The Diaspora University Town (DUT) 3,500 Townhouses Development Plan is the biggest capital development plan of the DUT project. The 3,500 townhouses will be developed by about 2,000 Diaspora Kenyans and Kenyans who become developers of one to four units using the DUT Townhouse Investment and Development Agreement (THIDA) system. The system enables a Diaspora Kenyans to become a DUT townhouse developer with a Capital input of $100 a month. The houses will meet the residential needs of Diaspora University students and the 15,000 jobs created at DUT. Several systems, plans and budgets make up the 3,500 Townhouses Development plan.
- Ksh 24.5 Billion DUT THIDA System and Budgets
The DUT THIDA system a single/double townhouse with 5 bedrooms and 4 bathrooms that can be occupied by 5 to 10 persons in a given night. The 3,500 townhouse development budget is set at Ksh 24.5 billion made up of two budgets. Developer’s capital, plot and plan budget of Ksh 1.75 billion and Houses Development Cost (HDC) budget of Ksh 22.75 billion.
2. Ksh 1.75 Billion Developer Capital, Plot and Plan Budget
The plot and plan budget constitutes a plot and plan for development. Developers joining the development are today offered the opportunity to start development of one to four townhouse with $100 or Ksh 11,122 a month per unit. 1,215 units of the 3,500 are allocated. Diaspora Kenyans and Kenyans continue to join and take up the balance.
3. Ksh 1.2 Billion Construction Finance Budget
To start construction Diaspora University Trust shall borrow Ksh 1.2 billion. The money shall be applied toward construction through a construction bank account. Once a townhouse is constructed a long term mortgage issued the mortgage finance received will be put back to the construction account. The Ksh 1.2 billion borrowed will end up in the account and the bank will take its money. The interest will be paid in the Ksh 22.75 billion budget as a House development cost.
4. Ksh 22.75 Billion House Development Cost (HDC) & Ksh 22.75 Billion Mortgages Budgets
The 3,500 houses will be completed with the HDC budget of Ksh 22.75 billion. The completed houses will be issued mortgage finance of Ksh 22.75 billion by the Kenya finance system.
5. Ksh 22.75 Billion Building Materials, Human Resource and Other Budgets
The Ksh 22.5 billion budget is planned to be paid as follows:
- Ndara B Community building materials budget by 14 companies is about Ksh 8 billion.
- Other materials budget is about Ksh 7.75 billion.
- The Human Resource (HR), Equipment, Finance costs, Development costs and MSMEs gains are budgeted at about Ksh 7 billion.
6. 20 Townhouses Design-Build Production System of 16 Weeks and 182 Weeks.
The Design-Build plan will produce 20 houses in 16 weeks. The current plan is to have all the 3,500 townhouses completed in 182 weeks (3 ½ year) this can be adjusted. The total production will be about 650,000 square meters of space. Other production systems that delivered space at a fast pace include:
- The 102 story Empire State Building in New York that was delivered in 400 days.
- Pentagon building of 600,000 Sqm in Washington DC completed in 16 months (500 days).
7. Townhouse Users/ Occupants Plan
A townhouse will have 5 to 10 persons. The users include some of the 5,000 Diaspora university students. Persons taking up the 15,000 jobs created as follows:
- Diaspora University, 1,000 jobs.
- Diaspora University Hospital, 2,000 jobs.
- Diaspora University Town, 500 jobs
- 300 MSMEs and Organizations, 11,500 jobs (Design-Build, Datari Biotechnology Ltd Medicine and Vaccines, DUT Credit Ltd finance institution and, others.)
8. Ksh 43 Billion New Wealth Plan
The 3,500 DUT townhouses will progressively grow in value. The plan is to achieve a valuation of Ksh 43 billion immediately after the graduation of the first 4 year Diaspora University class. This will mean the 3,500 townhouses will create a wealth gain of Ksh 43 less the development budget of Ksh 24.5 billion. This is about Ksh 19 billion new wealth for the developers and townhouse owners.
