The real estate industry in Kenya saw a drastic drop in rental prices in the Nairobi suburbs and satellite towns during the first quarter of 2025, between January and March.
HassConsult, a Kenyan real estate firm, on Tuesday, April 29, released the Hass Property Price Indices showing estates within Nairobi where rent increased and decreased during the aforementioned period.
According to the report, Muthaiga, Nyari Estate, Kilimani, and Westlands recorded a significant drop in rental prices by 4.9 per cent, 4.7 per cent, 4.6 per cent, and 3.1 per cent respectively.
Other estates where rental prices dropped include Loresho, Ridgeways, Runda, Kiserian, Athi River, and Tigoni. However, rental prices in these regions dropped marginally.
As per the report, rent in Loresho, Ridgeways and Runda dropped by 1.3 per cent, 1.5 per cent and 1.3 per cent, respectively, while rent in Kiserian, Athi River and Tigoni dropped by 1.2 per cent, 2.2 per cent and 2.5 per cent.
On the flip side, Nairobi Estates of Ruiru, Ngong, and Limuru recorded a significant rise in rental prices by 5.3 per cent, 5.1 per cent, and 4.9 per cent, respectively.
Estates such as Juja, Ongata Rongai and Kitengela also saw a rent growth of 1.4 per cent, 3 per cent and 3.3 per cent respectively, while rent in Karen and Kileleshwa increased by 0.9 and 0.5 respectively.
Other areas where rent increased include Kitisuru and Lang'ata, which saw a rent increase of 1 per cent, while rent in Lavington increased by 1.1 per cent.
While making the announcement, the Creative Director at HassConsult, Sakina Hassanali, attributed the increase in rent prices in the aforementioned estates to improving economic conditions.
According to Hassanali, these economic conditions include stable and low inflation, which allowed landlords in both suburbs and satellite towns to raise average asking prices.
“The improvement of infrastructure and amenities has given satellite towns the convenience that was previously the preserve of suburbs," Hassanali said.
“The overall price rebound was mainly driven by higher asking prices on property in Nairobi's satellite towns, which led to growth of 2.4 per cent,” the Creative Director at HassConsult added.
