7 cities where buyers are rushing to buy land

Seven towns located in the Nairobi Metropolitan Region, which includes Nairobi, Kajiado, Kiambu and Machakos counties, saw significant increases in land values ​​following an increase in the number of land buyers between July and September – the third quarter of the year.

Hasconsult in its third quarterly report released on October 22, it reported that land prices in Nairobi’s Limuru, Kiserian and Parklands towns had increased. Other towns located in the national capital where land prices have increased include Mlolongo, Thika, Kileleshwa and Langata.

According to the report, Parklands, which had surge in development activity for both commercial and residential developments over the past two years, the market has led the way with land prices rising by 3.4 percent to an average of KSh434.2 million per acre.

The cities of Langata and Kileleshwa also performed well, with growth of 2.9 percent and 2.8 percent respectively, with the study showing demand for land has shifted towards cities that support apartment buildings in a market that remains price sensitive in a tough market. economy.

In Nairobi’s satellite towns, land prices in Mlolongo, Thika and Kiserian increased by 6.6, 6.3 and 4.7 percent respectively. In its report, the agency noted that the rise in land prices in the above-mentioned cities was facilitated by the upcoming infrastructure development in the area.

In particular, land prices in Mlolongo continued to improve due to easier access to the city via the Nairobi Expressway, and the mix of residential and industrial areas helped support demand for land in Mlolongo.

Meanwhile, in Thika, the Kiambu County Government’s recent announcement of a new master plan to transform the city into an industrial smart city has seen developers rushing to acquire land in anticipation of a potential surge in demand for housing and commercial space in the area.

Kiambu Governor Kimani Wamatanga’s plan also calls for more roads to be built that will open up the outskirts of Thika to commercial development, creating new jobs that will attract demand for residential housing.

“The leading suburbs in quarterly land price growth have become the city’s hot spots for residential and mixed-use development, hence the demand-driven price increases,” said Sakina Hassanali, head of development consulting and research at the company. HassConsult.

“However, land prices in satellite towns are more dynamic compared to suburban areas due to evolving development plans and the impact of new infrastructure on buyer behavior,” she added.

Rising land prices in these seven cities were largely supported by rising demand for land for new projects as the real estate sector continued to recover from a long slump.

Land prices in the cities in question rose more than one percent in each of the last four quarters, breaking the previous streak of 26 consecutive periods of growth of less than one percent.