Q4. 2018 Highlights
Development needs driving localised land price surges as market becomes more sophisticated
- Overall, land price growth slowed across 2018, most significantly across Nairobi's suburbs, which saw price rises of 1.1 per cent for the full year.
- Similarly, prices in satellite areas rose 3.7 per cent in 2018, compared with 5.43 per cent in 2017.
- But growth has become more localised, with overall growth driven by strong rises in areas of intensive ongoing development or immediate development potential.
- This saw prices in Juja rise 16.5 per cent over the year, and in Gigiri by 10.6 per cent.
- The area of sharpest price take off in the fourth quarter of 2018 was Mlolongo, where prices rose by 4.6 per cent in the last 12 weeks of the year.
- These development drivers see Nairobi land continuing to outperform global asset classes, in a year when the prices of both gold and oil declined sharply.