Kiserian has emerged as the best destination for Kenyans seeking to buy land this year.
According to Hass Consult's report for the first quarter of 2024, it was revealed that the satellite town in Kajiado County recorded the highest demand for land.
This saw land prices in the area also record the highest growth in prices at over 9 per cent. Notably, this was the highest growth recorded for satellite estates this year.
It was explained that a number of factors including land prices informed the recent demand for land in the area.
Land Prices
According to land rates that were published in the report, Kiserian has the cheapest land prices among the 14 Nairobi satellite towns.
Between January and March 2024, an acre of land in Kiserian was being sold at Ksh11 million.
This rate is way below the average price of an acre of land in satellite towns which was quoted at Ksh28 million.
An acre of land in other satellite towns such as Athi River, Kitengela, Limuru, Ngong and Thika was sold at Ksh 19.3 million, Ksh16.8 million, Ksh 22.7 million, Ksh 34,9 million and Ksh26.5 million respectively.
"In the towns, Kiserian, Limuru and Ongata Rongai led quarterly price gains at 9.4 per cent, 8.4 per cent and 7.8 per cent
respectively.
“Satellite towns are driving the revival of land as a competitive asset class with an average annual growth of over 10 per cent. With interest rates projected by the Central Bank of Kenya to fall in coming months, the stable price growth seen over the last two years should make land even more attractive as an asset,” read the report in part.
Construction Costs
Further, it was explained that Kenyans were looking for areas with affordable land rates because of the increase in construction costs.
Therefore, to prevent the whole process of owning a home from being more expensive, Kenyans were opting for areas with cheaper land rates.
"Developers have also shown a preference for areas whose prices are lower than the satellite town average of Ksh28.8 million, as they keep an eye on overall costs due to higher building input prices," read the report in part.
In recent years, prices of various materials used for construction such as cement and steel have risen, a factor that has been influenced by global dynamics, exchange rates and government policies such as taxation.
