Ngong town tops Nairobi satellite town land prices

NAIROBI, Kenya, Aug 20- Ngong town has continued to register a rise its land prices with the latest data showing a growth of 18.1 percent.

The average value per acre currently stands at Sh25.4 million.

Data by Hass Consult on Land Index for the second quarter of 2021 shows that this was the highest annual land growth rate in six years against an average of 2.9 percent on all towns.

Hass Consult has linked the performance to a new generation of landowners who are subdividing huge parcels of land which are more affordable to speculators and developers which in turn is driving prices.

“Land in Ngong was traditionally held by an old generation who owned large chunks of more than five acres with an aim of maintaining their wealth. However, we are seeing an end to this era as a new generation i.e., their heirs are keener on cashing in on this land by selling parcels. This new generation has led to an increase in the supply of subdivided of eighths and quarter parcels for sale thus making it possible for other Kenyans to own land in Ngong,” said Head of Development Consulting and Research at HassConsult Sakina Hassanali.

The performance has further been boosted by the ongoing construction of the Ngong-Suswa Road which will further open the town.

According to Hassanali the trend in Ngong is tracking that in Kiambu county which has experienced booms over the last decade due to a combination of infrastructure development, and subdivision sales which have made them attractive for speculation purchases.

Ongata Rongai came in second in the period under review with its land price increase captured at 11.8 percent, where the average value per acre goes for Sh24.8 million.

However, Ruaka remains the most expensive Satellite town with the average value per acre placed at Sh89.8 million.

On the Nairobi suburbs front, Nyari was the best performing suburb in the period with prices improving by 2.25 percent over the quarter and 6.24 percent annually.

This was largely attributed to the installation of the Westlands Redhill Link Road that opened access to the suburb to Nairobi’s second CBD, Westlands.

Upper hill was ranked the most expensive suburb with land in the region valued at Sh507million per acre.