Ruaka continues to dominate Nairobi's satellite housing market, maintaining its status as the primary source of apartment supply while Ngong and Kitengela experience significant growth, a 2021 report reveals.
The HassConsult analysis showed apartment rent demand in Ngong and Kitengela rose 5.5% and 5.2% respectively in Q1 2021, compared to Ruaka's 2.9% increase. Ruaka accounts for 30% of all satellite town apartment listings, according to the report.
Sakina Hassanali, head of development research at HassConsult, attributed Ruaka's continued appeal to its proximity to affluent areas, enabling high-density housing developments that balance affordability with reduced commuting costs.
While apartment rents saw a 2.2% quarterly increase, property sales prices rose 2.89% in Q1 2021 but fell 3.4% year-on-year through March 2022. Detached house demand grew 4.3% with 11.8% annual gains, driven by improved access via the Redhill Link road.
The proposed Landlord and Tenant Bill, 2021 could impact rental trends if enacted, though experts caution similar past legislation like the 2016 Banking Act had unintended market consequences.