. Reduce the burden of rent.
  3. It has value as a way to build up wealth for retirement.
  4. To gain tax benefits/relief.
  5. Providing a good and secure place for the family.
  6. As an inheritance, it can be passed on to family.
  7. Need for a permanent residence.
  8. Owning a house improves ones social status.
  9. Secluded place/privacy.
  10. Gain place that is in a community and location you prefer.
  11. Privacy and seclusion.
  12. To accommodate personal taste and specifications.
  13. Ability to make updates and renovations if one wishes.

Is it possible to undertake self-build?
Yes it is possible. However, it is prudent to obtain guided service in the form of an Architect, Engineer, Quantity Surveyor and other such professional as one may need.

For supervision of the project, one can use an accredited supervisor registered by the National Construction Authority. They are construction persons duly registered to supervise such small building projects wise value does not exceed Ksh. 5,000,000.00

Ensure that the project is first registered with the Authority before commencement of the construction.

Leveraging the Housing Value Chain To Meet Housing Demand

Housing Delivery Value Chain

It was Archimedes that said, “”Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.”

We have clearly identified in previous posts the pressing needs of our time in providing affordable housing and accommodation. However, in order for us to make a dent on the issue of housing deficit, we must consider all the factors in the housing value chain and leverage those that will cause the greatest impact in provision of housing.

 

value chain is a chain of activities that a firm operating in a specific industry performs in order to deliver a valuable product or service for the market.

Today, 40% of the continent’s one billion people live in cities, compared to 28% in 1980. By 2030, this is projected to rise to 50%, and Africa’s top 18 cities will have a combined annual spending power of US$1.3-trillion. The housing market is set to undergo a shift as major players are re-aligning themselves to the new realities of urbanization and the housing deficit.

Definition of Sub-Saharan Africa, according to...

Definition of Sub-Saharan Africa, according to the United Nations institutions (Photo credit: Wikipedia)

 

For example, we have seen Housing Finance launch Ezesha Mortgage Product that enables aspiring  homeowners access up to 105% financing with a view to cover 100 percent of the property cost, stamp duty and the professional fees. And 5% to cover closing costs with an additional offer of providing a Ksh.500,000 loan for furniture and fittings.

Hard Economic Times and Timers

There is broad recognition that some Kenyans are facing hard economic times, but one must ask themselves whether an easy entry into the Mortgage Industry would translate into meaningful easing of the very pressure that one seeks to escape. If we make it easier for people who cannot afford the minimum requirements and load them with heavier loads, shall we make the initial deterrent disappear? Would it be better to find a solution that addresses both the short and long-term issues?

In the Ezesha Mortgage Product launch, Housing Finance Managing Director, Mr. Frank Ireri said

“One of the major stumbling blocks to home ownership has been upfront payments such as the down payment, stamp duty, valuation and legal fees, which account for about 18 percent of the property cost.”

This brings me to my point.

The Housing Value Chain.

What are the other “stumbling blocks” to home ownership? Can they be turned into Stepping Stones?

You see, we live in a world where a basic human need like housing is becoming a man trap. Let me explain. If you are struggling to come up with a house deposit, could it be a sign that you will struggle with the Loan Repayments? Is the main thing Home Ownership or Ownership of you as the lucrative asset? If you are getting the land, the house, and the furniture on loan, you must be a NINJA. Related Read: Why The Idea of Taking a Mortgage in a High Interest Regime Is a Terrible Idea

What am i trying to say? There is more to home ownership than Finances. Here is How To Think Outside The Box

Robert McGaffin, director of the Housing Finance Course for sub-Saharan Africa at UCT’s Graduate School of Business (GSB) recently said that,  “Finance products must match the needs and circumstances of the target population and need to be delivered in a viable manner. The recent global financial crisis and the unsecured credit crisis in South Africa highlight the dangers of poor lending practices, unsustainable business and funding models.”

The idea of the value chain is based on the process view of organizations, the idea of seeing a manufacturing (or service) organization as a system, made up of subsystems each with inputs, transformation processes and outputs. Inputs, transformation processes, and outputs involve the acquisition and consumption of resources – money, labour, materials, equipment, buildings, land, administration and management. How value chain activities are carried out determines costs and affects profits.

— Cambridge University: Institute for Manufacturing (IfM).

Sorting out the top structure financial constraints alone will not solve the housing challenge in Sub-Saharan Africa. Whether governments and institutions succeed in meeting the rising demand for houses and housing finance products in Sub-Saharan Africa will depend on the strength of each link in the housing value chain, that is:

  1. Land : Can we  leverage land through co-operative ownership? Would it be better to develop further from the City? Can we consider housing other than “Residential Units” e.g. Owning Tourist Facilities that would generate Revenue for home owners?
  2. Property rights,
  3. Infrastructure,
  4. Development rights,
  5. End-user households/Home-Owner,
  6. Investment, and
  7. Management.

Of all these things, the potential home-owner is the most important element in the Value Chain.

Housing Finance has made a very impressive move that will help us leverage finance, but we must move with speed so that we bring down the Cost of Housing such that even if someone is signing up for a 105% Mortgage, they are signing up what will not choke them later. We must fuel sustainable growth and not just dumb growth where we shift the wealth on the balance sheet without Creating New Enduring Value.

This is also a call to the other major players in the Housing Market to leverage their skills and expertise to enable the family of man solve the housing deficit problem in Sub-Saharan Africa. Architects, Engineers, Land-Owners, The Government, Political Parties, The World Bank….each and every one of us. We must not only leverage the Financing but also the Thinking, the Architecture (Affordability/Sustainability) and the entire Housing Value Chain.

Last Word

Even as we continually seek solutions to the housing deficit challenge, my sincere advice to you is that when you go to the market, do not let your Signature be an instrument for selling your Soul.

Tafakari Hayo

– Qs. Nahinga David

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