Construction & Real Estate

Kenya’s construction and real estate sectors experienced slower growth in 2017 than in previous years, owing in part to uncertainty surrounding the contested August general elections, which translated in part, to no major government-led infrastructure projects being announced in the second half of the year. However, while the construction sector grew by less than the 9.8% recorded in 2016, healthy expansion of 8.6% was seen in 2017 for the sector to constitute 6.4% of that year’s GDP. Steady tendering activity is continuing, particularly for irrigation, transport and housing projects that are outlined in Vision 2030, the government’s long-term strategic planning document. Specifically, the real estate sector was marked by softening prices for prime residential and commercial properties. However, the outlook is brighter for the short-to-medium term, due to the government’s commitment to housing and the post-election resumption of normal commercial activity. This chapter contains an interview with Mucai Kunyiha, Chairman, Kenya Property Developers Association.