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Kenya’s residential market booms: opportunities and challenges ahead

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Kenya

Kenya’s residential market is experiencing remarkable growth across the income spectrum, driven by increasing demand from local buyers, expatriates, and international investors

NAIROBI, Kenya, April 16, 2025/APO Group/ –Kenya’s residential market is thriving, driven by rising demand from buyers, expatriates, and international investors. The luxury and affordable housing markets are having a moment with potential buyers. These dynamics will take center stage at the 2025 East Africa Property Investment Summit in Nairobi from 7-8 May at Pullman, Upper Hill, Nairobi, Kenya (https://www.APIEvents.com)​.

Kenya’s residential market is experiencing remarkable growth across the income spectrum, driven by increasing demand from local buyers, expatriates, and international investors.

This segment has become a focal point for developers and stakeholders seeking to capitalize on Kenya’s evolving real estate landscape.

Kenya’s housing market is divided into two segments: the luxury and affordable market.

On the luxury end of the residential market, Kenya’s growing number of high-net-worth individuals and expatriates are driving demand for premium properties in exclusive neighborhoods.

This demand for premium properties is driven by affluent buyers, with projections indicating further growth to 16,900-dollar millionaires by 2026, according to the 2024 Africa Wealth Report published by Henley & Partners in collaboration with New World Wealth.

Nairobi ranks among the top cities globally for luxury real estate price growth, and in some cases, it has outperformed cities like London and Paris.

The dynamics of Kenya’s high-end residential market will be explored during the upcoming East Africa Property Investment (EAPI) Summit, a premier real estate event that brings together over 450 global investors, developers, and professionals from the real estate industry. The 12th annual summit will be held in Nairobi from 7 to 8 May 2025, at Pullman, Upper Hill.  This year’s EAPI Summit will explore how developers and investors can capitalize on investment opportunities in countries such as Tanzania and Zanzibar, Kenya, Uganda, Rwanda, and Ethiopia. These countries are showing promising signs of economic recovery, improving political stability, and stabilizing interest rates.

Real estate experts will unpack investment opportunities in Kenya’s high-end residential market. Institutional investors and development finance institutions are increasingly paying more attention to the country’s residential market as they are funding several development projects and have ambitions of developing good neighborhoods. These investors continue to fund mixed-use developments that combine residential spaces with retail and leisure facilities, attracting younger buyers seeking modern living solutions.

Its financial solutions include mortgage financing to cover the property sale price plus closing costs like stamp duty and legal fees; financing for residential property construction; funding products targeting Kenyans seeking affordable housing solutions; cost for residential plots in major towns; and blended finance options for sustainable and affordable student housing.

Stanbic Bank/Standard Bank is committed to supporting sponsors that are addressing Kenya’s housing needs while promoting sustainability and economic growth in the real estate sector. This is why Stanbic Bank is supporting this year’s EAPI Summit as a gold sponsor.

While the luxury end of the residential markets remains shaped by location, size of the unit, and breadth of features that align with buyer tastes and aspirations, Stanbic Bank believes that the luxury segment is not starved of attention from investors. However, the affordable housing market remains neglected.

And because of this, the financial service company is choosing to back the affordable/middle-income housing segment, where the demand remains strong and impact benefits are richer.

“In that segment, factors shaping the evolution of successful projects are the proximity of projects to key business hubs, accessibility to transport networks, and quality of offering trade-offs relative to price point. It is useful to highlight that the demand in a large section of this market segment is driven by the rental markets and the retail and institutional property investment markets,” says spokesperson Niyi Adeleye, the head of real estate finance for Africa regions at Standard Bank Group, which is part of the Stanbic Bank.

The Stanbic Bank/Standard Bank’s sponsorship will enable investors to understand Kenya’s residential market over the two days scheduled for the EAPI Summit, connecting them with industry experts. The financial services company will back investors aligned with its mandate of investments in the affordable housing market.

“For Standard Bank/Stanbic Bank, our interests remain to actively participate in and contribute to the development and shaping of the built environment in key countries in our footprint of which Kenya is key. Our activities provide opportunities to participate in projects with significant social impacts and deepen environmental impacts in collaboration with the project sponsors through the development of green-rated properties and our provision of green loans to back those developments. In addition, these projects help shape the property evolution of the cities and countries to improve livability and the growth and availability of more robust social infrastructure,” says Adeleye.

As East Africa’s economic and cultural hub, the city is increasingly attracting a global, more sophisticated consumer— one who has been exposed to premium real estate

Despite the growth potential of Kenya’s residential market, it faces notable hurdles.

Real estate developers struggle with access to long-term financing due to high interest rates and stringent lending requirements, leaving them with limited financing options for residential projects.

There are also land tenure issues, with legal disputes over land ownership that can delay projects and increase costs for developers. Another conundrum is that the demand for residences and luxury homes often outpaces supply, which creates competitive pricing pressures.

At the EAPI Summit, there will be leading experts helping potential investors navigate through these challenges. Among the experts set to be in attendance is Hass Consult, a company offering high-end homes for sale all over Nairobi. To demonstrate its commitment to helping investors, Hass Consult has joined Stanbic Bank as a sponsor of the EAPI Summit.

Hass Consult is bullish on Kenya’s housing market, particularly the luxury segment.

Farhana Hassanali-Hashmani, the CEO of Hass Consult, says Kenya’s luxury housing market is increasingly opening to global buyers.

“As East Africa’s economic and cultural hub, the city is increasingly attracting a global, more sophisticated consumer— one who has been exposed to premium real estate and world-class hospitality standards. This demographic, which includes a growing number of expatriates and globally mobile Kenyans, brings with it elevated expectations for quality, design, and lifestyle,” says Hassanali-Hashmani.

This global influence has translated into a significant increase in the willingness to pay for luxury and value-added amenities, says Hassanali-Hashmani.

She adds that property developers now have more latitude to invest in high-quality finishes, curated experiences, and thoughtful design that elevates not just the property, but the lifestyle it enables.

“Today, luxury is not solely about the physical asset; it’s about the entire user experience. Homeowners and investors are looking for developments that offer seamless living—from top-tier management to integrated wellness facilities and thoughtfully designed communal spaces. The emphasis on lifestyle is now central to how value is perceived and how capital growth is sustained.

“There’s a strong and growing demand for developments that offer world-class lifestyle amenities—spaces that speak to health, wellness, and fitness, all delivered through a refined user experience. Residents are looking for environments that support balance, well-being, and convenience, echoing global trends in urban living,” says Hassanali-Hashmani.

There’s also a significant shift in the demographic of buyers in the luxury housing market.

Says Hassanali-Hashmani: “Luxury is no longer confined to the older, ultra-wealthy buyer purchasing sprawling homes. We’re seeing a diverse mix of younger, aspirational buyers who are investing in compact yet premium residences—where quality, convenience, and lifestyle matter more than square footage.”

Buyers are also more environmentally conscious and are actively seeking housing developments that are eco-friendly, energy-efficient, and built with a responsible footprint.

Whether it is the affordable or luxury housing market, Stanbic Bank and Hass Consult remain positive about Kenya and will explore opportunities at the EAPI Summit.

The 12th East Africa Property Investment Summit meeting will take place on 7 and 8 May 2025 at Pullman, Upper Hill, Nairobi, Kenya. For more information and to book to attend the EAPI Summit visit https://EAPISummit.com.

Distributed by APO Group on behalf of API Events

Business

Zambia–Lobito Railway Moves Towards Financial Close as President Hichilema Meets Africa Finance Corporation (AFC) Leadership

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Zambia

Project advances towards financing with preferred EPC bidders selected and letters of intent covering approximately 2 million tonnes a year signed

LUSAKA, Zambia, November 6, 2026/APO Group/ –His Excellency Hakainde Hichilema, President of the Republic of Zambia, has received a delegation from Africa Finance Corporation (AFC) (www.AfricaFC.org), led by its President and Chief Executive Officer, Samaila Zubairu, to review progress on the Zambia–Lobito Railway Project. AFC, the continent’s leading infrastructure solutions provider, is the lead sponsor and developer of the project.

The approximately 830-kilometre railway will connect Chingola in Zambia’s Copperbelt to Luacano in Angola, where it will link with the existing Benguela Railway and provide direct access to the Atlantic Ocean through the Port of Lobito.

 




 
 

A strategic component of the broader Lobito Corridor initiative, the project has reached several important development milestones. AFC last month announced preferred bidders for the engineering, procurement and construction (EPC) contracts for the Angolan and Zambian sections, following an international competitive tender. The project has also signed memoranda of understanding and letters of intent with prospective railway users covering approximately 2 million tonnes of freight a year.

Every tonne that leaves Zambia unprocessed takes jobs away with it

In addition to providing a direct Atlantic export route for Zambia’s copper and critical minerals, the project is being developed as an integrated economic corridor supporting agricultural exports, petroleum logistics, manufacturing and regional trade. Transit from the Copperbelt to the Port of Lobito is expected to take approximately seven days.

The project’s commercial strategy targets approximately 5 million tonnes of annual freight at steady state, comprising petroleum products, agricultural commodities, copper, cobalt, zinc and other industrial cargo. AFC is targeting financial close in 2027.

Discussions focused on continued collaboration between AFC and the Government of Zambia on the project’s next steps, including the railway’s right of way and land for associated agricultural, petroleum and freight-handling facilities. The meeting also considered rail sector policy measures to support the corridor’s long-term competitiveness, including integration with the Zambia Railways network and the Chingola–Ndola line.

President Hichilema reaffirmed the railway’s importance to Zambia’s economic development and regional integration. He said: “The Zambia–Lobito Railway is central to our vision of transforming Zambia into a competitive regional hub for trade, manufacturing, agriculture and mineral value addition. By connecting our productive sectors to international markets more efficiently, we can reduce logistics costs, attract investment and create jobs. We welcome AFC’s progress and will continue working closely together to advance this strategic project.”

Samaila Zubairu, President and Chief Executive Officer of AFC, said: “Every tonne that leaves Zambia unprocessed takes jobs away with it. This railway changes that. Starting in Chingola, it gives Zambia a seven-day route to the Atlantic and every reason to process, manufacture and add value at home. With preferred EPC bidders selected and strong interest from freight users, we are now working with the Governments of Zambia and Angola, the African Development Bank, the Government of Italy and our other partners to reach financial close. We are building a railway. Zambia will build an economy on it.”

AFC continues to work with the Governments of Angola and Zambia, the European Union, the United States Government, the Government of Italy and the African Development Bank, alongside Italian development finance institution CDP and Italian export credit agency SACE, to bring the Zambia–Lobito Railway into construction.

Distributed by APO Group on behalf of Africa Finance Corporation (AFC).

 




 

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Mukuru Partners with Flash to Add 170,000 Cash Pay-in Points Across South Africa

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Mukuru

New partnership brings remittance payments into township, peri-urban and rural spaza shops nationwide

JOHANNESBURG, South Africa, November 6, 2026/APO Group/ –Mukuru (www.Mukuru.com), a leading financial services provider, has partnered with Flash, a payments technology company with an extensive network of spaza shops across South Africa, adding 170,000 cash pay-in points where customers can now pay for their Mukuru remittance orders. The network includes Flash’s broader merchant footprint, giving Mukuru access to locations through Flash and its partner networks. These new locations are now operational, reducing the time and distance many customers currently travel to make a payment.

Previously, customers often had to travel to banks or dedicated payment outlets to pay for their Mukuru orders. Now, they can simply visit a spaza shop close to home, work or where they usually shop.

For people in townships, peri-urban and rural areas who rely on cash and have traditionally had limited access to formal pay-in points, particularly South Africa’s migrant communities, this change removes a real barrier and makes it easier to send money home. With these pay-in points inside spaza shops, Mukuru’s services become part of places people already go, meaning fewer extra trips and more timely payments.

Every additional pay-in point represents one less barrier for a customer trying to send money home

“Every additional pay-in point represents one less barrier for a customer trying to send money home,” said Erone Kyte, Commercial Manager: Cross-Border Remittances at Mukuru. “Our partnership with Flash gives us the scale to bring Mukuru’s services into the everyday spaces our customers already know and trust. It’s a meaningful step in making remittances simpler, more accessible and genuinely closer to the communities we serve.”

For Mukuru, working with Flash means reaching even more customers in underserved urban, township, and rural areas. By leveraging Flash’s established network, Mukuru can now offer cash pay-in options where they didn’t exist before. The expanded network is expected to help more people access Mukuru’s services, support growth in its South African customer base, and make cross-border payments more convenient.

Rens Rezelman, General Manager for Flash’s Merchant Division, commented, “Flash works to bridge the digital product and payments gap between businesses and consumers across the country. Launching Mukuru across our network presents another opportunity to bring a familiar brand closer to the people who need it most.”

The sector is now recognised as a R750 billion  industry. According to data tracked by Trade Intelligence, total turnover recently reached R197 billion, growing at roughly 15% annually. Research confirms that traditional trade and spaza shops are growing faster than large supermarket chains, with almost 80% of South African households shopping at these traditional trade outlets regularly. (https://apo-opa.co/4iDwZr8) Bringing Mukuru payments to these stores is a natural fit and helps shop owners draw in more customers and offer more services to their communities. Mukuru and Flash will build awareness of the new pay-in option through store, digital, and community promotions in the coming months.

This partnership is part of Mukuru’s ongoing drive to make cash pay-ins easier and improve access to remittance services for people living and working in areas with limited formal financial services. Over the past two years, the company has made similar moves to make its payment network bigger and more accessible across the region.

Mukuru customers looking to pay closer to home can easily find their nearest participating Flash pay-in point using the Mukuru app or website.

Distributed by APO Group on behalf of Mukuru.

 

 




 

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How CESI is helping shape Africa’s next-gen power grids

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CESI

CESI, a global engineering and consulting company specialising in power systems and energy transition, has supported utilities, transmission system operators and public institutions

CAPE TOWN, South Africa, November 6, 2026/APO Group/ –Across Africa, power systems are undergoing a profound transformation. Rapid population growth, urbanisation, industrial development and ambitious electrification goals are increasing pressure on networks that must improve reliability, integrate growing volumes of renewable energy and strengthen regional interconnections.

 




 
 

For utilities, regulators and governments, this creates a dual challenge: planning future power systems while modernising the infrastructure required to operate them safely and efficiently.

Drawing on projects delivered across the continent CESI, a global engineering and consulting company specialising in power systems and energy transition, has supported utilities, transmission system operators and public institutions in addressing both long-term planning requirements and grid modernisation challenges. These experiences highlight how strategic planning and operational modernisation are becoming increasingly interconnected.

Planning for growth in a changing energy landscape

Many African countries are updating power sector strategies to reflect changing demand patterns, evolving technologies and new regional opportunities. National master plans in countries including Angola, Mozambique and Liberia are examining how generation, transmission and distribution systems can evolve over the coming decades while remaining technically feasible and financially sustainable.

A key trend is the growing emphasis on integrated planning. Rather than treating generation, transmission and distribution separately, stakeholders are increasingly assessing investments across the entire value chain to meet future demand efficiently and reliably. Demand forecasting methodologies are also evolving, considering industrial development, electric mobility and broader electrification trends.

Renewable energy integration is another central consideration. Africa possesses significant solar, wind and hydropower resources, but integrating these technologies requires careful assessment of transmission capacity, system flexibility, reserve requirements and grid stability. In this context, CESI has contributed to power sector master plans and network studies evaluating future development pathways while addressing reliability, economic and energy transition objectives.

Regional interconnections as strategic infrastructure

Regional integration continues to play an increasingly important role in Africa’s electricity sector. Future Interconnection projects linking countries such as Ethiopia and Somalia, Uganda and Tanzania, and Uganda and South Sudan demonstrate how cross-border infrastructure can enhance energy security and optimise the use of available generation resources.

Delivering these projects requires more than engineering analysis. Technical, economic, regulatory and operational considerations must be aligned among participating countries. Through its involvement in several interconnection initiatives at different stages across Africa, CESI has supported stakeholders in assessing feasibility, network performance and operational requirements for cross-border electricity exchanges.

As regional power markets continue to develop, interconnected systems are expected to contribute further to reliability, operational flexibility and efficient resource utilisation.

Modernising grid operations for greater reliability

Alongside long-term planning, utilities are investing in modern operational technologies to improve management of increasingly complex power systems. Control centres, SCADA systems, energy management systems (EMS) and telecommunications networks are becoming essential components of modern grid operations.

In countries including Mozambique and Angola, projects are supporting the development of advanced control centres capable of monitoring generation facilities, transmission networks and interconnections through integrated operational platforms. These systems provide operators with real-time visibility and decision-support capabilities that strengthen system reliability and operational efficiency.

Meanwhile, programmes in Tunisia and Nigeria illustrate how utilities are upgrading ageing SCADA and EMS infrastructures to meet evolving requirements. Modern solutions increasingly incorporate

  • cybersecurity,
  • wide-area monitoring capabilities and
  • renewable energy management functions.

CESI’s experience in control centres, SCADA/EMS systems and power system operations reflects the growing importance of digital technologies in enabling more resilient and responsive electricity networks.

Building resilience and technical capacity

Environmental and social considerations are becoming increasingly important across both planning and modernisation initiatives. Climate resilience now plays a central role in infrastructure development, particularly in countries exposed to extreme weather events or heavily dependent on hydropower resources. As a result, environmental and social assessments are increasingly integrated into project design and investment decision-making processes.

Capacity building is equally important. New technologies and analytical tools require utilities and public institutions to continually strengthen technical capabilities. Training and knowledge-transfer programmes have therefore become integral components of many planning, interconnection and grid modernisation projects, helping organisations develop the expertise needed to manage increasingly sophisticated power systems.

An integrated approach to Africa’s power future

Several common themes are emerging across Africa’s electricity sector. Utilities are adopting longer-term planning horizons, renewable energy is becoming a central driver of network development, regional interconnections are expanding opportunities for power exchange, and digitalisation is transforming power system operations.

Together, these trends point towards a broader evolution of African power systems. The challenge is no longer simply expanding infrastructure, but ensuring that future networks are planned, operated and modernised in a coordinated manner. Achieving this objective will require continued collaboration among utilities, governments, regulators, financiers and technical stakeholders.

Experience across the continent suggests that integrating sound planning with targeted grid modernisation can support the development of more reliable, resilient and adaptable power systems, helping meet Africa’s long-term economic and social development goals.

CESI is a partner of ESI Africa, the power, energy, water, transport and utility multimedia platform that forms part of VUKA Group.

Read the article and access more information: https://apo-opa.co/47Xr1g3

Distributed by APO Group on behalf of VUKA Group.

 

 




 

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