A total of 892 housing units will be developed in Gahanga Sector, Kicukiro District, following Cabinet approval of a housing development agreement between the City of Kigali and Bauhaus International Ltd.

The decision was approved during a Cabinet meeting chaired by President Paul Kagame on Wednesday, March 4, as part of Kigali’s broader efforts to promote planned urban housing and organized resettlement.

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The project will be developed on 12.8 hectares of land in Gahanga Sector and will involve rehousing and compensation for residents currently occupying the area.

Bauhaus International Ltd is a real estate company based in Nigeria and operates under the Bauhaus International Group. In September 2023, the company signed a Memorandum of Understanding with the Rwanda Housing Authority to develop affordable housing in Kigali.

According to details of the approved agreement seen by The New Times, the housing project is valued at $48 million.

Under the agreement, the developer is required to deposit 30 per cent of the compensation amount along with three months’ rent for households to be temporarily relocated, while the remaining 70 per cent must be deposited within 120 days.

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According to the agreement, the development will also affect 121 landowners, who will receive compensation either through rehousing within the new development or through monetary compensation, depending on consultations conducted by the City of Kigali.

Following construction permit issuance, site mobilization is expected within one month, with construction starting shortly afterward. The project is expected to be completed within 24 months from the issuance of the construction permit.