Kenya's residential market booms: opportunities and challenges ahead
Kenya's residential market is experiencing remarkable growth across the income spectrum, driven by increasing demand from local buyers, expatriates, and international investors.
This segment has become a focal point for developers and stakeholders seeking to capitalize on Kenya's evolving real estate landscape.
Kenya's housing market is divided into two segments: the luxury and affordable market.
On the luxury end of the residential market, Kenya's growing number of high-net-worth individuals and expatriates are driving demand for premium properties in exclusive neighborhoods.
This demand for premium properties is driven by affluent buyers, with projections indicating further growth to 16,900-dollar millionaires by 2026, according to the 2024 Africa Wealth Report published by Henley&Partners in collaboration with New World Wealth.
Nairobi ranks among the top cities globally for luxury real estate price growth, and in some cases, it has outperformed cities like London and Paris.
The dynamics of Kenya's high-end residential market will be explored during the upcoming East Africa Property Investment (EAPI) Summit, a premier real estate event that brings together over 450 global investors, developers, and professionals from the real estate industry. The 12th annual summit will be held in Nairobi from 7 to 8 May 2025, at Pullman, Upper Hill. This year's EAPI Summit will explore how developers and investors can capitalize on investment opportunities in countries such as Tanzania and Zanzibar, Kenya, Uganda, Rwanda, and Ethiopia. These countries are showing promising signs of economic recovery, improving political stability, and stabilizing interest rates.
Real estate experts will unpack investment opportunities in Kenya's high-end residential market. Institutional investors and development finance institutions are increasingly paying more attention to the country's residential market as they are funding several development projects and have ambitions of developing good neighborhoods. These investors continue to fund mixed-use developments that combine residential spaces with retail and leisure facilities, attracting younger buyers seeking modern living solutions.
Its financial solutions include mortgage financing to cover the property sale price plus closing costs like stamp duty and legal fees; financing for residential property construction; funding products targeting Kenyans seeking affordable housing solutions; cost for residential plots in major towns; and blended finance options for sustainable and affordable student housing.
Stanbic Bank/Standard Bank is committed to supporting sponsors that are addressing Kenya's housing needs while promoting sustainability and economic growth in the real estate sector. This is why Stanbic Bank is supporting this year's EAPI Summit as a gold sponsor.
While the luxury end of the residential markets remains shaped by location, size of the unit, and breadth of features that align with buyer tastes and aspirations, Stanbic Bank believes that the luxury segment is not starved of attention from investors. However, the affordable housing market remains neglected.
And because of this, the financial service company is choosing to back the affordable/middle-income housing segment, where the demand remains strong and impact benefits are richer.
'In that segment, factors shaping the evolution of successful projects are the proximity of projects to key business hubs, accessibility to transport networks, and quality of offering trade-offs relative to price point. It is useful to highlight that the demand in a large section of this market segment is driven by the rental markets and the retail and institutional property investment markets,' says spokesperson Niyi Adeleye, the head of real estate finance for Africa regions at Standard Bank Group, which is part of the Stanbic Bank.
The Stanbic Bank/Standard Bank's sponsorship will enable investors to understand Kenya's residential market over the two days scheduled for the EAPI Summit, connecting them with industry experts. The financial services company will back investors aligned with its mandate of investments in the affordable housing market.
'For Standard Bank/Stanbic Bank, our interests remain to actively participate in and contribute to the development and shaping of the built environment in key countries in our footprint of which Kenya is key. Our activities provide opportunities to participate in projects with significant social impacts and deepen environmental impacts in collaboration with the project sponsors through the development of green-rated properties and our provision of green loans to back those developments. In addition, these projects help shape the property evolution of the cities and countries to improve livability and the growth and availability of more robust social infrastructure,' says Adeleye.
Despite the growth potential of Kenya's residential market, it faces notable hurdles.
Real estate developers struggle with access to long-term financing due to high interest rates and stringent lending requirements, leaving them with limited financing options for residential projects.
There are also land tenure issues, with legal disputes over land ownership that can delay projects and increase costs for developers. Another conundrum is that the demand for residences and luxury homes often outpaces supply, which creates competitive pricing pressures.
At the EAPI Summit, there will be leading experts helping potential investors navigate through these challenges. Among the experts set to be in attendance is Hass Consult, a company offering high-end homes for sale all over Nairobi. To demonstrate its commitment to helping investors, Hass Consult has joined Stanbic Bank as a sponsor of the EAPI Summit.
Hass Consult is bullish on Kenya's housing market, particularly the luxury segment.
Farhana Hassanali-Hashmani, the CEO of Hass Consult, says Kenya's luxury housing market is increasingly opening to global buyers.
'As East Africa's economic and cultural hub, the city is increasingly attracting a global, more sophisticated consumer— one who has been exposed to premium real estate and world-class hospitality standards. This demographic, which includes a growing number of expatriates and globally mobile Kenyans, brings with it elevated expectations for quality, design, and lifestyle,' says Hassanali-Hashmani.
This global influence has translated into a significant increase in the willingness to pay for luxury and value-added amenities, says Hassanali-Hashmani.
She adds that property developers now have more latitude to invest in high-quality finishes, curated experiences, and thoughtful design that elevates not just the property, but the lifestyle it enables.
'Today, luxury is not solely about the physical asset; it's about the entire user experience. Homeowners and investors are looking for developments that offer seamless living—from top-tier management to integrated wellness facilities and thoughtfully designed communal spaces. The emphasis on lifestyle is now central to how value is perceived and how capital growth is sustained.
'There's a strong and growing demand for developments that offer world-class lifestyle amenities—spaces that speak to health, wellness, and fitness, all delivered through a refined user experience. Residents are looking for environments that support balance, well-being, and
convenience, echoing global trends in urban living,' says Hassanali-Hashmani.
There's also a significant shift in the demographic of buyers in the luxury housing market.
Says Hassanali-Hashmani: 'Luxury is no longer confined to the older, ultra-wealthy buyer purchasing sprawling homes. We're seeing a diverse mix of younger, aspirational buyers who are investing in compact yet premium residences—where quality, convenience, and lifestyle matter more than square footage.'
Buyers are also more environmentally conscious and are actively seeking housing developments that are eco-friendly, energy-efficient, and built with a responsible footprint.
Whether it is the affordable or luxury housing market, Stanbic Bank and Hass Consult remain positive about Kenya and will explore opportunities at the EAPI Summit.
The 12 th East Africa Property Investment Summit meeting will take place on 7 and 8 May 2025 at Pullman, Upper Hill, Nairobi, Kenya. For more information and to book to attend the EAPI Summit visit https://EAPISummit.com.
Distributed by APO Group on behalf of API Events.
Distributed by API Events:
EAPI Summit enquires:
Murray Anderson-Ogle
Murray@apievents.com
+27 71 890 77 39
Website: https://www.APIEvents.com
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Khaleej Times
a day ago
- Khaleej Times
'No deal': Trump-Putin summit yield no breakthrough on Ukraine
A highly anticipated summit between US President Donald Trump and Russian President Vladimir Putin on Friday yielded no agreement to resolve or pause Moscow's war in Ukraine, though both leaders described the talks as productive. During a brief appearance before the media following the nearly three-hour meeting in Alaska, the two leaders said they had made progress on unspecified issues. But they offered no details and took no questions, with the normally loquacious Trump ignoring shouted questions from reporters. "We've made some headway," Trump said, standing in front of a backdrop that read, "Pursuing Peace." "There's no deal until there's a deal," he added. The talks did not initially appear to have produced meaningful steps toward a ceasefire in the deadliest conflict in Europe in 80 years, a goal Trump had set ahead of the summit. Stay up to date with the latest news. Follow KT on WhatsApp Channels. But simply sitting down face-to-face with the US president represented a victory for Putin, who had been ostracized by Western leaders since Russia's full-scale invasion of Ukraine in 2022. Following the summit, Trump told Fox News' Sean Hannity that he would hold off on imposing tariffs on China for buying Russian oil after making progress with Putin. He has targeted India, another major buyer of Russian crude, with an additional 25% tariff on U.S. imports. "Because of what happened today, I think I don't have to think about that now," Trump said of Chinese tariffs. "I may have to think about it in two weeks or three weeks or something, but we don't have to think about that right now." Trump has also threatened sanctions on Moscow but has thus far not followed through, even after Putin ignored a Trump-imposed ceasefire deadline earlier this month. In the Fox News interview, Trump also suggested a meeting would now be set up between Putin and Ukrainian President Volodymyr Zelenskiy, which he might also attend. He gave no further details on who was organizing the meeting or when it might be. Putin made no mention of meeting Zelenskiy when speaking to reporters earlier. He said he expected Ukraine and its European allies to accept the results of the U.S.-Russia negotiation constructively and not try to "disrupt the emerging progress." He also repeated Moscow's long-held position that what Russia claims to be the "root causes" of the conflict must be eliminated to reach a long-term peace, a sign he remains resistant to a ceasefire. There was no immediate reaction from Kyiv to the summit, the first meeting between Putin and a U.S. president since the war began. When asked by Hannity what he would advise Zelenskiy, Trump said, "Gotta make a deal." "Look, Russia is a very big power, and they're not," Trump added. The war has killed or injured well over a million people from both sides, including thousands of mostly Ukrainian civilians, according to analysts. Rolling out the red carpet Zelenskiy has ruled out formally handing Moscow any territory and is also seeking a security guarantee backed by the United States. Trump said he would call Zelenskiy and NATO leaders to update them on the Alaska talks. As the two leaders were talking, the war raged on, with most eastern Ukrainian regions under air raid alerts. Governors of Russia's Rostov and Bryansk regions reported that some of their territories were under Ukrainian drone attacks. Ukraine's opposition lawmaker Oleksiy Honcharenko said on the Telegram messaging app, "It seems Putin has bought himself more time. No ceasefire or de-escalation has been agreed upon." The anticlimactic end to the closely watched summit was in stark contrast to the pomp and circumstance with which it began. When Putin arrived at an Air Force base in Alaska, a red carpet awaited him, where Trump greeted Putin warmly as U.S. military aircraft flew overhead. Putin is wanted by the International Criminal Court, accused of the war crime of deporting hundreds of children from Ukraine. Russia denies the allegations, and the Kremlin has dismissed the ICC warrant as null and void. Russia and the United States are not members of the court. The day before the summit, Putin held out the prospect of something Trump wants - a new nuclear arms control agreement to replace the last surviving one, which is due to expire in February. It was unclear if the issue was discussed on Friday. 'Counting on America' Zelenskiy, who was not invited to Alaska, and his European allies had feared Trump might sell out Ukraine by essentially freezing the conflict and recognizing - if only informally - Russian control over one-fifth of Ukraine. Trump had sought to assuage such concerns on Friday ahead of the talks, saying he would let Ukraine decide on any possible territorial concessions. "I'm not here to negotiate for Ukraine, I'm here to get them at a table," he said. Asked what would make the meeting a success, he told reporters: "I want to see a ceasefire rapidly ... I'm not going to be happy if it's not today ... I want the killing to stop." The meeting also included U.S. Secretary of State Marco Rubio; Trump's special envoy to Russia, Steve Witkoff; Russian foreign policy aide Yury Ushakov; and Foreign Minister Sergei Lavrov. Trump, who said during his presidential campaign that he would end the Ukraine war within 24 hours, conceded on Thursday it had proven a tougher task than he had expected. He had said if Friday's talks went well, quickly arranging a second, three-way summit with Zelenskiy would be more important than his encounter with Putin. Trump ended his remarks on Friday by telling Putin, "I'd like to thank you very much, and we'll speak to you very soon and probably see you again very soon." "Next time in Moscow," Putin responded. Trump said he might "get a little heat on that one" but that he could "possibly see it happening." Zelenskiy said ahead of Friday's summit that the meeting should open the way for a "just peace" and three-way talks that included him, but added that Russia was continuing to wage war. "It's time to end the war, and the necessary steps must be taken by Russia. We are counting on America," Zelenskiy wrote on Telegram.
UAE Moments
2 days ago
- UAE Moments
♏ Scorpio Daily Horoscope for August 14, 2025
Love & Relationships Your magnetism is at an all-time high. Partners are drawn to your passion, and singles will easily attract attention today. While emotions run deep, be mindful of possessiveness — share your feelings openly without overwhelming the other person. A moment of vulnerability can bring you closer to someone important. Career & Work Your strategic mind is razor-sharp, allowing you to solve complex issues others avoid. This is the perfect time to negotiate deals, pitch bold ideas, or take control of an uncertain project. A quiet acknowledgment from someone in authority could signal long-term growth. Finance You may discover an opportunity to restructure debt, secure better terms for a loan, or spot an undervalued investment. Avoid risky gambles, but trust your investigative skills to uncover hidden value. Financial clarity is within reach if you act with discipline. Health & Wellness Your stamina is strong, though tension in your shoulders or neck may surface from intense focus. Balance your drive with gentle physical activity — yoga, stretching, or swimming will ease built-up strain. Mindful breathing will also help regulate your inner intensity.
Zawya
3 days ago
- Zawya
Industrialisation-led growth necessary for Nigeria's economic resurgence — NESG
The Nigerian Economic Summit Group (NESG) has invited stakeholders to chart a bold, new course for Nigeria's industrialisation and economic future, as the country gears up for the 31st Nigerian Economic Summit (NES #31). The spotlight will focus on a critical lever for economic transformation: Driving Industrialisation-led Growth. The NESG said this sub-theme, central to this year's discourse, reinforces the urgent need to revitalise Nigeria's industrial base as a pathway to sustainable development, job creation, export competitiveness, and inclusive prosperity. According to the NESG, with the Summit scheduled to hold from October 6–7, 2025, at the Transcorp Hilton Hotel, Abuja, Nigeria's path to prosperity hinges on its ability to transition from a consumption-driven to a production-based economy. It added that despite its large population and abundant natural resources, Nigeria has struggled with deindustrialisation, overdependence on imports, and limited value addition in key sectors. 'Industrialisation offers a strategic solution to these challenges by unlocking the country's manufacturing potential, enhancing productivity, and strengthening linkages across agriculture, extractives, and services,' the NESG stated. It pointed out that through this sub-theme, NES #31 will convene industry leaders, policymakers, financiers, development partners, and entrepreneurs to examine how Nigeria can build globally competitive industries anchored in innovation, local content development, and enabling infrastructure. 'It will also explore how industrial policy can be better aligned with market realities, technological trends, and Nigeria's demographic advantage,' it further noted. Under the sub-theme, the NESG said the focus areas will cover 'The discussions under Driving Industrialisation-led Growth will centre on: Revamping Industrial Policy: Reviewing and modernising Nigeria's industrial strategies to reflect contemporary global and regional trends, including the AfCFTA and digital transformation. SME Competitiveness: Supporting small and medium enterprises (SMEs) as engines of innovation, job creation, and industrial diversification. Value Chain Development: Promoting backwards and forward integration, especially in agribusiness, mining, and pharmaceuticals, to maximise local content and export potential. Technology and Innovation: Leveraging Fourth Industrial Revolution technologies to scale productivity and competitiveness in manufacturing. Access to Finance: Catalysing private sector investment and innovative financing mechanisms to unlock capital for industrial growth'. Delving into the pillars for progress: Reforms, Resilience, Results, the NESG highlighted: 'Guided by the NES #31 strategic pillars—Reforms, Resilience, and Results—this sub-theme will stress the importance of reforming Nigeria's regulatory and infrastructure landscape to enable industrial take-off. From streamlined business processes and improved power supply to trade facilitation and skills development, Nigeria must build resilient systems that deliver tangible results. Industrialisation is not just about factories—it is about creating a national ecosystem of productivity, where skilled labour, reliable infrastructure, access to finance, and supportive policies work together to generate wealth and economic opportunities for millions'. Calling for coordinated action, the NESG said, 'the journey to industrialisation requires more than rhetoric—it demands intentional collaboration across the public and private sectors. NES #31 presents a unique opportunity for stakeholders to forge partnerships, commit to reform implementation, and co-create a future where Nigeria becomes the industrial powerhouse of West Africa. 'Through robust dialogue and shared accountability, the Summit will inspire actionable strategies that move Nigeria beyond resource dependence towards a diversified, innovation-led economy that works for all.' The Nigerian Economic Summit Group (NESG) is Nigeria's leading private sector think tank and policy advocacy organisation; since 1993, it has promoted inclusive economic growth through evidence-based research, stakeholder engagement, and its flagship annual Nigerian Economic Summit—Nigeria's foremost platform for public-private dialogue.
