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Original Research Article

EFFECT OF REGULATORY COMPLIANCE ON TIME AND COST PERFORMANCE OF RESIDENTIAL HOUSING PROJECTS IN THE NAIROBI METROPOLITAN COUNTIES, KENYA

Gudah John

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Gudah John Corresponding Author

Jomo Kenyatta University of Agriculture and Technology, Kenya

Correspondence: gudahjohn@gmail.com

Received
18 Aug 2026
Published
10 Sep 2026

Abstract

The residential housing sector contributes significantly to Kenya’s socio-economic development. However, residential housing projects in the Nairobi Metropolitan Counties continue to experience time overruns and cost escalations due to regulatory challenges. This study examined the effect of regulatory compliance, focusing on NEMA EIA timelines, county plan approval timelines, NCA compliance requirements and statutory fees, and policy coordination, on project performance. The study was guided by Institutional Theory, Stakeholder Theory, and Regulatory Compliance Theory. A positivist philosophy and descriptive cross-sectional survey design were adopted. The study targeted residential housing project stakeholders in Nairobi, Kiambu, Machakos, and Kajiado counties, with a sample of 240 respondents determined using Yamane’s formula. Data were collected using five-point Likert scale questionnaires and secondary sources, then analyzed using descriptive statistics, Pearson correlation, and multiple linear regression analysis to determine the effect of regulatory compliance on time and cost performance. The findings established that regulatory compliance significantly influences the time and cost performance of residential housing projects. Descriptive results showed that respondents agreed that NEMA EIA approval timelines, county plan approval timelines, NCA compliance requirements and statutory fees, and policy coordination affect project implementation outcomes. Correlation analysis revealed significant relationships between regulatory compliance dimensions and project performance, with prolonged approval timelines and compliance costs negatively associated with project performance, while policy coordination demonstrated a positive relationship. Regression results indicated that regulatory compliance dimensions jointly explained 71.0% of the variation in project performance (R² = 0.710). County plan approval timelines had the strongest negative influence on project performance (β = -0.312, p < 0.001), followed by NEMA EIA approval timelines (β = -0.238, p = 0.001) and NCA compliance requirements and statutory fees (β = -0.176, p = 0.012). Conversely, policy coordination had the strongest positive influence on project performance (β = 0.421, p < 0.001). The study concludes that regulatory compliance is a significant determinant of residential housing project performance, with regulatory inefficiencies contributing to project delays and cost escalation, while effective institutional coordination improves project delivery outcomes. The study recommends streamlining regulatory approval processes through digital platforms, strengthening coordination among regulatory agencies, reviewing compliance procedures and statutory fee structures, and adopting integrated regulatory management frameworks to enhance efficiency. The findings provide important insights for policymakers, regulatory institutions, developers, and construction professionals seeking to improve the timely and cost-effective delivery of residential housing projects in Kenya.

Keywords: NEMA Environmental Impact Assessment, County Plan Approval, NCA Compliance, Policy Coordination, Time Overrun, Cost Overrun, Residential Housing Projects.

How to Cite

APA

John, G. (2026). EFFECT OF REGULATORY COMPLIANCE ON TIME AND COST PERFORMANCE OF RESIDENTIAL HOUSING PROJECTS IN THE NAIROBI METROPOLITAN COUNTIES, KENYA. British Journal of Advanced Research, 1(3). https://doi.org/10.68263/BJAR-GMJJQMGG

MLA

John, Gudah. "EFFECT OF REGULATORY COMPLIANCE ON TIME AND COST PERFORMANCE OF RESIDENTIAL HOUSING PROJECTS IN THE NAIROBI METROPOLITAN COUNTIES, KENYA." British Journal of Advanced Research, vol. 1, no. 3, 2026. DOI: https://doi.org/10.68263/BJAR-GMJJQMGG

Chicago

John, Gudah. "EFFECT OF REGULATORY COMPLIANCE ON TIME AND COST PERFORMANCE OF RESIDENTIAL HOUSING PROJECTS IN THE NAIROBI METROPOLITAN COUNTIES, KENYA." British Journal of Advanced Research 1, no. 3 (2026). https://doi.org/10.68263/BJAR-GMJJQMGG

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ISSN 3153-709X
Tracking ID BJAR_AUG_26_027
Article No. 006
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Article Info
Journal BJAR
Volume Vol 1, No 3
Year 2026
Type Original Research Article
Licence CC BY-NC-SA 4.0
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