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Home Explore MyProperty Issue #005 March/April 2022

MyProperty Issue #005 March/April 2022

Published by My Property Kenya, 2022-04-14 11:56:36

Description: MyProperty Issue #005 March/April 2022


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Issue 005 | March/April 2022 RENT | LET | SELL | BUY

Project Features • Eighth Acre (50x100) • Supporting Amenities available • Touching Malindi - Lamu Road at Marereni Area • 30 Minutes from Malindi town • Project selling at Ksh. 99,000 • Pay a deposit of Ksh. 40,000 and balance in 4 months. • Project has title deed • Free Airticket for site visit but subject to terms and conditions 0794655522 0723221022 Blessmarked Real Estates Limited Mugen Plaza, Eastern Plaza, Ruiru Office #3 and #6 [email protected]

Ksh45K 50x100 Plots Pro•jeEigchtth FAcerea(5t0xu10r0)es • Supporting Amenities available •4 Kilometer from Malindi - Lamu Road at Marereni Area • 30 Minutes from Malindi town • Project selling at Ksh. 45,000m cash • Project has title deed • Few Plots remaining MALINDI Blessmarked Real Estates Limited Mugen Plaza, Eastern Plaza, Ruiru Office #3 and #6 [email protected] +254794655522

From Editor’s Desk Welcome to the March/April 2022 Digital issue of MyProperty Magazine. MyProperty Magazine is packaged and distributed every month. We continue showcasing affordable properties of between Ksh100,000 and Ksh5 Million on offer by various real estate dealers and also individuals as the momentum of affordable property buying picks up in the year 2022. With our distribution reach in both print and digital channels growing every day by leaps and bounds, it ensures that every advert placed with us in MyProperty Magazine is seen by a large client base of potential affordable land buyers. We invite and encourage all real estate companies to advertise with us and take advantage of our wide customer reach. Notably, the construction of more infrastructure in terms of roads, electricity and internet accessibility in areas that were previously inaccessible have made those areas more accessible and suitable for development and settlement at affordable rates. At MyProperty Magazine, we have positioned ourselves to bring out those affordable properties in a more centralized forum to the buyers. The desire to property ownership has always been limited finance on the side of the buyers. We have seen real estate dealers come up with different easy innovative ways for their clients to acquire properties especially during this covid-19 pandemic period. We encourage our readers who may not afford to buy in cash to look at various innovative ways showcased by the property sellers to finance their desired property. Once again welcome to the March/April 2022 issue of MyProperty Magazine and I look forward to writing to you in the next Monthly issue. Boniface Kagume search download MyProperty Magazine published by: information contained herein, the publisher and its agents cannot be held responsible for any errors contained, or any loss incurred as a result. MyProperty Print and Digital Marketers Articles published do not necessarily reflect the views of the publishers. (+254)746222433 The editor reserves the right to alter or cut copy. Articles submitted are deemed to have been cleared for publication. Advertisements, inserts Mugen Plaza, Eastern Bypass, Ruiru Office #6 and company contact details are printed as provided by any advertiser [email protected] or third party. MyProperty Print and Digital Marketers cannot be held responsible for the accuracy or veracity of supplied material. All rights reserved. No part of this publication may be reproduced, adapted, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of MyProperty Print and Digital Marketers. Disclaimer While every effort has been made to ensure the accuracy of the [4] Issue #005 MARCH/APRIL 2022 | | Digital Copy

CONTENT 1. Current Real Estate Trends in Kenya: They Affect Investors......................................................................... 6 2. Property Market Outlook in Kenya................................................................................................................. 8 3. Trends In The Real Estate Sector In Kenya That Will Stay Beyond 2021.......................................................10 4. 4 Key Factors That Drive the Real Estate Market.......................................................................................... 12 5. Land, house prices rise at fastest pace in years............................................................................................ 14 6. Housing Trends That Will Affect Buyers, Builders in 2022.............................................................................16 7. Miliki Plot Polepole @Ksh300 .......................................................................................................................18 8. Daily with Blessmarked...................................................................................................................................18 9. How difficult is the property purchase process in Kenya?........................................................................... 20 10. Do These 3 Things Before Purchasing a Plot In Malindi................................................................................22 11. 5 Building Technologies Spurring Affordable Housing in Africa...................................................................24 12. There is No Real Estate Bubble in Kenya...................................................................................................... 26 13. Rethinking real estate amid Covid-19 impact............................................................................................... 28 Issue #005 MARCH/APRIL 2022 | | My Ideal Property Magazine [5]

EDEN Farmland Ksh185K PER ACRE Project Features • Project Acre) • Supporting Amenities available • 5 Kilometer from Malindi - Lamu Road at Marereni Area • 30 Minutes from Malindi town • Project selling at Ksh. 185,000 • Pay a deposit of Ksh. 85,000 and balance in 4 months. • Project has title deed • Ideal for building a home or farming Blessmarked Real Estates Limited 0794655522 Mugen Plaza, Eastern Plaza, Ruiru 0723221022 Office #3 and #6 [email protected]

MATARNUGIIRU Blessmarked Real Estates Limited Project Features Mugen Plaza, Eastern Plaza, Ruiru • 40X 80 Plots Office #3 and #6 • Ready Title Deed +254794655522 • 2 Km from Thika Road (@Kimbo) +254723221022 • Next to Theta Police Post at Ruiru, Matangi [email protected] • Priced at 2.15M cash or 2.2M six month Installments. • Water and Electricity available • Ready for immediate development

Industrial: Similar to the office sector, the industrial sector has been receiving a gradual change with a changing clientele who prefer high-quality stock which allows for modern retailing, distribution and manufacturing practices and this has led to modern industrial parks such as Tatu City Industrial Park, Infinity Industrial Park, and Tilisi. The modern parks are also built in such a way that they allow for a live, work and play concept. Additionally, the new market demands a serene location that is different from the congested Nairobi’s Industrial Area, Baba Dogo and Mombasa Road areas where most of Kenya’s old stock, mostly outdated warehouses, is located. To achieve this, the new industrial parks are now moving to areas within Nairobi’s periphery such as Kiambu and Machakos counties where they are easily accessible and are still in close proximity to the key airport and railway terminals. Residential With a rapidly growing population and more so, an increasing middle class, the residential sector has recorded the highest demand with the nationwide housing deficit standing at 200,000 units annually and an accumulated deficit of over 2 million units. However, the largest demand has been for affordable housing to cater for the 61% of urban dwellers who live in slums and shortage in student accommodation accounting for 40% of the deficit. Therefore, we have witnessed more developers increasingly applying low-cost housing construction methods such as alternative building technologies which are known to reduce construction costs by as much as 50%. In addition, with the demand for a live-work-play lifestyle, master planned communities are increasing with areas such as Kiambu and Machakos counties becoming hotspots. Notable master planned communities are the likes of Konza City, Tatu City, and Cytonn’s Newtown. Current Real Hospitality Estate Trends in The hospitality sector is largely dependent on Kenya: They Affect the tourism sector which has been experiencing rebounding volumes. For the first time in 2012, Investors earnings recorded a 17.8% increase from Kshs 84.6 bn in 2015 to Kshs 99.7 bn in 2016, while the For the past two decades, the Kenyan real such as partitions and kitchen cabinets. In a bid number of international arrivals rose by 13.5% from estate market has grown exponentially as to reduce operating costs and provide a safe and 1.2 mn in 2015 to 1.3 mn in 2016. The meetings, evidenced by its contribution to the country’s healthy environment for workers, developers are incentives, conferences, and exhibition (MICE) GDP which grew from 10.5% in 2000 to 12.6% increasingly employing green building technology drive by the government has been a key role in in 2012 and 13.8% in 2016. The growth is driven as it has also been proven to increase employee driving international tourist arrivals who are a major by; productivity. A smart office is also a new trend that backbone of the hospitality industry. In a bid to Infrastructural developments such as improved has changed the office space area. With amenities diversify their revenue streams, developers are roads, utility connections, upgrade of key airports; like an equipped gym, Cafeterias and entryways converting typical sites to accommodation facilities Stable GDP growth which has averaged at 5.4% for people living with disabilities. Nowadays, so as to for hotel purposes. Additionally, a new concept, over the last 5 years against a Sub- Saharan meet the demands of clients, offices are designed dual-branding which involves having two concepts average of 4.1%; to feel like home with modern facilities. Quality, such as serviced apartments and a hotel in the Demographic trends such as rapid urbanization at ambiance, elegance, and serenity are the driving same building is also gaining popularity among 4.4% p.a against the world’s 2.5% and population forces behind today’s growing modern offices. investors. growth averaging at 2.6% p.a; and High total returns averaging at 25.0% against 12.4% Retail: The retail sector has grown tremendously, Land in the traditional asset classes. characterized mainly by a continued rise in Infrastructural development has seen land values These factors have therefore led to the mall space. With a growing middle class, and go up while a growing population has ensured development of unique trends across the various thus more disposable income, international and sustained demand. In the hope that land values real estate themes, as investors sought to gain high local developers have quickly grabbed the will increase in the future, investors are increasingly returns and buyers sought aspirational lifestyles and opportunity to tap into the ready market with the buying land with the intention of selling it in the quality products. mall concept which has seen Kenya become future, a concept known as land speculation. The the second largest in mall space in Africa, after land could be put to temporary use that generates Commercial South Africa, with 391,000 square meters. The most income on a regular basis, a concept known as Office: The Kenyan office sector has grown notable developments include the Two Rivers land banking. Additionally, in order to attract rapidly over the past decade, in tandem with the Mall, Garden City, and The Hub. The middle class buyers, developers are also using agribusiness as a improving economy, as firms expanded in their has also attracted international retailers such as value add to plots intended for sale and offering operations while multinational firms continually set Carrefour, international restaurants such as Burger returns on a seasonal basis to clients. The concept, up their base in the country which is considered King and Subway and sports shops such as Adidas. known as agribusiness, entails agriculture activities, the key gateway to the East African market and a Additionally, the country is fast urbanizing and agro-insurance, complete farm management leading economic hub in the Sub-Saharan Africa. as such, technology has become a secondary services and guaranteed market of the produce. As the sector grows, it’s witnessing new trends need with Kenya being recognized as one of the due to the clientele changing its preference and leading technology hubs in the continent and In conclusion, with the continued interest in international firms creating demand for something also renowned internationally for its one-of-a kind the Kenyan property market by both local and that is of world-class standard. Serviced offices are mobile money transfer system. Consequently, international players, continued investment in slowly gaining popularity due to the growing SMEs online shopping is slowly gaining traction with a infrastructure and improvement of the legal and as the dynamics of office space design and high internet penetration rate of 70% and has led to environment, the Kenyan real estate sector is demands continue to unfold, more developers are online sites such as OLX, Rupu and Jumia achieving definitely poised for further growth in the long term. offering semi-fitted offices by providing facilities tremendous success. Article written or curated by: Adopted from Cytonn https:// [8] Issue #005 MARCH/APRIL 2022 | | Digital Copy

Vision Plaza, Mombasa Road, Ground Floor, Suite #2 P.O. BOX 55986-00200 Nairobi, Kenya +254 791 899 990 | +254 725 099 090 [email protected]

Property Market homes by the end of 2022. However, this Outlook in Kenya initiative is hampered by a lack of funding and court cases. Millennials represented a large Residential Property: The housing market potential pool of first-time in Kenya is primarily a rental market. The Kenya Mortgage Refinancing Company Affordability is a key challenge to accessing (KMRC) was established with the primary homebuyers, surpassing decent housing. As a result, only about 20% function of providing long-term mortgage of Kenyans living in urban areas own the loans at low-interest rates. Stamp duty tax the impressive number of homes they live in. With a rapidly growing exemption for first-time homebuyers and a population and increasing middle class, the 15% corporate tax rate relief for developers baby boomers of the 1970s residential sector has recorded the highest who provide at least 100 affordable housing demand. A nice big house can cost $1.1 units were introduced. The National Housing and 1980s. Many economists believe that million in what is still a poor country in Nairobi. Development Fund (NHDF) was established, But the rental returns are rather good at which acts as a savings trust for employees millennials offer salvation for a slowing around 6% to 7%. who plan to purchase a residential property. On the other hand, the investment home market in 2021. Also, as part of Commercial Property: As remote working opportunity for apartments in satellite towns is increasingly becoming a way of life, such as the upper mid-end segment in areas growing technology use, buyers expect property agents in Kenya are expected like Kilimani, Gigiri, and Westlands continue to rethink their strategies over time as the to have relatively high returns. to see videos of the homes they want to workplace is evolving to accommodate remote and hybrid workplace options. Conclusion buy. Thus, virtual tours are a necessity. The Developers are increasingly employing Real estate in Kenya may have been green building technology which has been the reserve of the rich, and according to National Association of Realtors found that proven to increase employee productivity. recently published data, it’s also the best performing investment in modern history. an estimated 50 percent of buyers used the The retail sector has grown tremendously, Right now, it’s possible to build real wealth characterized mainly by a continued rise through real estate at a fraction of what it internet to search for a property, with that in mall space concept. This concept has used to cost. You just need to understand seen Kenya become the second largest in the trends and property outlook. Nairobi number increasing to 93 percent for people mall space ownership in Africa, after South property is attractive, with significant capital Africa. gains potential. Though the property market under 36 years old. The real estate industry is always changing. We see a positive to Kenya Affordable Housing Project neutral outlook for the real estate industry is filled with optimism in 2021 despite the With the nationwide housing deficit in the rest of 2021, especially following the standing at 200,000 units annually and global roll-out of the vaccine. challenges of the pandemic. With mortgage an accumulated deficit of over 2 million units. The Kenyan government’s affordable Article written or curated by: rates predicted to remain lower than 5%, the housing initiative is viewed as an opportunity for property developers to diversify, The demand for housing is expected to continue. government aims for 500,000 new affordable Saif Real Estates Kenya Outlook Kenya’s undeveloped mortgage market is one of the primary reasons for its housing shortage. In a recent report, the World Bank commended the role of Savings and Credit Cooperatives (Saccos) in providing affordable housing finance. Kenya has witnessed an increasing interest from foreign homebuyers recently. Property developers are positive that investments from Kenyans living abroad will boost the local housing market in 2021. Kenya introduced its first licensed investment fund for citizens living overseas, last year. This move is expected to channel more of the diaspora’s money into development projects across the country. [10] Issue #005 MARCH/APRIL 2022 | | Digital Copy

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4 Key Factors That employment data, manufacturing activity, Drive the Real Estate the prices of goods, etc. Broadly speaking, when the economy is sluggish, so is real Market estate. However, the cyclicality of the Real estate represents a significant Interest rates also have a major impact on economy can have varying effects on portion of most people’s wealth. the real estate markets. If you’re considering different types of real estate. Thus, although The size and scale of the real estate buying a home with a mortgage it is you should be aware of the part of the market make it an attractive and beneficial to research interest rates using a cycle the economy is in, you should also lucrative sector for many investors. mortgage calculator. Changes in interest be cognizant of the real estate property’s This article will look at some of the main rates can greatly influence a person’s sensitivity to the economic cycle. factors that affect the real estate market ability to purchase a residential property. and the variety of investments available. That is because the lower interest rates go, Government Policies/Subsidies the lower the cost to obtain a mortgage to Legislation is also another factor that Demographics buy a home will be, which creates a higher can have a sizable impact on property Demographics are the data that describes demand for real estate, which again pushes demand and prices. Tax credits, deductions, the composition of a population, such prices up. It’s important to note that as interest and subsidies are some of the ways the as age, race, gender, income, migration rates rise, the cost to obtain a mortgage government can temporarily boost demand patterns, and population growth. These increases, thus lowering demand and prices for real estate for as long as they are in statistics are an often overlooked but of real estate. However, when looking at place. Being aware of current government significant factor that affects how real estate the impact of interest rates on an equity incentives can help you determine changes is priced and what types of properties are in investment such as a real estate investment in supply and demand and identify demand. Major shifts in the demographics of trust (REIT), rather than on residential real potentially false trends. a nation can have a large impact on real estate, the relationship can be thought of as estate trends for several decades. similar to a bond’s relationship with interest For average investors, buying real estate rates. When interest rates decline, the value indirectly—through REITs, real estate There are numerous ways this type of of a bond goes up because its coupon exchange-traded funds (ETFs), or other demographic shift can affect the real rate becomes more desirable, and when managed funds—is less risky and more estate market, but for an investor, some interest rates increase, the value of bonds lucrative than buying real estate directly. key questions to ask might be: i) How would decreases. Similarly, when the interest rate this affect the demand for second homes decreases in the market, REITs’ high yields And although some of these aforementioned in popular vacation areas as more people become more attractive and their value factors suggest a clear-cut relationship start to retire? Or ii) How would this affect goes up. When interest rates increase, the between the factor and the market, in the demand for larger homes if incomes are yield on a REIT becomes less attractive and practice, the results can be very different. smaller and the children have all moved out? it pushes their value down. However, understanding the key factors These and other questions can help investors that drive the real estate market is essential narrow down the type and location of The Economy to performing a comprehensive evaluation potentially desirable real estate investments Another key factor that affects the value of a potential investment. long before the trend has started. of real estate is the overall health of the economy. This is generally measured by Article written or curated by: Interest Rates economic indicators such as the GDP, MyProperty Editorial Team +254746222433 [email protected] [12] Issue #005 MARCH/APRIL 2022 | | Digital Copy


and above in most areas. Price gains were therefore limited in the suburbs, where Spring Valley had the biggest gain of 10 percent with an acre selling at Sh191.9 million from Sh174.5 million in 2020. Langata followed with a gain of 6.1 percent, from Sh63.7 million an acre in 2020 to Sh67.6 million last year, while Nyari’s price per acre rose by 5.9 percent to Sh111.8 million. Riverside, Loresho and Donholm led in price fall, shedding Sh14.4 million, Sh3.4 million and Sh1 million to Sh329.5 million, Sh84.5 million and Sh69.8 million per acre respectively. An acre in Upperhill is the most expensive in the city at Sh509.7 million, followed by Westlands and Kilimani at Sh423.4 million and Sh413.1 million respectively. The recovery of the economy has also helped house prices go up as more people who lost jobs in 2020 return to gainful employment and businesses regain their footing. Land, House Prices This rebound has given house buyers the Rise at Fastest confidence to invest in real estate, while Pace in Years developers are also able to move ahead with projects that they had put on ice due Land and house prices in Nairobi as they rode out the economic uncertainty. to the prospects of a revival of the rental increased at the fastest pace in two The economy grew by eight percent last market. Following a contraction of 0.3 and three years respectively, on the year, as per estimates by the Central Bank percent in 2020, the economy grew by back of renewed demand from buyers of Kenya (CBK), reversing the contraction 0.7 percent in the first quarter of this year who had slowed down acquisitions in of 0.3 percent seen in 2020. Real estate and 10.1 percent in the second quarter. In 2020 amid Covid-19 economic hardships. grew by five percent in the period, up from Nairobi’s satellite towns, however, house 4.5 percent in 2020. In 2020 the economy sale price gains have been more modest, Data by realtor HassConsult shows that on was hammered by the effects of Covid-19, largely because most people settling in average a house now costs 3.1 percent which slashed tourist flows into the country. those areas prefer to build their own units. more in the city, from drops of 0.20 percent last year and 3.5 percent in 2019. This is the The price of a quarter acre in Kiserian rose HassConsult said that last year, the house fastest increase since 2018 when the growth 19.17 percent to Sh2.3 million from Sh1.93 sale market was largely driven by higher stood at 8.5 percent, reflecting property million in 2020, while in Juja it jumped 14.3 demand for detached units, whose supply market recovery from Covid-19 economic percent to Sh4.15 million from Sh3.63 million. in the market has fallen in the past two hardships. In Athi River, land sellers raised their price for decades. These types of houses saw their a quarter-acre by 14.4 percent to Sh3.95 prices go up by 5.9 percent, outperforming Land prices in the city rose by an average million from Sh3.48 million in 2020, while semi-detached units whose asking price of 1.16 percent from a drop of 2.56 percent Syokimau’s price went up 10 percent from was up by 0.5 percent, and apartments that in 2020 at the peak of the pandemic while Sh5.45 million to Sh6 million. dropped by 3.4 percent. Langata recorded the cost of plots in satellite towns such as “In the towns, Kiserian posted the strongest the biggest gain in average house prices Kitengela and Juja rose faster than those in growth annually with asking prices last year at 14.1 percent to Sh32.6 million, the suburbs, fuelled by demand from those increasing by 19 percent. Kiserian town’s with Loresho following at 7.9 percent to looking to build their own homes affordably. low entry point relative to its peers continues Sh54.2 million. The cost of land in these satellite towns on to make it attractive to speculators,” said average rose 6.65 percent compared to a Sakina Hassanali, HassConsult’s head of “Whereas slightly more than half of the drop of 1.1 percent in 2020, making it the development consulting and research. advertised properties were detached fastest growth in more than seven years. houses in 2001, today they make up around Land in most suburbs remains prohibitively 9.5 percent of the market and this limited Real estate was among the worst-hit sectors expensive, however, costing as much as supply of units is sustaining buyer demand by the economic fallout of the pandemic Sh409.4 million and Sh389.9 million per and prices,” said Ms Hassanali. as orders by new house buyers dried up, acre in Kilimani and Parklands respectively. largely due to income loss as people Availability of land to buy in upmarket Infrastructure developments and constraints lost jobs, cautious lending by banks, and suburbs is also limited, and parcels are also have also emerged as a major factor in the investors choosing to keep their cash in hand subdivided in larger sizes of half an acre growth of land and house prices in the city. Areas such as Langata, Juja and Syokimau, which have enjoyed improvement in road access, have recorded better price gains for both land and houses, while others such as Kilimani and Riverside, where existing water and sewerage utilities are being strained by highrise developments, have seen prices suffer. Article written or curated by: [email protected]. com https://www.businessdailyaf- [14] Issue #005 MARCH/APRIL 2022 | | Digital Copy

Housing Trends That Will Affect Buyers, Builders in 2022 Prospective home buyers and builders opt for bigger houses because of the flexibility prices for homes and land. will be affected by several housing that comes with them. Most of the big houses trends in 2022, as indicated by several you will find are in leafy suburbs because Construction of Smaller Houses surveys that analyzed the market in families opt to have a quiet life that may not be A report by the Kenya National Bureau 2021. For many Kenyans, getting a experienced in some estates. Therefore, for the of Statistics (KNBS) in 2020 revealed that house that suits their demands is one of the big house people are going to estates which developers in Nairobi are building smaller top priorities. Other factors include consumer may be considered as family-friendly estates. houses such as bedsitters, single rooms, and demand, land prices, the economy among one-bedroom houses to beat the demand for others. Consequently, these trends influence Congestion in Leafy Suburbs these house units among city residents. Within developers within the real estate industry as Real estate company Knight Frank in February a span of four years from 2015, there was an they seek to build homes as per the tenants’ 2021, stated that wealthy Kenyans were 84 percent increase in the number of one- needs. deserting rich suburbs like Runda and Kitisuru bedroom units built in Nairobi. The increase in due to the influx of new residents in the areas. the demand for smaller houses is because they Buying Houses Instead of Renting These rich tenants relocated to Tigoni in Kiambu are affordable to many residents. For example, As Kenyans look to cut down on their expenses, County and Miotoni in Karen, Nairobi. They on average a single room or a bedsitter ranges many are opting to buy houses instead of renting were also reported to be purchasing second from Ksh5,000 to Ksh7,000 across the estates in houses. This is because buying is cheaper in the homes in Tigoni and Miotoni which are spacious Nairobi with one-bedroom apartments ranging long term as compared to paying rent each and allow them to convert spaces into office from Ksh8,000 to Ksh10,000. month. Additionally, renting a house comes rooms. Areas such as Kileleshwa, Kilimani, with many uncertainties such as the increase Hurlingham, and Lavington which were Affordable Houses in rent which is determined by the landlords. A previously considered high-end areas, have With the harsh economic times, many Kenyans report released by Knight Frank in December also witnessed the construction of skyscraper are also opting for affordable houses. Under 2020, stated that the pandemic gave buyers residential areas. the Big Four Agenda, President Uhuru Kenyatta time to reflect on how they live and use their has undertaken to build affordable houses in space, influencing their future buying plans. Satellite Towns and Land Prices various cities within the country. Most of the “Buyers are prioritizing greater privacy, outdoor Another notable trend is the increasing demand houses have already been occupied with the space, and a home office. But we also see that for houses within satellite towns neighboring government hinting that they will gradually close to a third of respondents are more likely cities. This demand has seen the prices of land in undertake the project in phases with the target to move in the next 12 months, and 50 percent the towns rise as developers seek to venture into being 2030. This means that while the option of expect the value of their property to fall over real estate in those areas to match the growing cheaper government houses may be available the same period, as a result of the pandemic,” housing demands from Kenyans. According to Kenyans, many will miss out because of the Knight Frank Kenya Buyer’s Survey 2020 to HassConsult Property index, prices of land the high demand. Houses under Uhuru’s detailed. in satellite towns neighboring Nairobi rose by affordable housing range from Ksh1 million for 2.48 percent between July to September 2021. one-bedroom houses to Ksh3 million for a three- A Nairobi-based architect and real estate While some of the satellite towns could be bedroom house. surveyor says that buyers are also opting to ancestral homes for some Kenyans, people buy unfinished houses which are cheaper. He opt to sell their pieces of land because of the In the future, Kenyans will opt for new explained that this gives them the flexibility of pressure that comes with being surrounded by technologies such as 3D printing which furnishing the house with their own designs and high rise buildings. For example in Kabete, in as guarantee them houses within the shortest time tastes. “When people buy unfinished houses, much as that may be the ancestral home of and are affordable. A 3D printer can complete there is always that flexibility of finishing the some people, they often tend to sell the land to a wall within 12 hours as compared to four days house to the standards of one taste and they developers or potential buyers because of the when using builders. can also do it based on their finances,” he pressure that comes with the increasing highrise stated. buildings in the area. HassConsult Property Article written or curated by: index, prices of land in centers neighboring Washington Mito Bigger Family Houses the capital such as Syokimau, Kiambu, and Majority of buyers are seeking large family Kiserian spiked by 2.48 percent between July houses where they can create office spaces to September 2021. Satelite areas will keep as working from home has become a norm on attracting residents in 2022. We have post-pandemic. Bigger houses are also ideal witnessed major growth in the sale of lands in for Kenyans who have families as they can Ruiru and Kamakis areas. Infrastructure like the accommodate them and also offer them an Thika superhighway and other bypasses have opportunity to work from home. People also opened such areas, coupled with affordable [16] Issue #005 MARCH/APRIL 2022 | | Digital Copy

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Miliki Plot Polepole @Ksh300 Daily with Blessmarked Blessmarked Real Estates Limited deposit for the desired project in which case last a lifetime. It’s an effective way for those (BREL) is a duly registered company the buyer will continue paying till the project who have never invested their money before in the Republic of Kenya. The balance is cleared. to start. Setting aside a couple of shillings company is registered to trade in every other day is not a major expenditure. Real Estates business. BREL continues Investing isn’t just reserved for folks with a lot However, over a prolonged period, it can to experience tremendous growth since of extra cash lying around, although it can add up to a considerable sum. It develops inception and we are projecting exponential seem like it sometimes. Investing can be for a lifelong saving habit in people without growth both in short-term and long-term. As a everyone. making thrift a compulsion. company, we are working on a plan to have accelerated growth for the next -3 years. In Miliki Plot Polepole you invest small amounts Affordable and Flexible. One does not need This period will see an increase in projects of money on a daily basis so that it adds up a strong cash balance or valuable assets to started and delivered and at the same time to a larger investment enough to buy you start a savings account. Daily or bi-weekly grow our client base exponentially through land over time. The premise is simple: If you deposits of spare change are all that is the Miliki Plot Polepole program. make small, frequent contributions over time required for one to build up a steady saving. into an investment portfolio, you have the Miliki Plot Polepole is specially targeted Most of the people at the base of our potential to buy into a big project that you towards technology-driven youth who wish economy would like to own a piece of won’t have afforded in one go. to accumulate steady savings but lack the land, but they may not afford to raise the funds to do so. Overall, Miliki Plot Polepole money at one go. Blessmarked has grafted Who is Miliki Plot Polepole best for? Lower- works for both small and moderate investors a payplan where the likes of Mama Mboga, income individuals or people with irregular who want their money to work harder. bodaboda and juakali people can be incomes who cannot put together large It doesn’t always take a large amount of paying daily via Mpesa. With a minimum amounts at a time need a convenient money to invest for the future. Through of Ksh300 daily for one year, someone can alternative method of buying a big project. Miliki Plot Polepole, you can begin investing comfortably pay for a 100K plot. This allows buyers to build their savings without without altering your lifestyle and access the worrying about raising large amounts. investments you want easily and affordably. Blessmarked has made the Miliki Plot Polepole process very simple. At the start, Benefits of Miliki Plot Polepole For More details to get started in Miliki Plot we will create you an account on our It’s convenient. Miliki Plot Polepole requires Polepole now, call Blessmarked Real Estates today online investment portal and then sign the minimal input on your part. You can start agreement. After that the buyer can start building an investment balance without on 0723221022 or 0794655522. paying for their plot daily via Mpesa Paybill. realizing it. You now can access investments Our office is at Mugen Plaza, Eastern Bypass, Ruiru From the online portal you can always view you otherwise wouldn’t have been able to your total amount paid towards the plot. afford. Money can be transacted from the Office #3 and #6 After one year, the buyer will be allocated a convenience of the mobile phone. plot within the projects that are going. In one Article written or curated by: year, the money paid will either be enough Establish a savings habit. Miliki Plot Polepole Tony Njoroge to pay for the full project or enough to pay will help create positive saving habits that +2547723221022 [18] Issue #005 MARCH/APRIL 2022 | | Digital Copy

MILIKI PLOT POLEPOLE @300 Daily REGISTRATION Give your details; Full names, ID Number and Phone and you will be registered in Miliki Plot Polepole System DOCUMENTS WELCOME TEXT Finally, the issuance of the Title Deed You will recieve welcome message will mark the end of the journey and with instructions and account the client can start the journey again. payment details Our prices many times don’t include title fees. They are separa ALLOCATION MILIKI PLOT EASY START PAYING At the end of payment year cycle, the Start paying on Mpesa Paybill for your clients will be allocated their plots STEPS plot daily. Everytime you make a either as fully paid or the amount payment, you will receive a message paid be marked as deposit for the from Blessmarked showing total allocated plot payment PROJECT TOUR TRACK PAYMENT Before the actual allocation, we take Once you start paying, you can track the clients for site visit to familiarise your payment from Miliki online with the project site portal and access your statement anytime. CLEAR PAYMENT Essentially, you have one year to clear payment of the targetted amount 100K by paying 300 daily Blessmarked Real Estates Limited Mugen Plaza, Eastern Plaza, Ruiru Office #3 and #6 [email protected]

How difficult is the The lawyer submits the documents to the property purchase Lands Office to be able to register the process in Kenya? transfer, including the original title held by the seller, clearance certificates, consent Foreigners can buy ´commercial class´ been chosen and a price is agreed upon, transfer and the form for valuation for stamp land in Kenya. This type of land is for the lawyer prepares a sale agreement as duty. At the same time, the buyer settles the income or revenue-making purposes. a conditional preliminary contract, signed remaining balance with the vendor. Taxes Foreigners are allowed to acquire this by both parties. Upon execution, the buyer and lawyer fees are paid within 30 days from and build on it. pays a deposit of 10% to 30% of the purchase closing. price, which is usually refundable if the seller It is possible to purchase in Kenya without ´Agricultural land´ or farm lands cannot be defaults on the transaction. being in the country. One can assign a acquired by foreign individuals. ´Agricultural lawyer to go through the whole process land´ is usually owned by indigenous people. Closing is usually within 90 days from signing. on the buyer’s behalf through a power of If purchase is made through a company During this time, the seller must obtain a attorney. The whole process for the titling of - the majority of which must be Kenyan- clearance certificate from the municipality. the property can typically be completed in owned - then it is allowed. The land will be This is presented to the buyer to ensure that around 72 days. bought under the company’s name. There all local taxes and utility bills have been are freehold and leasehold types of land. settled. The lawyer then files a Draft Transfer Article written or curated by: Mostly, land in Kenya is government-owned. at the Lands Office and the stamp duty is MyProperty Editorial Team This can be leased for 50 to 99 years. paid. An official from the Ministry of Lands will come to inspect the property, verify its +254746222433 The first step to purchasing property in Kenya condition, and make sure that the sale price [email protected] is to hire a real estate lawyer. A title search is in accordance with its actual value. These on the property is very important as many steps will take approximately two to four areas are not registered. Once property has weeks to complete. [20] Issue #005 MARCH/APRIL 2022 | | Digital Copy

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8 Rock-Solid Reasons Why You Should Be Investing in Land The simplicity and stability that comes 3) Land Investors Have Very Little it at all) and property taxes are extremely with owning the right piece of land, Competition to Deal With. cheap. If you want to park your cash purchased at the right price, can far Are you tired of dealing with such stiff somewhere and forget about it, vacant outweigh the myriad of problems competition on every property you try to land could be exactly the investment that come with any other type of buy? Are you sick of getting outbid on vehicle you’re looking for. real estate. If you’ve overlooked raw land every good deal you’re lucky enough as a viable investment opportunity in the to find? Well, guess what, there is very 7) Land Gives its Owner Peace of Mind. past, you need to take a few minutes little competition in the world of raw Think about it – land is a long-term, and get educated about what land is all land investing. You see, most real estate tangible asset that doesn’t wear out, about! investors have their minds stuck on things doesn’t depreciate, and nothing can get like houses, apartments, commercial broken, stolen or destroyed. Put all of these Here Are 8 Reasons You Should Be Investing property and the like – because that’s benefits together with your ability to buy it in Land: what everyone else does. Most investors for next to nothing and can you think of a don’t understand the superior benefits better combination? 1) With Vacant Land, You Don’t Need to that come with land and this can definitely “do” Anything to the Property. play to your advantage. 8) They Aren’t Making Any More of It. Forget construction! Forget renovations! Most people don’t think of vacant land You don’t need to be an expert or know 4) Land Investors Call Their Own Shots. this way, but the reality is that land is an anything about how to rehab a property When you buy vacant land the right way, extremely valuable resource with limited yourself. In most cases, you really only need it’s easy to buy each property with your quantities available. Especially when you to know one thing: “Is the property suitable own cash and completely avoid dealing purchase land in the path of growth, you for building?” As long as someone else can with banks and mortgage companies. It will find yourself with a finite asset that a lot build on the land if/when they want to, a requires very little start-up capital to get of other people want to get their hands huge part of the battle is already won. your business up and running. on. If you go into this with the intent of 5) When You Learn How to Research holding the right property for the long- 2) Raw Land is a “Hands-Off” Investment. Properties Effectively, you can Buy and term, it can make a lot more sense (and Have you had enough of dealing with Sell Vacant Land Properties Without Ever be a lot more profitable) than any other tenants, toilets, bugs, mold, lawn care, Seeing Them In-Person. retirement vehicle out there. leaking roofs, bursting pipes, broken furnaces, and the hundreds of other issues 6) Land is Very Inexpensive to Own as a Article written or curated by: that come with owning buildings? Vacant Long-Term Investment. MyProperty Editorial Team land doesn’t involve ANY of those things. When you buy a piece of land for the right Once you buy it…it sits there, it behaves price, there are no mortgage payments +254746222433 itself, and nothing happens. to make, no utility bills to pay, the cost of [email protected] property insurance is nominal (if you have [22] Issue #005 MARCH/APRIL 2022 | | Digital Copy

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5 Building Technologies Spurring Affordable Housing in Africa The housing deficit in most sub- 1. Expanded Polystyrene (EPS) Technology Their use is applicable in residential Saharan countries, especially in Housing contractors are opting for buildings, schools, office blocks urban areas, is a major concern cost-effective ways to build homes among other structures. for governments. In Kenya for and still maintain a high standard of instance, the estimated housing workmanship. EPS panels are precast 2. Interlocking Stabilized Soil Bricks (ISSB) shortfall is 2 million units. Economists and housing components made in factories This simple but effective modification of urban planners agree that these statistics and transported to building sites for the popular mud bricks has the potential are a major cause of substandard assembly. This modern prefabrication of increasing affordable housing units. The housing policies that ultimately lead to technique is gaining popularity in sub- difference between ISSB and normal bricks the emergence of shantytowns. Most Saharan countries because of the is in the preparation process. Whereas dwellings in these informal settlements obvious advantages for the builders and conventional bricks have to go through are typically single-room structures with homeowners. an elaborate molding and kilning process, inadequate ventilation and amenities. Key Benefits ISSB uses a simple compression machine Consequently, any government that • Quick Construction – Since all the and easily accessible ingredients. All wants to tackle this menace must create that’s needed is rich moist soil, some more affordable housing units. You will panels are pre-made, the majority of bags of cement and a pressing machine. still find overpriced-houses with empty the work on the building site involves With these few components, builders rooms in some of these cities. However, the assembly of the components. can make hundreds of bricks a day. The those who need sheltering cannot afford This is a relatively easy task that process requires some training to ensure them. This further emphasizes the need for can significantly cut down the the soil and cement are in a homogenous affordable housing. Different governments construction time. mix and in the right proportion. across the continent are taking steps to • Cost-Effective – on average, the Key Benefits provide a conducive environment for cost of building using EPS panels is • Ease of Access – Materials for this innovative housing technologies to thrive. approximately 25% cheaper than This will help in bridging the housing deficit conventional brick and mortar form of bricks are readily available. while enabling lower-income earners to structures. Thus, the end product will • Simplicity – Requires basic access decent affordable housing. Here be more affordable housing. are some building innovations that are • Durable – Skeptics may doubt brickmaking training. likely to cause a paradigm shift in Africa’s the quality and stability of EPS • Reduces transport costs – Bricks can construction sector. components. However solid research has proved that despite being lighter be made onsite. than bricks, EPS panels are sturdy. • Economically viable – Significant cut in cost and time in comparison to [24] Issue #005 MARCH/APRIL 2022 | | Digital Copy

conventional brickmaking methods. using this material to manufacture precast the amount of time it takes to panels that are then fitted together at complete structures. 3. Klevabrick the construction site, resulting in a robust • Guaranteed durability – The materials This one-of-a-kind building technology finished structure. are solid, therefore, it can withstand involves the use of specially crafted bricks Key Benefits human and environmental forces. that do not require mortar as a binding • Reduces construction costs – This • Eco-friendly – Encourages the agent. During construction, the bricks construction of ‘green’ buildings. are joined together using a proprietary method significantly cuts down the bolting technology that facilitates wall costs and duration of construction. Conclusion construction. This affordable building This leads to more affordable housing No government can solve Africa’s huge option has taken root in South Africa and units. housing deficit problem in a day. However, is spreading across the continent. • Guaranteed durability – Fiber cement by formulating policies that encourage Key Benefits is sturdy and resistant to termites, fire, the construction of affordable housing • Cost reduction – The absence of and rot. units using nonconventional materials, • Custom-made options – Can African governments can achieve this mortar and reduction in the workforce easily be customized to suit various goal in the nearest future. While we talk translates to more affordable housing preferences. about what the government should units. do, another important question comes • Reduces transport costs – Bricks can 5. Light Gauge Steel Construction to mind; will those that need sheltering be made on-site. In most parts of Africa, building a modern accept these nonconventional housing • Easy transfer of skills – Semi-skilled dwelling requires plenty of wooden units? workers can easily be trained to build beams which can be costly to the using this method. environment. A cheaper and arguably Article written or curated by: • Durability – The bricks are sturdy and more durable option is light gauge steel. MyProperty Editorial Team crack-resistant. They come in different sizes and shapes for the construction of housing frames, walls, +254746222433 4. Fiber Cement Prefabbing and floors. This is also a more eco-friendly [email protected] Fiber cement is a composite building form of construction because it drastically material that is useful for both domestic reduces the pressure on timber use. and commercial construction. It consists of cement that is reinforced using cellulose Key benefits fibers. Prefabrication companies are now • Time-saving – Significantly reduces Issue #005 MARCH/APRIL 2022 | | My Ideal Property Magazine [25]

There is No Real Estate Bubble in Kenya Real estate bubble refers to an and credit sector performance due to the help meet pressing demand, ii) enforcing increase in property prices in the high number of defaulted loans. collaterals when giving loans, iii) economic market due to increased demand growth support policies to avoid over against limited supply, and an Despite the rising prices over time, the reliance on debt for home ownership, and, eventual slump in the demand for Kenyan real estate market has not been in iv) aggressiveness and innovative solutions in the properties in what is called a ‘burst’. This a bubble, since demand in the country is provision of affordable housing. demand arises due to increased investors’ supported by fundamentals as opposed to need to place huge funds in the real estate speculation. Some of these fundamentals There lacks a possibility of unsustained sector, majorly borrowed funds, based on include; i) increase in population from 38.6 demand that is likely to exceed current speculation that the rising prices will keep on mn people in 2009 to 47.6 mn persons in supply in the country and the rapid rise and rising with hope of generating higher returns. 2019 according to Kenya National Bureau fall of prices is attributable to interactions of of Statistics, ii) low credit supply from the forces of demand and supply in the market. A real estate bubble is usually characterized high number of non-performing loans which Opportunities of investments in the real by inflated property prices, increased uptake recorded a 6.4% q/q increase in Q4’2020 estate sector therefore exist, and investors of debt and increase in property demand. leading to lenders exercising a more can take advantage of the high returns From our research, some of the causes of a conservative approach while giving loans, iii) recorded in select themes and areas. real estate bubble include; i) wider mortgage real demand for housing currently at 2.0 mn offerings, ii) access to cheaper credit, iii) units and growing by 200,000 units annually, Article written or curated by: overall increase in housing demand against and, iv) higher increase in income levels Anthony Wawira limited supply, and, iv) bullish speculations compared to increase in housing prices Cyton for the real estate property market. indicating that there is still room for property prices to grow and match the increase in A real estate bubble has adverse effects on property prices. news/there-is-no-real-estate- any economy such as; i) decreased home From above it is clear that the real estate ownership rates due to unaffordability, ii) sector is not in a bubble but is experiencing bubble-in-kenya declined property development activities as normal sector cycles in line with the economic investors seek to dispose available property, cycles. However, to prevent a real estate iii) reduced property investment returns from bubble in the future we recommend below the bubble burst, and, iv) poor mortgage measures; i) public-private partnerships to [26] Issue #005 MARCH/APRIL 2022 | | Digital Copy

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Rethinking real estate amid Covid-19 impact The Covid-19 pandemic has impacted was that landlords were building units with bricks and mortar footprint. many industries in Kenya, including real smaller spaces. A report by the Kenya National estate. It has not been business as usual Bureau of Statistics (KNBS) 2020 showed Office Space as tenants, landowners and developers developers were targeting low-income earners The lockdowns imposed as part of containment alike have been forced to rethink the in a rush to attract tenants, with 3,940 one-room measures made many companies realize how value they want to get out of property be it units built in the city in 2019 alone. effective remote working can be for both the profitability, livability and most importantly employers and employees. The pandemic safety. Since the pandemic, a number of trends With the pandemic that saw many people lose will change the way office space is utilized. have emerged in the sector. their jobs and unable to pay rent, tenants looked Commercial office properties may consider to downsize to more affordable living quarters. leasing out their office space as serviced offices Land Transfers to attract budding SMEs and international Data from the Ministry of Lands and Physical This only drove the craze by the landlords moving companies in the wake of reduced occupancies Planning shows that land transfers decreased to construct more single-rooms, bedsitters and in traditional offices. by almost half in 2020 as compared to a similar one-bedroom units that are appealing to the period in 2019. There were 3,988 transfers in 2020 masses. With the recovery of the economy Virtual Reality compared to 6,162 the previous year. The land and the adoption of remote work, housing With restriction of movement in the Covid-19 transfers were lowest in March when the first units that are easily transformed to working pandemic, physical house hunting became case of Covid-19 was reported in the country. areas will be attractive to potential customers. nearly impossible. This saw property developers However, land transfers increased significantly Whereas smaller units may perform well with take up virtual reality to showcase their houses in August 2020. Analysts opine that the transfers low-income earners, spacious apartments that to potential clients. Potential buyers can now observed from the last quarter of the year were accommodate a work, live-play lifestyle will also take virtual tours from anywhere in the world. from backlogs caused by the pandemic. At the pick up among the middle-class. Not only do they save endless hours spent same time, leases and subleases also increased commuting between various properties, they as the year progressed. Revision of Land Rates In Nairobi are also not restricted by borders. Technology Owning land in Nairobi is about to become an will continue to make the real estate industry Buying Habits of Wealthy Kenyans even more expensive affair, with landowners easier to navigate. During the pandemic period, buying habits of expected to pay higher rates. A proposal by the super-rich have also shifted. According to a City Hall seeks to revise the valuation of land Next Steps recent wealth report by Knight Frank released from the current Valuation Roll of 1982. The new Real estate leaders will be defined by what in February 2021, wealthy Kenyans are seeking rates will be based on between 0.1 and 0.115 they do in the medium term to manage crisis, second homes away from the traditional posh percent of the current value of undeveloped respond, recover, and thrive with respect to estates such as Kileleshwa, Runda and Kitisuru land. partnerships with the national government in Nairobi in search of more privacy, outdoor and county governments to develop more space, and areas they can acquire at lower Retail Industry affordable housing units; prioritizing safety and prices. The rich Kenyans have been observed to During the period, consumer behaviors have wellbeing of people and tenants; short-term be relocating to Tigoni in Kiambu County and changed, with many taking to online shopping. liquidity needs; remote working considerations, Miotoni in Karen, Nairobi. They are also said to be This has in turn led retailers to rethink their including, location and access to information, fleeing the congested estates, citing likelihood strategies away from the brick-and-mortar internal controls, and information technology of contracting Covid-19 as the virus spreads plan. In adopting a hybrid system where they resource constraints. rapidly among people living closely. With the develop their online presence as well as grow growing trend, the two towns have been listed the delivery capacity, retailers have gone to Article written or curated by: among the top towns that will develop in the rent spaces which are considered central such Muriithi next few years as the homes purchased are the Nairobi CBD to fulfill orders conveniently spacious and give them flexibility to convert while having their bases in areas with cheaper Head of Sales and Marketing, spaces into home offices. rent. We expect to see more retailers taking a Centum Real Estate hybrid approach to expansion and market entry Landlords Building Smaller Houses going forward, by combining online platforms A trend observed before the corona pandemic and delivery channels with a smaller traditional [28] Issue #005 MARCH/APRIL 2022 | | Digital Copy


Trends In The Real Estate Sector In Kenya That Will Stay Beyond 2021 2021 has been about resilience The disruptions in the supply chain and the government has ongoing projects as real estate companies in economic recession further fortified the in Nairobi, Machakos, Kisumu, and Kenya strive to recover from need for organizations to re-evaluate Mavoko. Some of the affordable housing the ravages of the COVID 19 their working models. Organizations projects in Nairobi in areas such as Ngara pandemic. The real estate will continue to find ways of reducing and Park Road have been completed. sector remains a key player in the their overheads by seeking affordable According to a report by the Kenya country’s economy. According to an options and adapting work from home National Bureau of Statistics, six out of ten industry report earlier this year, the models. Kenyans found themselves in a precarious sector’s contribution as of 2016 was situation brought about by the inability 13.8%, up from 12.6% in 2012. Amidst 2) Holiday stays will keep evolving to raise rent during the pandemic. the economic uncertainty, there are Traditionally, holidays were for sandy This has made it clear for thousands of emerging opportunities as work, life and beaches, road trips, and nyama Kenyans that owning a home is not a holidays evolve beyond the pandemic. choma at hotel lodges or resorts. As goal that should be postponed until Homes have become central tenets in Airbnb becomes a popular option for retirement age. Affordability is key for the live-work-play lifestyle that has been holidaymakers, more Kenyans are taking the thousands of Kenyans looking for an thrust to the fore by the pandemic. We advantage of the opportunity it offers. opportunity to own a home. While there gaze at our crystal ball and predict that An industry report showed that Africa was a 1.4% decline in the demand for the following trends will persist beyond is the fastest growing market on Airbnb residential homes in the year 2020, the 2021: with Kenya recording a 68% increase in year 2021 has seen various segments of bookings. For investors looking for land the Kenyan population actively pursue 1) Uptake of office space is likely to that can make them passive income, opportunities to own a home. Satellite continue shifting significantly the opportunity lies in acquiring and towns such as Ngong Town continue It has been reported that there was a developing land in areas such as Ngong, to attract young and old investors. 68% recession in the demand for office Rongai and Kajiado. The infrastructural developments in space in Kenya in 2020. This happened these towns characterized by the as the government sought to contain 3) The need for residential homes will development of roads, electricity, the spread of COVID 19 in the country by continue growing and other amenities have made them instituting curfews, lockdown measures, The provision of affordable housing is attractive for potential homeowners. and encouraging employers to allow one of the pillars of the Big 4 Agenda. their employees to work from home. Through public-private partnerships, [30] Issue #005 MARCH/APRIL 2022 | | Digital Copy

4) The demand for land will continue to projects such as Ngong Road has led to customer experience, Kenyans are grow the increase in the prices of residential increasingly purchasing land through Land proved to be a resilient asset even units in areas near the central business digital platforms. This has particularly as the pandemic sent the economy district. This presents a golden opportunity been appealing to Kenyans living in the into disarray. Reports indicate that there for investors to capitalize on peri-urban diaspora who are seeking opportunities was a 2.3% annual capital appreciation areas such as Kajiado and Kimuka to invest in land. The Ministry of Lands in the sector in 2020. With the ongoing which are on the fast track towards has also made the land acquisition expansion of major highways such as development. Devolution has made process more transparent by providing Waiyaki Way and the Nairobi Expressway, counties become viable investment a digital portal that allows landowners it is expected that the demand for land options for residential units by expanding to conduct a land search, transfer in the country will continue to grow. access to amenities such as power, property and obtain a title deed. Due Kenya boasts of a significant annual water and roads. The Kenya Mortgage process remains a key component urbanization rate of 4% p.a which is Refinance Corporation provides saccos, of land transactions even with these higher than the global rate of 1.9%. The microfinance institutions and banks advances. Real estate companies in the population growth rate of the country is with long-term funds that allow them to sector need to ensure they deliver value, 1.1% above the global average making provide accessible loans to potential quality, and affordability. it a potential hub of economic growth. homeowners. This is likely to enhance A relatively young working population homeownership in the country even as Are you seeking a trusted real that is investment savvy will continue to the government drums up support for the estate company that delivers value, drive the growth in the demand for land. affordability of homes as part of the Big 4 affordability, and quality? Contact us Satellite towns such Kimuka and Ngong Agenda. While investors may be cautious today and let us guide you. remain appealing to potential investors. because of economic uncertainties, the Kimuka has the fastest appreciating land vulnerabilities exposed by the pandemic Article written or curated by: prices while land prices in Ngong have and resilience shown by the middle class By Corazon Achieng. been on a double-digit growth trend may drive up the willingness to take up Olive Limited over the years. affordable residential units. 5) The demand for affordable residential 6) The future of real estate is digital units will continue to grow As real estate companies revamp The completion of major highway their strategies to enhance their digital Issue #005 MARCH/APRIL 2022 | | My Ideal Property Magazine [31]

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