NAIROBI, Kenya, Mar 13 – A new report reveals that Nairobi residents pay an average of Sh9,500 per month in parking fees with sections of Mombasa road ranked the cheapest to park.
According to a Cytonn Real Estate report, rates range from as low as Sh4,000 in low-quality grade C offices on Mombasa Road to highs of Sh13,000 in areas such as parklands.
In the Nairobi Central Business District, drivers pay an average of Sh12,000 per month owing to the inadequate amount of parking spaces.
On average those working in Westlands part with a minimum of Sh6,000 per month, while those in Upperhill pay an average of Sh8,000.
The data is part of a report seeking to critique Nairobi commercial office sub-sector.
According to the report, location and quality of office space are currently the main factors people consider when choosing an office space in Nairobi.
As such, Parklands and Karen have recorded the highest yields due to these factors, ranking in average rental yields of 9.7 percent and 9.5 percent respectively.
On the other hand, areas affected by traffic snarl-ups, low-quality office space and not being necessarily considered a business node have low returns.
In Parklands, rent in office spaces totaled to an average of Sh103 shillings per square foot in 2017 and sold at Sh12, 729 per square foot. In Karen, average rent per square foot amounted to Sh113 and sold at Sh13,167.
Across town, on Mombasa Road, average rent per square foot was Sh82 and sold at Sh11,641.
The average rent per square foot on Thika Rd was Sh82 and sold at Sh11,500, while in Nairobi CBD, average rent per square foot was Sh88 and sold at Sh12,286 per square foot.
These areas include Mombasa Road, Thika Road and the Nairobi Central Business District average rental yields of 8.5 percent for Mombasa and Thika Road and 8.7 for Nairobi CBD.
Kilimani, Westlands and Upperhill come in between with average rental yields coming in 9.5 percent, 9.4 percent and 9.0 percent respectively.