Real estate boom spills over to more urban centres

[jules3c]

Is this a sign of things to come?

The construction boom in Kenya is spilling to urban areas outside Nairobi with Nakuru town, Kenya’s fourth largest urban centre and the fastest growing metropolis in Africa, the latest to attract an investment of 450 low-cost housing units.

Milimani Holdings, a group of private investors, plans to spend an estimated Sh250 million in the construction, which is set to speed up development in the town recently named by UN-Habitat as Africa’s fastest growing urban centre.

The initial phase of the project will comprise 160 housing units, clustered in 10 blocks of 16 flats each in the five-year project scheduled to start next year.

“Nakuru is fast growing in terms of the attraction of professional services and skills, but the real estate sector has not been exploited to reflect the resultant demand from this influx,” Mr Edwin Gitau, an official with SEB Estates Limited that will manage the new housing project, told the Business Daily.

“We need to satisfy the housing needs of this professional workforce that continues to increase in Nakuru each day,” he added.

High population growth is said to be behind the town’s rapid economic expansion. Located about 160 kilometres from Nairobi and with a population of about 1.6 million, Nakuru was in September declared Africa’s fastest growing town in a report by the UN-Habitat. Growth of the town’s economic output is estimated at 13 per cent, “comparable only to Chinese cities,” according to Mr Thomas Melin, a UN-Habitat senior advisor. Nairobi is estimated to have an annual growth rate of seven per cent.

Below is a link to entire article:
http://www.businessdailyafrica.com/C...u/-/index.html

[jules3c]

Originally Posted by jules3c

Is this a sign of things to come?

The construction boom in Kenya is spilling to urban areas outside Nairobi with Nakuru town, Kenya’s fourth largest urban centre and the fastest growing metropolis in Africa, the latest to attract an investment of 450 low-cost housing units.

Milimani Holdings, a group of private investors, plans to spend an estimated Sh250 million in the construction, which is set to speed up development in the town recently named by UN-Habitat as Africa’s fastest growing urban centre.

The initial phase of the project will comprise 160 housing units, clustered in 10 blocks of 16 flats each in the five-year project scheduled to start next year.

“Nakuru is fast growing in terms of the attraction of professional services and skills, but the real estate sector has not been exploited to reflect the resultant demand from this influx,” Mr Edwin Gitau, an official with SEB Estates Limited that will manage the new housing project, told the Business Daily.

“We need to satisfy the housing needs of this professional workforce that continues to increase in Nakuru each day,” he added.

High population growth is said to be behind the town’s rapid economic expansion. Located about 160 kilometres from Nairobi and with a population of about 1.6 million, Nakuru was in September declared Africa’s fastest growing town in a report by the UN-Habitat. Growth of the town’s economic output is estimated at 13 per cent, “comparable only to Chinese cities,” according to Mr Thomas Melin, a UN-Habitat senior advisor. Nairobi is estimated to have an annual growth rate of seven per cent.

Below is a link to entire article:
http://www.businessdailyafrica.com/C...u/-/index.html

The reason why I posted this article is because of all the economic article i have read about african economic growth, this one, i believe is special. it appears to be organic, and for the first time is compared to the growth of chinese cities. also it gives me the feeling that this city is the symbol of a pilot light that will lightup the african economic landscape and truly take it to the next level.
please feel free to let me know if i'm exagerating or am i delusional ?

[Naijaborn]

Nakuru is really Africa's fastest growing metropolis??
WOW!! That caught me by surprise........
didn't even know the city existed until a while ago, about 2 years.......only know Nairobi, Mombassa and Kisumu{Obama factor} and Eldoret

[jules3c]

Originally Posted by Naijaborn

Nakuru is really Africa's fastest growing metropolis??
WOW!! That caught me by surprise........
didn't even know the city existed until a while ago, about 2 years.......only know Nairobi, Mombassa and Kisumu{Obama factor} and Eldoret

you know venture capital investors never wants the general public to know where they are investing, untill there investments are matured then they want everybody to know where they should go to invest. in the west you're not hearing anything right now about these type of fast growing cities, untill the cities are completely grown and everything has become expensive, then the western media will act like they just found out about it and wants you to believe that everything happened overnight.
i bet you over a couple of years when everything has been built then you'll hear about this on cnn.

[Kenguy]

I knew Nakuru was East Africa's fastest growing urban area but Im surprised about it being the fastest growing in Africa.

[Kenguy]

Originally Posted by jules3c

The reason why I posted this article is because of all the economic article i have read about african economic growth, this one, i believe is special. it appears to be organic, and for the first time is compared to the growth of chinese cities. also it gives me the feeling that this city is the symbol of a pilot light that will lightup the african economic landscape and truly take it to the next level.
please feel free to let me know if i'm exagerating or am i delusional ?

I agree with you. I guess the wealth has started spilling out of the main cities.

[BUTEMBO21]

Originally Posted by Kenguy

I knew Nakuru was East Africa's fastest growing urban area but Im surprised about it being the fastest growing in Africa.

Is it really ?(continental wise). If so , that really impressive.

[jules3c]

Originally Posted by BUTEMBO21

Is it really ?(continental wise). If so , that really impressive.

the article is from a trusted source. the nation media. i have no reason to doubt it. it's real.

[elisonduncan]

In urban center as boom period of real estate because there are not developing area. In developing area are increase real estate rate. That area most of investor as interested in investment because of short time more return.

[Enabulele]

Yeah, bumped almost a two year old thread just to say such garbage.

[popa1980]

East Africa is lucky you dont have all this chieftaincy rubbish. My Dad and my aunt set up a company to develop gated communities in Ghana but the land tenure system is a nightmare so they folded the company even before they could do anything.

[BUTEMBO21]

Originally Posted by popa1980

East Africa is lucky you dont have all this chieftaincy rubbish. My Dad and my aunt set up a company to develop gated communities in Ghana but the land tenure system is a nightmare so they folded the company even before they could do anything.

+1000

[Mintali]

If it were not for the bad faultlines where its located, then Nakuru could develop one of the most impressive skylines in Africa in future

[BUTEMBO21]

Originally Posted by Mintali

If it were not for the bad faultlines where its located, then Nakuru could develop one of the most impressive skylines in Africa in future

Buts still in a good location though, near Nairobi and Kisumu/Eldoret.

Kenyans cities layout is very good . All you need is one Super highway to connect all big cities.

[Kenguy]

Originally Posted by popa1980

East Africa is lucky you dont have all this chieftaincy rubbish. My Dad and my aunt set up a company to develop gated communities in Ghana but the land tenure system is a nightmare so they folded the company even before they could do anything.

Sometimes similar issues occur in some places in East Africa where prime land may fall under a kingdom or communal land.