FIRM DEMAND COMPENSATION FOR STALLED HAZINA TOWER PROJECT IN KENYA

Chinese firm ask for compensation after delay of the hazina tower project in kenya.

The Hazina tower which has been under construction since 1997 has now had a setback. The latest setback is the request from the contractor to have a compensation as the project is taking more time. The compensation request by Jiang Xi International is worth  Sh20 million per week for the addition days they have been on site. The company claim that the delay will add another 94 weeks to the project and this will translate to Sh1.8 billion for the compensation.

The total breakdown of the compensation includes Sh8.7 million for expenses, Sh9.8 million for idle plant and equipment at the site and Sh1.7 million for other losses. The company said they have incurred losses due to the stalled building.

The building which is own by Kenya National social security fund(NSSF) was design to help  generate income for the pension fund. The construction of the project has been stall at the 8 stories due to finances.

Jiang Xi International took control of the project in 2013 by adding 31 new stories to the existing structure. The project was suppose to take 155 weeks and be complete in july 2016. But it could not due to several challenges which also including court injunctions.

The project which was originally plan for 39 floors has been scaled down to 15 floor due to structural weaknesses as it cannot support the initial plan of 180 metres. The plan of the design was to mimic a Maasai moran standing with his legs crossed and leaning on a spear.

For more information, go through the following article on GambetaNews.