This archive report was first published on 1 August 2019.
Published on August 1, 2019, a report by design and consultancy firm Arcadis ranked Nairobi as the most expensive city to build in Africa, placing it 86th globally.
The study found that Nairobi's construction costs surpassed those of other global cities, including Beijing, Shanghai, Kuala Lumpur, and Mumbai.
Access to finance, high costs of land and construction were identified as major challenges facing investors and developers in the country.
According to the report, other challenges include an over-supply in certain real estate investment brackets, such as commercial, office, and retail property.
The report comes at a time when the government is seeking to make construction more affordable, aiming to deliver affordable houses to Kenyans under the Big Four agenda.
President Uhuru Kenyatta has emphasized the need for innovative approaches to address the housing challenge, citing the failure of traditional methods to keep up with the rising demand for decent shelter.
"So we are keenly focused on the manner in which we improve the provision of this service," the President said, highlighting the government's commitment to providing affordable housing as enshrined in the Constitution of 2010 and aligned with the UN's 2030 Agenda for Sustainable Development Goals (SDGs).
