How Lapfund's mega development redefines Nairobi, tests infrastructure

Financial Standard
By Macharia Kamau | Jul 21, 2026
Lapfund Bellevue housing development is transforming South C. [File, Standard]

South C, once a quiet, low-density suburb reserved for the privileged few, has undergone dramatic transformation to emerge as one of Nairobi’s fastest-changing neighbourhoods.

Towering apartment blocks now dominate a skyline that was once defined by maisonettes and detached houses, with local leaders crediting Lapfund’s (Local Authorities Provident Fund’s) Bellevue real estate development as among the key projects driving the estate's rapid change. The 20-storey complex that will have 2,300 housing units is set to transform not just South C’s or Nairobi’s skyline, but also test the limits of public infrastructure.

But even as the Bellevue project changes the face of South C, a recent report by the Auditor General flagged contract changes, delays in project completion and irregular payments during its construction. But a Member of County Assembly (MCA) for South C has pushed back, terming some of the conclusions in the report as a misunderstanding of the project's broader impact.

"Houses in this area were historically expensive and out of reach for many hardworking Kenyans," said the MCA, Abbas Ibrahim Khalif, in an interview.

"The Lapfund project  set the right price and made houses genuinely affordable, and also influenced pricing by other developers that had overpriced their units. It has helped change the face of South C completely and levelled the playing field for homeownership."

Abbas said the area's population growth was previously constrained by single-unit dwellings, but the advent of high-rise buildings has now made South C a modern neighbourhood.

"We are finally accommodating the population bulge in a dignified way. These high-rise apartments are not just buildings; they are homes for thousands of families who previously couldn't afford to live close to the city," said Khalif.

The county government, the MCA noted, has also stepped up to match the pace of development.

"We have significantly increased services to the area, including improved roads, drainage systems and utility connections, to support this new density. The recurring flooding issues that residents have complained about over the years are being addressed as part of our broader infrastructure upgrade programme," he said.

Long-time resident and community elder Grace Wanjiru, who has lived in South C for over 20 years, says the change is unmistakable as more property developers put up new units.

"Before the development came, this place was like a ghost town after 6 pm, with just big walls and empty plots. But now I see young families walking to the shops, children playing in well-lit streets and neighbours actually know each other," she said.

"The highrises have brought life back to South C. And for the first time, my own son, who works in town, can afford to rent a decent place here without commuting two hours from Ruai."

New homeowner David Ochieng, who moved into an apartment six months ago, says the project has cut his daily commute and improved his quality of life.

"I used to spend nearly Sh1,000 a day on transport from Kitengela," he said, adding that once the Lapfund project is complete, it would significantly improve access to housing for many people who work in Nairobi but have to make lengthy commutes to and from work.

"Now I walk to work in 15 minutes. Cities cannot develop without infrastructure, and South C is positioned near the CBD and the country's financial capital. This development is a game-changer. It allows us to live close to work without breaking the bank on rent or mortgage. The old days of single-unit dwellings are over, and the area is finally keeping up with the times."

The development is offering studio apartments at Sh3.7 million, one-bedroom units at Sh6 million and two-bedroom units at Sh8 million.

The project is massive and the 2,000 units, many of which will be occupied by families, could mean several thousand new residents over the next few years who will test the limits of South C’s systems with their demands for water, sewerage, waste management, roads and public spaces.

The project's Environmental and Social Impact Assessment (ESIA) had outlined different strategies aimed at reducing pressure on public utilities through a combination of on-site infrastructure and resource-efficient systems.

The development will rely on a combination of four boreholes and the existing Nairobi water network. It also incorporates rainwater harvesting and water storage facilities to ensure supply in instances of interruptions, but also an attempt to embed sustainability in the operations of the project.

The complex will also make use of solar water heating systems, solar-powered lighting for common areas and streets, and energy-efficient lighting in shared spaces to reduce electricity consumption.

Other green approaches to the development include emphasis on natural lighting and ventilation, landscaped open spaces, parks and recreational areas that are expected to reduce the environmental footprint of the project.

The project also has dedicated waste collection facilities, together with wastewater management linked to the newer trunk sewer along Mombasa Road, which the ESIA says are intended to minimise environmental impacts while supporting a significantly larger resident population.

While residents and local leaders credit the Bellevue project with transforming South C, the Auditor-General's report presents a more cautious assessment and has questioned advance payments and delays in the project.

Early this month, the project contractor told the Parliamentarians that additional works and price escalations during implementation had increased project costs and contributed to the delayed completion.

The National Assembly’s Special Funds Accounts Committee conducted a site visit to ascertain the progress of the project and also look into concerns raised by the Auditor General. During the visit, the contractor said the project would be complete by December 10, 2026.

During the inspection, members sought clarifications, including the factors that led to the delay in the opening of the development and the measures put in place to manage traffic, considering the project comprises more than 2,000 housing units.

The contractor explained that the development has multiple access gates, three of which connect to dual carriageways, a design intended to facilitate smooth traffic flow.

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