An opportunity for commercial property investors has displayed itself in Nyeri County; this is according to Cytonn Investments analysts who say that grade A and B offices are lacking in the region.
The analysts through their report- Cytonn Report noted that most of the offices in the region are currently in bad state of repair and this creates an opportunity for investors. Also, the town’s renovated and upcoming buildings are attracting higher occupancy and people are willing to pay for the facilities.
Cytonn Investments which is planning to invest billions in the region, shows its commercial office has an average yield rate of 13% per square feet at Sh71 and exit cost of about Sh5,000 per square feet and an average occupancy of 83%.
“We have a positive outlook for the Nyeri real estate market driven by the emerging housing demand, devolution, positive demographics and improved infrastructural development,” the investment firm said.
Preferred investment areas
At the moment, the firm preferred investment areas are commercial properties, mixed-use development, site and service schemes and the holiday homes sector.
Cytonn Report is a bold and authoritative weekly research report by the Cytonn Investments team that provides reliable market insights for investors interested in the high-growth East Africa region. It focuses on fixed income, equities and alternative investments.
The firm which is a real estate developer is planning to construct a US $125m residential-cum-commercial development in Kiambu County, Kenya. The project will accommodate 6,500 people and also comprise of a five –star hotel.