Tsavo Real Estate is a company established in 2016, and founded by Emily and Leonard Mcharo.  They specialize in constructing small-sized houses, including bed-sitters and one-bedroom homes, targeting investors looking to make a return from rent.

Leonard and Emily’s Story

Emily and Leonard Mcharo, the founders of Tsavo Real Estate, have an inspiring back story. They began their marriage with very little money and, like many couples, lived from hand to mouth. However, in those early years of marriage, they set a goal to become financially free within 10 years.

According to their narrative, achieving this goal required them to forego many of life's pleasures to consistently invest in their dream. They leveraged their expertise, with Leonard being an architect and Emily a financial analyst, to develop student hostels. The project took nine years to complete and with its completion, they were financially free! Emily quit her job as a banker and Leonard quit his employment as an architect.

With their financial freedom, they established Tsavo Real Estate to build affordable rental properties that they sell to investors. They aim to help others achieve financial freedom as well, by providing them with a reliable source of passive income through their real estate investments.

Completed Projects

To date, the company has completed five projects, which are Tsavo Studios in Embakasi, Coral Bells in Thindigwa, Royal Suburbs in Roysambu, 90 Degrees in Embakasi, and Tsavo Skywalk in Wanyee Road and Tsavo Sunset in Thindigwa. The average price of a bed-sitter is Ksh 1,800,000, while the average price of a one-bedroom house is Ksh 2,800,000. The expected rent from the properties is Ksh 12,500 - 15,000 for a bed-sitter and Ksh 18,500 - 20,000 for a one-bedroom.

Projects Under Construction

Tsavo Real Estate has several projects currently under construction. These include Royal Suburbs Phase 2, 3, and 4 in Roysambu, Tsavo Fedha, Tsavo Rising in ILRI, Tsavo Step-up in Satellite Estate, Tsavo Premier, Tsavo Sunset 2 in Thingigwa, Tsavo Fedha in Fedha Estate, Tsavo Divine at USIU, and Tsavo Stanley in Kiambu.

According to the company, these projects are set to be completed within 3 years. The construction of these properties will provide investors with new opportunities to invest in the real estate market.

Track Record and Performance

Tsavo Real Estate has a strong track record in terms of project timings, financial integrity, and developing projects as per promise. Given that the return on investment is between 7% and 9%, this is a good investment option that offers considerable passive income.

Risks Associated with the Projects

Tsavo Real Estate Company sells its houses off-plan, which means that investors pay upfront for the homes before they are built. This approach is common in the real estate industry as it allows developers to secure financing for construction and buyers to lock in prices for new homes.

However, it's important to note that when buying off-plan, there is a level of risk involved. One of the main risks is that there is no government regulation for off-plan projects, which means you have to trust the company to deliver the houses as promised. In some cases, there have been large real estate companies in Kenya that have sold off-plan homes and failed to deliver on their promises to their clients.

In Conclusion

Tsavo Real Estate has maintained a solid track record of delivering homes as promised. Their financials are also good and their philosophy is promising. Payment of the homes is also done as the project progresses thus minimizing risks. We, therefore, advise that purchasing properties with Tsavo Real Estate is reasonable as a pathway to creating your passive income.