Applicability of public-private partnerships in the development of affordable urban housing in Kenya

Abstract

The Constitution of Kenya 2010, Kenya Vision 2030, and many international commitments that Kenya is party to obligate the government to deliver decent, affordable, accessible, and quality housing for all Kenyans. Since independence, many strategies to fast-track housing development have been explored with mixed results. The annual housing demand stands at 250,000 units, with only 50,000 being developed through public and private means, hence a deficit of 200,000 units. Application of public-private partnerships (PPPs) models has been projected as the most appropriate strategy through which affordable housing can be availed in the country. PPPs address the problems related to inadequate capital, expertise, managerial, and technological applications that hinder the effective development of affordable urban housing. The study’s main focus was to evaluate the applicability of PPPs in the development of affordable urban housing. The study used the Delphi methodology of investigation, which uses iteration and building consensus to arrive at group decisions. Three Delphi rounds that involved 88 persons in three panels comprised of housing practitioners, housing financiers, and developers. It was found out during the first round that 95.5% of the panelists observed that PPPs can be utilized in the development of affordable urban housing, and 4.5% stated that they believed that PPPs may be inappropriate for the sector. It was also found out that configuring and positioning public and private players’ concerns regarding PPP models increases its applicability in the development of affordable urban housing. The main conclusion from the study is that PPP models are appropriate for the development of affordable urban housing.