A big one. In Eastleigh, sorry for being stereotypical, a 40 by 80 plot can fetch 10m.
How does somebody recoup their investment?? Surely.
The knock off effect has spiralled on to other areas.

@urstill1..its quite a complicated concept of land taxation. You will hve to google n get the basics of it and how it works in other countries to understand. The current tax rates cant sustain new roads development as @najujua suggests coz this needs huge capital outlay. This capital outlay is actually here with us i.e if you buy land for 10m and sell for 20m, you have capital gains of 10m which you will pocket for your use within the country. This 10m should be heavily taxed so that say 5m of this goes into expanding the roads network. Currently, the 10m capital gains is never taxed after easy evasion except for 3% stamp duty.
In South Africa, most of the 10m capital gain will have to be shared with Govt who will input more infrastructure.

[quote=a4architect.com]generally, govt is supposed to use tax to lay more infrastructure hence create a larger Karen so that demand doesn't outstrip supply. In Kenya since there is very little infrastructure devt by govt, demand keeps rising. It will rise until breaking point, most likely a libya/syria anarchy revolt situation. After this, kenyans will learn the importance on relying on scientific research to come up with home grown land /fiscal economy solutions.

Wazuans in USA, please confirm that average price of land per acre in USA is kes 300k as described below

http://www.bloomberg.com...-to-2-900-per-acre.html[/quote]

To answer your question, land and housing prices in the US depend on location. I wont comment much on the article coz it talks about farming land which is entirely different from residential land, but the logic of location holds for both. Land and houses are generally very expensive in the North East ( NY, NJ, MA,) and in the West(CA, WA) but tends to be very cheap in the Midwest and the south ( GA,LA,TN,AL). Bankruptcy has also made places like Detroit very cheap, at the peak of the crisis, you could buy a house for $1, but it came with a lot of headache. Surprisingly, you can get relatively cheap land or houses nearby the expensive metropolitan areas. For example, there are very cheap houses in PA, which is 2 hours commute from NY, but the closer you get to NY, the prices shoot up astronomically.

@nabwire..thanks. I wanted price per acre for both farmland and cbd land for comparison. In kenya, farmland is around kes 100k per acre and cbd land is around 250m per acre. What of usa? The article says kes 250 k per acre which sounds too low for usa. This means alot of middle class kenyans can afford farmland in usa if its true.

Exactly how much is an average 1 acre plot in USA for farmland and CBD?
Looks like kenyan prices could be higher.