Real estate firms move to Kilifi due to affordable land
Investors and real estate developers are trooping to Kilifi County to buy and construct houses.
The newfound interest in the county has seen affordable homes coming up targeting middle-class citizens.
The reason investors prefer Kilifi to other counties such as Mombasa has to do with cost of land.
The
other reason investors have given for eyeing Kilifi as an investment
destination is availability of raw materials for construction.
They also see Mombasa as a congested city.
My
Space Property chief executive officer Mwenda Thuranira says investors
and buyers are rushing to Kilifi due to the affordable cost of land.
“Generally, land in Kilifi County is cheaper than in Mombasa.
What is offered here in Mombasa for an acre is double that in Kilifi.
Construction is easier here because stones come from areas in Kilifi
while sand used for construction is found in Malindi,” he said.
He said a beach plot in Kilifi goes for Sh40 million an acre, while the same size of land in Nyali is sold at Sh100 million.
High demand
Mr
Thuranira predicts that land in Kilifi will soon drastically appreciate
as the town is on its way to becoming a major residential area for
Mombasa people.
“It is just like Nairobi, where
everyone is moving away from the city to Karen and Kiambu. Kilifi will
now be the bedroom of Mombasa. Due to the high demand, we definitely
expect the cost of land to rise sharply,” said Mr Thuranira.
Tourism
players have argued that Mombasa is a small county, and it is normal
for investors and proprietors to move to neighbouring towns.
Kenya
Tourism Federation Chairman Mohammed Hersi says Mombasa Island is
densely populated, while the cost of land keeps on rising.
“Mombasa
is a small county, therefore we definitely expect it to grow northwards
or southwards, which is happening now. Land is a limited factor of
production, plus the cost of land is very high,” he said in an
interview.
“This is beneficial to the county because
right now Mtwapa has become a cosmopolitan place, where 80 per cent of
property is owned by women,” he added.
Mr Hersi says
the development in Kilifi and the surrounding areas will not only be
beneficial to the specific areas, but also to the Coast region.
“There
will be no problem if tourists stay in Malindi or Kilifi. This has been
happening for a long time and it benefits the Coast region and the
country at large. Mombasa also boasts of beaches such as Nyali, Jomo
Kenyatta and Shelly.
“There is no way our tourism is going to be affected if investors move out of the county,” said Mr Hersi.
Small island
He
added that Mombasa, being a small island, does not have room for the
kind of growth that is possible in areas like Kikambala in Kilifi.
This trend has led to huge developments such as the Vipingo Investment Park, an initiative by Centum Investment.
“People
now want to keep their cattle, have a small farm and have poultry in
the same compound, which is not possible in the city," explained Mr
Thuranira.
Mr Joseph Mbugua, the Inuka Afrika
Properties Ltd executive director, says demand for affordable commercial
and residential facilities is rapidly growing in the counties.
Mr Mbugua says Inuka Afrika Properties Ltd has so far undertaken 50 projects and issued 1,000 tittle deeds to new land owners.
“They
only need to pay 50 per cent of the land value and pay the rest in
instalments in three to six months period. But beware of land grabbers
and land cartels in Mombasa, Kilifi and Kwale counties,” he said.
The firm is now involved in projects that include the 10 acres Inuka Homes at Msabaha in Malindi.
Others are Chakama Gardens, Inuka Gardens, Inuka Mtwapa Gardens and Bofa Gardens in Kilifi.
Under these projects, a 70 by 100 metres’ plot goes for between Sh300,000 and Sh950,000.
Many foreigners, especially Italians, have made Malindi their second home.
Post a Comment