Towns Where Land Price Increases by Millions Every 3 Months

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  • Every three months, the Hass Land Index is published showing the asking price changes of development land values in Nairobi and its satellite towns.

    kenyagist.com analysed these quarterly reports dating back to January 2017, revealing some of the towns and estates that have seen the biggest spike in terms of land value.

    For example, in January 2017, an acre of land in Donholm Estate (Nairobi) was selling at Ksh63.9 million per acre. 

    By December 2020, a similar-sized parcel of land in the same neighborhood was selling at Ksh70.8 million (a Ksh6.9 million increase).

    File image of Donholm Estate, Nairobi
    File

    Another town that has seen a significant rise in land prices is Ruaka which started out in 2017 and 2019 with an acre of land going for Ksh80.5 million and Ksh87.6 million respectively.

    By December 2020, an acre of land in Ruaka was retailing at Ksh90.2million, registering a Ksh9.7 million spike in just under 4 years.

    In Nairobi County, Muthaiga proved to be a talking point in 2019 due to an inexplicable rise in land sale prices within a 3-month period.

    As of January 2019, an acre of land was pegged at Ksh148.2 million, however, just three months later the same piece of land was selling at Ksh175 million (increasing by Ksh26.8 million).

    By December 2020, an acre of land in Muthaiga was selling at Ksh185.2 million.

    Other satellite towns worth noting include Ngong where an acre was fetching Ksh18.4 million by the end of 2017, only to rise to Ksh23.7 million by December 2020.

    Juja, Mlolongo, Ongata Rongai, and Kitengela all registered similar increases (Ksh2 million-plus) over the period.

    Kiambu County has in the last decade seen the most intense development in infrastructure, which put the county into a bracket of investment that is in a league of its own – attracting institutional investors such as insurance companies, SACCOs and real estate developers who have bought large parcels of land for subdivision and further speculation.

    However, experts stated that land prices in the county (Kiambu) are moving towards a maximum of what the development market can bear until a hike in economic activity is registered allowing for property prices to rise further.

    Under the suburb areas, Upperhill has the most expensive land with an acre selling at Ksh509.9 million (December 2020), closely followed by Westlands where a similar-sized piece of land was selling at Ksh420.2 million.

    The land price indices serve as an indicator of trends, showing an average asking price per acre. It covers 32 suburbs and towns within the Kenyan capital.

    Nairobi Expressway under construction in Westlands, Nairobi
    Nairobi Expressway under construction in Westlands, Nairobi
    File
  • Source: KENYAGIST.COM

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