A budding investment club am associated with wishes to invest in rental houses in low-middle income areas. Consequently,we have seen a 40x70ft plot in Witeithie,Thika,50 metres off Thika Rd.at a cost of 300k

Now,the dilemma is,if we develop single rooms as is the norm in the area,can we attract tenants willing to pay KSh 2000/- per month per room? I understand some are currently paying as low as 800/-?

As per our plans,the venture will not be viable if the rent is below 2000/-. Can anyone pay 2000+ for a single room in this area? someone please help!

If it is not viable,which other areas in Thika can someone buy a similar size plot at about the same figure and attract the tenants we are targeting??

As an Skerian,I acknowledge that I have benefited immensely from the info posted here by others. There4,I promise to assist others in the same way by responding to request for info,as long as am privileged in the subject issue..SK Pledge..

with this kind of mentality....

rent will never come down...

happy are those who have their own shelters...


When you run so fast to get somewhere,you miss the fun of getting there... Life is not a race,so take it slowly....

why not try and build a commercial building to house shops,butcheries,pubs and even a small time church?
that way you end up making more money.
the kaplace looks so disorganised and i hear its dangerous..if ua vehicle stalls at nite,just jump out and run.

Dealing with low end customers.

They will be ready and willing to pay but have to be patient because their ability is limited and unpredictable.

That is my lesson from Mwiki.


......the truth shall set you free.

Try the areas close to JKUAT Juja campus and rent the rooms to university students. You can get from 2500 per room depending on the add-ons

@BAAK;

I would think twice,nay,thrice before investing in single rooms. The returns look good on paper but you have to REALLY EARN every penny.

My dad had a few plots at Makongeni [Thika] in the late seventies going to the eighties. I was his rent collector in the early and mid 80s. I tell you the truth; it is very hard work....perhaps I found it hard because the money wasn't mine!

The idea of students' rooms appears enticing. You can solve the erratic semester issue by collecting you rent per semester. Then you have to put in place a serious KYC ['Know Your Customer',in banking parlance] system to truck down which student is in which semester and which group is on campus in which session.

Alternatively,you could collect the rent weekly. I know 'exhibitions' that collect rent daily!

Either way,it is hard work.....not equivalent to working hard!!

But Witeithie; I wouldn't invest there...unless I lived in the place.

Behind the gardens...Behind the wall...Under the tree (Including: Red...Dark Blue...Yellow)

@mule



Hope this can fit within our budget of 300K,if so please drop your current contact/ confirm if we can use the one in your profile.



But does the plot have red soil or black cotton and how deep is rock?


As an Skerian,I acknowledge that I have benefited immensely from the info posted here by others. There4,I promise to assist others in the same way by responding to request for info,as long as am privileged in the subject issue..SK Pledge..