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Why dustbowl is the future
Rank: Veteran Joined: 11/13/2015 Posts: 1,656
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MugundaMan wrote:Ngong stadium phase 1 to be completed by May at long last!  Roadside hawkers - gone Largest market in East and central Africa - under construction Stadium - being built At this rate I might have to rebaptize Ngong as the new Jewel in the Crown instead of Kitengela   Either way may both towns boom to the skies! http://countypress.co.ke...ioUpySx9WYKxiG35TbL4jms
Ngong will do much better because of the Kisii-they have a tenacity for business and starting to dominate Ngong, the new shorter route to Kisii through Ngong will work wonders for this town.
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Rank: Veteran Joined: 11/13/2015 Posts: 1,656
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NewMoney wrote:Not trying to spoil the party here but facts are facts. My opinion is that to say DC is the future is a very biased view of reality. Yes, Nairobi will grow and its borders will expand, but this does not at all imply the outskirts will see better ROI than the CBD. Investing in the suburbs is great, it will bring back some profit, but acquiring Apartments of similar value today near CBD will bring back similar if not better returns (I am rooting for better, obviously, because am biased too). Case in point, look at London, New York, and other older cities. Inner city properties have continued to pay more handsome returns than the suburbs. To quote this very balanced article (link below), "In the past, urban assets have outperformed suburban asset returns in both office and multifamily sectors. From 1996 to 2016, suburban multifamily fell behind its urban counterpart by 80 basis points, while the suburban office sector underperformed urban by 110 basis points." Just my 2 cents. Link: https://www.nreionline.c...suburban-cre-investment I am with you on biased towards inner city real estate. Eventually suburb people will get tired of those 4 hour commutes
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Rank: Member Joined: 6/6/2016 Posts: 167 Location: Nairobi
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I don't know about that theory vis a vis London, the east was always a s**thole, the city started to expand, canary wharf came up, gentrification then the olympics came up, greenwich, now the east part of the city is fetching top rates for both res and commercial properties. real estate literally doubled in a space of 5yrs. problem with inner city is it's older money, the new generation need something cheaper to allow them get their foot on the ladder kwanza
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Rank: Elder Joined: 7/28/2015 Posts: 9,562 Location: Rodi Kopany, Homa Bay
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I have been thinking about this "dustbowl is the future" thing but the more i look at it the more I now think that dustbowl IS NOT the future. If you have some cash it is better to put it in a developed area where you are guaranteed of instant returns and growth in value. Eg a 3m eddemann property in mombasa rd will instantly start giving you 30k rental income each month. And if you can afford an apartment in lavington, kilimani etc its even better as you will immediately starting earning at least 80k rent and also the value of your property will go up exponentially since all the newly minted millionaires want to live there - so the demand for rentals or houses for sale is always high, and that demand is by people who have deep pockets. Even a suraya bedsitter huko ngong road or a kirinyaga rd bedsitter will give you good returns. But putting your cash in some hyena infested dustbowl bushland and praying for the city to expand towards your direction may not be a wise investment decision. One it is very difficult to resell such a property and also there are so many such plots that the prices remain depressed. Developing such a property for rentals, house for sale or farming will not work. Basically it's literally throwing your money into the bush while you suffer repaying sacco loans. The only one who makes money in those settings is the one who subdivides the land and sells to you, he makes his millions and leaves you holding "useless plots" in the middle of nowhere. 
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Rank: Elder Joined: 1/8/2018 Posts: 2,212 Location: DC (Dustbowl County)
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wukan wrote:
I am with you on biased towards inner city real estate. Eventually suburb people will get tired of those 4 hour commutes
Keep hope alive papa. To think that 300,000 residents of Kitengela all "commute to Nairobi" daily is the height of delusionality .
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Rank: Elder Joined: 1/8/2018 Posts: 2,212 Location: DC (Dustbowl County)
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snifadog wrote:I don't know about that theory vis a vis London, the east was always a s**thole, the city started to expand, canary wharf came up, gentrification then the olympics came up, greenwich, now the east part of the city is fetching top rates for both res and commercial properties. real estate literally doubled in a space of 5yrs. problem with inner city is it's older money, the new generation need something cheaper to allow them get their foot on the ladder kwanza Have you been to Fig Tree Ngara area in the pic below (Wukan's favourite surburb)lately? My friend, at night it looks more dingy than some of the dingiest hoods in Nairobi. In the West all the rich people of all races fled the inner city core to the surburbs and left them decayed with blight. Look at Hillbrow in Jozi. My friend hapo ni kubaya. Try walking there at any time of day or night and see if you do not get mugged or stabbed multiple times. Hoods like Ngara are heading there in the next 20 years. 
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Rank: Elder Joined: 1/8/2018 Posts: 2,212 Location: DC (Dustbowl County)
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Rank: Veteran Joined: 11/13/2015 Posts: 1,656
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MugundaMan wrote:snifadog wrote:I don't know about that theory vis a vis London, the east was always a s**thole, the city started to expand, canary wharf came up, gentrification then the olympics came up, greenwich, now the east part of the city is fetching top rates for both res and commercial properties. real estate literally doubled in a space of 5yrs. problem with inner city is it's older money, the new generation need something cheaper to allow them get their foot on the ladder kwanza Have you been to Fig Tree Ngara area in the pic below (Wukan's favourite surburb)lately? My friend, at night it looks more dingy than some of the dingiest hoods in Nairobi. In the West all the rich people of all races fled the inner city core to the surburbs and left them decayed with blight. Look at Hillbrow in Jozi. My friend hapo ni kubaya. Try walking there at any time of day or night and see if you do not get mugged or stabbed multiple times. Hoods like Ngara are heading there in the next 20 years. In this dingy hood the prices keep going up and up. These city view suites we discussed sometime back at 1.8m now at 3.25m. https://www.signatureafr...city-view-suites-ngara/
Quote:“The tender for construction of low-cost houses in Ngara has been won by China State Construction Engineering. We will be breaking ground tomorrow (Thursday) and they will be expected to deliver the first 100 units in the next one month,” said the PS. The project, which will run for two years through a design, build and finance model comprises 105 one-bedroom units, 540 two-bedroom types and 855-three bedroom houses. The estate borders Park Road Primary School and Muslim Academy. On completing the first 400 units, the developer will be paid 20 per cent of the contact value, 40 per cent upon project completion and 40 per cent after the defect liability period. https://www.businessdail...2816-kxac2cz/index.html
Edermann is busy Quote:The Nairobi County government has launched a Sh7 billion public residential apartments project in Ngara Estate. The project, River Bank Apartments, will see 3,000 units comprising eight blocks with 34 storeys each put up for low and middle income earners in line with the government’s commitment to provide affordable shelter for Kenyans. The venture, undertaken by Erdemann Property Limited, is set to be completed in less than one and half years. https://nairobinews.nati...ion-cheap-homes-project
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Rank: Elder Joined: 1/8/2018 Posts: 2,212 Location: DC (Dustbowl County)
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wukan wrote:MugundaMan wrote:snifadog wrote:I don't know about that theory vis a vis London, the east was always a s**thole, the city started to expand, canary wharf came up, gentrification then the olympics came up, greenwich, now the east part of the city is fetching top rates for both res and commercial properties. real estate literally doubled in a space of 5yrs. problem with inner city is it's older money, the new generation need something cheaper to allow them get their foot on the ladder kwanza Have you been to Fig Tree Ngara area in the pic below (Wukan's favourite surburb)lately? My friend, at night it looks more dingy than some of the dingiest hoods in Nairobi. In the West all the rich people of all races fled the inner city core to the surburbs and left them decayed with blight. Look at Hillbrow in Jozi. My friend hapo ni kubaya. Try walking there at any time of day or night and see if you do not get mugged or stabbed multiple times. Hoods like Ngara are heading there in the next 20 years. In this dingy hood the prices keep going up and up. These city view suites we discussed sometime back at 1.8m now at 3.25m.https://www.signatureafr...city-view-suites-ngara/
Quote:“The tender for construction of low-cost houses in Ngara has been won by China State Construction Engineering. We will be breaking ground tomorrow (Thursday) and they will be expected to deliver the first 100 units in the next one month,” said the PS. The project, which will run for two years through a design, build and finance model comprises 105 one-bedroom units, 540 two-bedroom types and 855-three bedroom houses. The estate borders Park Road Primary School and Muslim Academy. On completing the first 400 units, the developer will be paid 20 per cent of the contact value, 40 per cent upon project completion and 40 per cent after the defect liability period. https://www.businessdail...2816-kxac2cz/index.html
Edermann is busy Quote:The Nairobi County government has launched a Sh7 billion public residential apartments project in Ngara Estate. The project, River Bank Apartments, will see 3,000 units comprising eight blocks with 34 storeys each put up for low and middle income earners in line with the government’s commitment to provide affordable shelter for Kenyans. The venture, undertaken by Erdemann Property Limited, is set to be completed in less than one and half years. https://nairobinews.nati...ion-cheap-homes-project
 Which city view suites? The squalid 1 BEDROOM ones that HAVE NOT EVEN BEEN BUILT YET? How can a building that has not been built yet appreciate in value? As I said some pipo are truly delusional. Started with Kirinyaga rd "luxury bedsitters" and now this We can post how prices have rocketed in DC as well as thousands of proposed projects hapo hapo too so what is your point ? What you have not addressed is the urban inner-city decay happening in Ngara that has turned it into a glorified slum of sorts that is getting worse by the day! Why some people want to bury their heads in the sand in the face of incontrovertible FACTS is bemusing to me; https://www.businessdail...59216-k98ea2/index.html
Quote:The estate has deteriorated as others located near the central business district such as Upper Hill, Parklands and Westlands sprout with skyscrapers. Property prices also have stagnated and a number of buildings are vacant.
Charles Ng’ang’a, a marketing executive at Hass Consult says the presence of street families and property owners from the 70s clinging onto their old buildings without developing them has eroded the value of most the properties.
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Rank: Elder Joined: 11/5/2010 Posts: 2,459
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wukan wrote:MugundaMan wrote:Ngong stadium phase 1 to be completed by May at long last! Roadside hawkers - gone Largest market in East and central Africa - under construction Stadium - being built At this rate I might have to rebaptize Ngong as the new Jewel in the Crown instead of Kitengela Either way may both towns boom to the skies! http://countypress.co.ke...ioUpySx9WYKxiG35TbL4jms
Ngong will do much better because of the Kisii-they have a tenacity for business and starting to dominate Ngong, the new shorter route to Kisii through Ngong will work wonders for this town. Let me pose a question to you ? What drives a town or city ? My answer, the economic activity surrounding it. This in turn determines the purchasing power of the residents. All the top cement factories (7 of them) and steel factories operate from Kitengela. I don't any other town where a pub is full on a Monday afternoon. There is more cash in Kitengela than all other towns in Kenya save for the top 4 i.e. NRB,MSA,KSM & NKR. I have my doubts whether NKR & KSM can beat Kitengela. Ongata Rongai is a short 20KM away from the CBD. Kitengela is 32km. Rongai has 4 established universities i.e. Catholic, Nazarene, Multi-media and Adventist. It is the closest we have to a university town, but it will never get the kind of money that flows in Kitengela. Back to your Ngong, what does it have to offer ?
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