Browsing: Purpose-built warehousing

Data Centres for example have seen their market supply increase to approximately 10 MW. Interestingly, over 80 per cent of this stock has come up over the past 5 years, with the development pipeline looking even more promising at approximately 470 per cent of total stock.

The industrial sector, too, continues to be one of Nairobi’s leading real estate market sectors. Developers’ interest matched with occupiers’ demand especially in the SMEs, agricultural and FMCG sectors means that there are unlimited opportunities in the market for investors.

With only 11 per cent of the total stock estimated at 17 million sq. ft under development, the market remains largely undersupplied especially with regards to purpose-built warehousing. As such, investors are increasingly exploring the space with private equity or investor-operator type models. Quite notably, over 80 per cent of the projects in the pipeline tracked by Estate Intel are already under construction, while the others remain conceptual.

On the other hand, traditional sectors such as the office sector are currently oversupplied.