Location!where is it. Again note that singles will attract very low income earners who always have problems paying.

@a4architect.com

the plot is boardering a main road [northern bypass rd]. its approx 0.75 acre. like i said, the bank wants to loan me some money of which they keep the title deed while i make payments. with the current high interest rates, i made the decision to use my small savings to put up single rental rooms.
i have done 10 decent rooms using timber, iron sheets and concrete floors with good security. also i've put up 6 decent toilets and baths with resevoir tanks [10k ltrs.]. the response has been good though am awaiting KPLC to instal 3phase electricity i have already applied for. the rent will be around sh.3.5k - sh. 4k per month [incl. of water & elec - though i intend to ration it to 12hrs per day night with a timer & only using energy saving bulbs]. the land is in close proximity to UN offices and runda estate. i plan to put up 100 rooms. then, i plan to use the income to put up permanent structures slowly without use of a bank loan.

@Edyth,

that's the big idea. am just trying to work around financing the project through passive income rather than a bank loan. thanks for the input.

one bank, HF, was so much interested that they were willing to finance apartments, start to finish. their catch was;
a) i pay the loan interest from my own sources during the duration of the development.
b) once the development is completed, they pay themselves min. 70% of the income generated i.e. interest + principle until the loan is wiped off their books.

from this, i decided to give it a go on my own, challenge my self how far i can go.

It's a choice which options to take when engaging banks to finance big real estate developments.

the demand for affordable single rental units in this area is good,mostly because of the low cadre workers who work for the UN, Consulates, Cabs - drivers, security personel, chefs/cooks etc.