International Housing Solutions (IHS) Kenya has broken ground on a KSh1.8 billion rental housing development in Tatu City that will provide 406 apartments.

The Muzi Enzi project occupies a 2.5-acre serviced site and will comprise 238 one-bedroom units of about 40 square metres and 168 two-bedroom units of roughly 60 square metres, funded through the IHS Kenya Green Housing Fund.

Managing Director Kioi Wambaa said Tatu City already has more than 7,000 residents and that number is expected to triple over the next five years, while also noting that the city’s population is growing by 40 per cent annually and currently exceeds 35,000 people.

The development is being designed to meet IFC EDGE certification standards and its green features are intended to cut energy and water use, thereby lowering utility costs for occupants.

Construction has begun and the first tenants are slated to move in in 2028; the project forms part of a broader residential neighbourhood in Tatu City that aims to deliver nearly 1,000 homes in phases.

IHS Kenya estimates the scheme will generate about 500 direct jobs and 1,500 indirect jobs during construction and subsequent operation.

The developer also plans a separate 540-unit Muzi Stani project for homebuyers, with construction expected to start in January 2027, and it already operates the 240-unit Muzi Salama project in Limuru and a 200-unit partnership with Mi Vida in Nairobi.

Industry data show that the rental market in nearby Ruiru is expanding rapidly, with the 2025 HassConsult Land Index indicating house-price gains of up to 15.6 per cent in the town.