NAIROBI, Kenya, Nov 16- Nairobi’s Ruaka area has been ranked as the most expensive land in the third quarter of 2020, new data shows.
The data by Hass Consult shows that in all satellite towns, an acre in Ruaka now goes for Sh89 million.
Kiambu was ranked in the second position in the latest statistics where an acre of land costs Sh39.7 million.
Kiserian and Athi river areas remained the cheapest with the cost of Sh7.3 million and 13.7 million respectively.T
The report however reveals an overall drop in land prices at 0.06 percent.
Kiambu posted the biggest drops on both quarterly and annually at 5.2 percent and 7.97 percent respectively.
Head of Development Consulting and Research at HassConsult Sakina Hassanali noted that while prices eased in the quarter, the marginal drop shows that land continues to show its stability over other asset classes.
“We have not seen a major drop in land values despite the challenges such as COVID-19 and the tough economic environment proving that investors still see this as the best bet over the long-term,” said Hassanali.
During the period under review, Rongai recorded the highest increase over both the quarter and on an annual basis at 4.71 percent and 10.3 percent, respectively.
The town saw its land prices per acre going for Sh23.2 million.
Under the suburb areas, Upperhill has the most expensive land with an acre selling at Sh512 million.
Westlands followed in the second position with an acre cost of up to Sh421.4 million.
The data also shows that the Spring Valley suburb is benefiting from demand by developers who are increasingly turning to the area to put up apartments and offices.
Spring Valley registered a 3.55 percent increase over the quarter as the suburb continues to attract investors eyeing high-density use of land in the area.
“Spring Valley has traditionally been characterized by stand-alone units with ample space but gradually we are seeing the suburb open up to high-density use including apartment and office blocks,” Hassanali, added.
Overall prices in the suburbs dropped by 0.94 percent over the quarter.