Public Land for Private Profit? Jabavu Village’s Troubled Jevanjee Project Faces Scrutiny Over Loans and Stalled Development

Jabavu Village (K) Limited, a subsidiary of Hass Petroleum Group, has found itself at the center of a controversial real estate project tied to an 8.9-acre plot for the Jevanjee Affordable Housing Project.

HERE IS THE JABAVU PLAN

Despite being embroiled in an insolvency battle with Credit Bank over a debt of Sh611 million, the developer secured a Sh1.9 billion loan from National Bank of Kenya (NBK), using public land as collateral.

This move has raised concerns, especially since the Jevanjee project has been stalled for years despite selling nearly 1,400 units to the public.

back link building services=

Legal and regulatory challenges continue to plague the project as Nairobi City County Assembly and civil society groups demand clarity on the loan and its implications.

Jabavu’s leadership, including Chairman Abdinasir Ali Hassan and Managing Director Abdulkadir Ahmed Hussein, have defended the move as part of efforts to stabilize the project.

However, the unresolved legal disputes and stalled development raise questions about the transparency and financial sustainability of such large-scale projects involving public land.

Following the Sh1.9 billion loan secured by Jabavu Village (K) Limited, concerns have mounted over the project’s use of public land as collateral.

This loan, procured during ongoing financial and legal issues with Credit Bank, has prompted Nairobi City County Assembly to demand a freeze on any further transactions involving the Jevanjee project’s title deed until investigations are complete.

In parallel, civic groups like Sheria na Watu have challenged the constitutional validity of using public assets as loan collateral without National Lands Commission (NLC) involvement, asserting that public land should serve residents’ interests.

The Nairobi City County Assembly has since called on NBK’s Managing Director to provide documentation on the loan’s approval process. Questions have arisen over the project’s lack of progress, particularly as the units sold out quickly.

County officials have voiced frustration that Jabavu’s financial instability has delayed development, despite the project’s supposed completion timeline of 2026.

Jabavu Village’s role in this stalled project has intensified scrutiny on public-private partnerships in Kenya’s affordable housing initiatives.

The county’s Sectoral Committee on Lands, Housing, and Planning aims to establish whether Jabavu’s actions align with the urban renewal policy, which mandates that developers use private funding while county governments contribute land.

The investigation outcome could impact Jabavu’s future involvement in the housing sector and signal potential reforms in Kenya’s public land policies to ensure more transparent, sustainable development projects.

The post Public Land for Private Profit? Jabavu Village’s Troubled Jevanjee Project Faces Scrutiny Over Loans and Stalled Development appeared first on Kenya Today.