Nairobi County adds another twist to Hazina Towers construction - Daily Nation

Nairobi County adds another twist to Hazina Towers construction

Sunday August 23 2015

Construction works at Hazina Towers may be stopped by the Nairobi County Government on August 24, 2015 over a row on parking space and approval of the building plans. FILE PHOTO |

Construction works at Hazina Towers may be stopped by the Nairobi County Government on August 24, 2015 over a row on parking space and approval of the building plans. FILE PHOTO |  

By NATION REPORTER
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Construction works at Hazina Towers may be stopped by the Nairobi County Government on Monday over a row on parking space and approval of the building plans.

The county government is demanding Sh143 million for 85 parking spaces that have been obstructed by the structure.

City Hall has written a terse letter demanding the money and raising issues of whether the building plans conform to the Nairobi integrated master plan.

NSSF hired China Jiangxi to construct the 39-storey building incorporating the four floors that house Nakumatt Lifestyle.

A letter by County Executive Committee member for Finance, Mr Gregory Mwakanongo, also demands an environmental impact assessment report and an annual assessment by the National Environmental Management Authority or else construction will be stopped.

“The issue of statutory payments for the 85 parking lots, which are enclosed or utilised by the project at an annual fee of Sh47.7 million totalling Sh143.2 million for the three years payable in advance has not been honoured,” Mr Mwakanongo says in the letter.

It gives the Managing Trustees of the National Social Securities Fund (NSSF) seven days to sort out the matter or have the development halted.

Nairobi Integrated Urban Development Plan (NUIplan) by governor Evans Kidero gives City Hall a leeway to ask developers to align their building plans to it.
While receiving the NUIplan in March this year, Dr Kidero warned that all development plans in Nairobi will have to be compliant.

The governor said various development sectors have to align their investment plans and commit resources for the master plan’s implementation.

The issue of compliance comes a few days after Nakumatt Managing Director Atul Shah stocked a row with NSSF over the construction of additional floors on Hazina Towers.

The supermarket chain says it has lost Sh1.62 billion in business so far at its Lifestyle outlet which has seen a drop in traffic since building work began.

The construction has also led to a sub-tenant exodus and sparked a dispute over the supermarket’s lease that could see it kicked out of the prime location.

Mr Shah, on Tuesday told the National Assembly’s Public Investments Committee that the supermarket has moved to court seeking orders against attempts by the NSSF to force the termination of its 20-year lease signed with the public pension provider.