Home ECONOMY Ngong rental prices up 18.6pc on mega road projects

Ngong rental prices up 18.6pc on mega road projects

by biasharadigest
News

Ngong rental prices up 18.6pc on mega road projects

A section of the expanded Ngong Road
A section of the expanded Ngong Road. FILE PHOTO | NMG 

Rental property prices in Ngong town increased the highest in the past one year due to ongoing developments of roads linking the satellite town to Nairobi.

According to the Hass Property Index(HPI), over the last year, rental price increased with 18.6 percent.

HassConsult’s Head of Development Consulting and Research Sakina Hassanali said Ngong’s positive development was proof that investments in public infrastructure around Nairobi was a major impetus for private developments in the real estate sector.

“Nairobi’s residential areas are filled to capacity with landlords charging hefty rental fees. They lack essential facilities while Nairobi roads are a nightmare to drive along during peak morning and evening hours,” she said.

Ms Hassanali added that Ngong’s new properties attracted new tenants due to their low charges as investor-developers maintained low rental prices to attract tenants.

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The Hass Property Index said Ngong’s performance overshadowed the fast growing Kitengela town with a six percent rate in property sales and a 7.1 percent drop in rental prices mainly blamed on a surplus owing to massive property investments in the industrial town.

An acre of land in Ngong now costs Sh21.5 million, a four percent rise in the past year.

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