Has any wazuan constructed using TMC's services?

A friend is currently constructing his 200sqm mansion at a cost of about Ksh 5M (Ksh 25,000 per sqm) through this Makazi Mema Product.

Management fees is paid by the client of about Ksh 50,000.

The design was his and only a few modifications were done by the Morgage Company.

Will try and send pictures once i visit the site.

As to how the construction company makes its money, the Ksh 25,000 per sqm must have factored in a modest margin based on expectations of high volumes.

Happy Hunting.

@a4a, TMC has identified a gap in the market which they are addressing. Majority of Kenyans are looking for affordable housing and the TMC seems to be helping. As raised above, it seems their target is the middle market who have a shoe-string budget. For the higher end of the market who can afford all the professionals i am sure they will not go the TMC way.

I have had several drawings that needed approvals and my draftsman has facilitated the architects and QS "stamps" at a small fee. I understand the risk for small projects but the day i "vuka border" i will get the right professional as i will have the capacity to pay.

I think what the mortgage company is doing makes a lot of sense, if i were to take a mortgage from a bank on a 6m house say the NSSF flats in Nyayo Embakasi

If say the above house cost say 3m to build, the property owner pegs it at 6m making a profit of 3m
The bank charges interest of 14-17% or more over a period of 15-20yrs doubling/tripling the 6m market rate.

TMC, are cutting the middlemen and the banks besides the cost for building is minus the initial cost of the plot, this justifies how they will make the profits.

I think TMC are finding a better way of investing their money while creating employment and cheaper/affordable housing for Kenyans..

Here TMC say their cost is kes 20k per m2, nealy same as @pennystockers cost.

http://www.tmcafrica.com/our-services/makazi-mema


Here, they contradict themselves. Only a very Keen customer with ability to calculate cost per m2 can see this.
The cost moves up to kes 27k per m2.

http://www.tmcafrica.com/our-services/makazi-mema

2 BR - 55sqm (Kes 1,500,000)

This works out to 27k per m2.

@litro.
Architect/Qs fees are based on actual construction cost. Actual construction cost is the amount of money a developer pays a contractor.
A contractor is selected through tendering where the best/lowest contractor is chosen. How then can architects/qs inflate this? Its impossible.
A construction contract involves only 2 parties
1.developer
2. contractor.
Arch/qs cant increase the sum in the contract unless thru variation again authorized by developer.
With many people not understanding how construction process works, its very easy for unregulated players to take advantage of consumers.

I personally get a few issues monthly from house buyers whose houses are cracking,leaking and many other structural defect.

My first question to them is whether they know their architect/eng/qs. They have no idea. They only know the developer.
Under kenyan laws, nothing can be done to the developers unless under law of tort.
If these were more informed, they should have insisted on seeing arch/eng certifiations to inspections etc.
This taking adavantage of gullible Kenyans needs to be stopped by someone.
My main issue with TMC is that they are not giving consumers all the info . For example, their construction cost is at kes 27 to 28k per m2. This by any standards is high enough for any customer to construct , hire professionals to check standards and still remain with change.

As per Kenyan law and all laws governing construction in all other countries, construction industry is regulated in an orderly manner so as to protect consumers.
Unfortunately, consumers if left to themselves can easly unknowingly perform Harakiri.
For example, i bet you did not know that the TMC costs are higher than for self build.
I also bet you didnt know that for the same high cost, the end result is a product that has not utilised quality assurance standards.

Give names etc for the architects/qs who inflate building costs so as to get fees. There are systems put in place to protect the consumer such as BORAQS registration, AAK etc.
What consumers take as inflated cost is the confusion as to whether a project is low, middle or high cost. Low cost starts from 20k per m2. High cost is in the range of 40 to 50k per m2.
This confuses consumers as to the quality.
With confused consumers, irresponsible business people take this up and make it worse.
Please check out TMC page here where they say they construct at 20k per m2 but when you calculate, its even higher.

Standard Finishes (Basic House -50sqm)- Kes 20,000 per sqm

http://www.tmcafrica.com/our-services/makazi-mema

Calculate this to see for yourself
BR - 55sqm (Kes 1,500,000)

I think a4 has just revealed his beef with TMC. He feels TMC is undercutting consultants. This is without doing any research or presenting facts. If I construct at 25,000 per square metre, whether I use self supervision or use TMC what is the beef. Isn't the 25,000/mtre square inclusive of consultant fees and materials etc etc. Help me understand. In my opinion, there is no need to add even that 50,000shs mentioned above as all the costs are within this 25,000 per metre square.

@a4a...architects design and are the lead consultants in a construction project. A Qs does the costing of the design. My understanding is that proffessional fees are a percentage of this cost. My beef with some architects is that they will design their own dream house for their clients with minimal input from the gullible clients..you will therefore find beautiful houses in the totally wrong location. Architects are not the only guarantee as to quality as well..the construction rate for TMC is enough to pay genuine consultants. TMC are not in it for the short run i believe they have a long term plan.

In order to get building approvals, an architect and structural engineer must be involved. For a4 to insinuate that TMC will use quacks or not use these professionals at all , and all this without evidence, is below par for him. Instead, let a4 advice us, as a wanjiku building for the first time, what steps I should take when dealing with a company like TMC to ensure I get a quality product.

Like any serious professional, a4architect is concerned about his industry i.e. construction. He has pointed out his concerns and even said that TMC should come out clear on some of the things they are saying. What is wrong with this?

I don't know him personally but have come to realize that he is probably the only architect in this part of the world who freely shares information in the construction industry. Information that you will pay premium rates for elsewhere. Kindly visit his site http://www.a4architect.com/ to know what i am talking about. Is he the only architect on Wazua? I guess not, yet if you ask an architectural question, he will probably be the only architect that will answer you; for free, unless you require architectural plans done for you.

That said, let's not tarnish his good name for a statement that may simply not have come out the way he intended it to be. In my own understanding, he is simply concerned that TMC have not fully disclosed details.