INVESTMENT PROFILE SYOKIMAU/KATANI

Nairobi's fastest-growing middle- income neighbourhood | 2015/2017

https://realestateguru.co.ke location

Syokimau and Katani are located south-east of CBD off Mombasa Road.

The main access roads to these growing neighborhoods include: 1. Mombasa Road (both Syokimau and Katani) 2. Road (Utawala and Katani) 3. Eastern Bypass (Utawala and Katani)

Katani is bordered by Syokimau to its south-west and by Utawala and the adjacent neighborhoods of Ruai to its north

Mombasa Road: Access to Syokimau/Katani

https://realestateguru.co.ke The Neighbourhood

Gables Park: Gated Community within Syokimau Commercial Hub within the neighborhood

Syokimau/Katani neighborhood is strategically located just 10 minutes’ drive from Nairobi’s Jomo Kenyatta International Airport and just five minutes away from both Nairobi Metropolitan’s Syokimau Railway Station and the main termination station for the new regional transport hub, Nairobi-Mombasa SGR Terminus.

Syokimau features controlled development with clearly demarcated residential and commercial areas. The commercial and multi-dweller development areas bordering this residential suburb are found in the outer zones bordering the busy Mombasa Road and largely feature commercial warehouses and light industrial complexes. Multi-dweller housing complexes are also situated within this outer zone with close proximity to the highway than the residential areas.

Syokimau can largely be described as a fast-growing, single-dweller, owner-occupied, upper-middle income to an upper-income neighborhood. The residential zones feature a large and growing number of single- dweller housing structures; the vast majority of which have been privately developed. It also features several gated community-style developments developed by SACCOS and other private housing developers including The Gables Park, Great Oak Villas, Amani Village, Pelican Villas and Stima Village among others.

Both Syokimau and Katani administratively fall under County.

https://realestateguru.co.ke Drivers of Growth

The growth of the Syokimau/Katani neighborhood can be attributed to factors that have to do with both its intrinsic qualities as well as factors attributable to the renaissance of Nairobi and as a whole.

The five key factors are:

1. Infrastructure developments: SGR oNGOING rOAD wORKS- sYOKIMAU aIRPORT rOAD and Metropolitan Train Stations

2. Population growth and demographic factors

3. High prices of land in the traditional neighborhoods closer to the city

4. Institutional facilities and amenities cOMPLETED rOAD-sECTIONS- SYOKIMAU AIRPORT ROAD 5. Security

hILTON gARDEN INN NAIROBI - OFF MOMBASA ROAD https://realestateguru.co.ke Infrastructure developments, SGR naIROBI tERMINUS and Metropolitan Train Stations

oNGOING ROAD WORKS - SYOKIMAU AIRPORT ROAD NAIROBI SGR TERMINUS

The main road networks and arteries feeding these residential areas include

1. From Mombasa Road: Syokimau Airport Road, Kiungani Road; and Katani Road 2. From Kangundo Road and Eastern Bypass: various access roads from Utawala, Kangundo Road and the Eastern Bypass.

Under the Maendeleo Chapchap Initiative, access roads from Mombasa Road are all being upgraded to Bitumen Standard (tarmacked roads) from October 2015, with both drainage works on both Syokimau Airport Road and Kiungani Road completed. Notably, the key access road, Syokimau Airport Road which is about 6km long is at 50% completion (approximately 3km) as at October 2017. The roads projects are ongoing and include drainage and street lighting developments. Currently, Syokimau Airport Road has completed drainage works and has been tarmacked up to 50%. When complete these road networks will connect Syokimau and Katani to the neighboring areas including Utawala, Ruai, and the neighborhoods situated Kangundo Road, Mlolongo and and create speedier access to the Eastern Bypass spurring even greater growth

In addition to being adequately serviced by a stable road network, the area is also home to the Nairobi Metropolitan Syokimau Railway Station and is the main termination point for the Nairobi-Mombasa SGR project at a separate station. That the neighborhood hosts both the metropolitan service and the main termination point for the new regional railway network will undoubtedly witness the expansion of this neighborhood. Indeed, the Hilton Group of Hotels has made its first major investment in the country in this neighborhood as it looks to solidify its market position with the Hilton Garden Inn.

https://realestateguru.co.ke oTHER fACTORS: pOPULATION gROWTH

With the burgeoning of Nairobi’s population, there is a greater shift away from the center for primarily residential purposes. However, this phenomenon extends even to commercial properties.

As areas of the city that were hitherto zoned as residential areas are converted into commercial use (areas like Upper Hill, the suburbs of Ngong-Road and Kilimani areas, South B and South C), the residents in those areas are moving out further away from the city into areas where there is more room for expansion with more moderately-priced land.

In effect, the land along the major highways leading out of the city are also witnessing the development of more commercial spaces as people elect to live and work closer to where they reside to avoid the inconveniences of traffic and lengthy commuting. This has also seen the growth of institutions and spawned the growth of shopping areas (markets) outside of the city along roads like Mombasa Road and in the “new” residential hubs like Ruaka.

There are also a growing number of businesses that are operated informally that are home-based and operated from residential areas as the population begins to adopt business models that are not necessarily based on “brick and mortar”. oTHER fACTORS: Prices of Land

Land prices in Nairobi have grown astronomically over the years. This is particularly true of the once-heralded traditional neighborhoods that were in close proximity to the city. These traditional neighborhoods are now becoming heavily commercialized with new developments in these areas being reserved for exclusive, upmarket commercial rental spaces or residential properties that are out of the reach of the vast majority. This is particularly true of neighborhoods dominated by owner-occupied properties like Kilimani, Lavington, Upper Hill, Valley Road, Kileleshwa, Westlands and many other similar neighborhoods. And this is true for both rentals and acquisitions. As the prices for both rent and acquisition of properties in those residential areas closer to the city have become unaffordable to the vast majority, there has been a vast growth in either commercial spaces or multi-dweller units in other traditionally owner-occupied neighborhoods (like South B and South C) as investors look to increase the return on their investments through sustainable income channels.

https://realestateguru.co.ke VIEWS FROM KATANI/ SYOKIMAU

PROPERTY DEVELOPMENTS IN KATANI

PROPERTY DEVELOPMENTS IN SYOKIMAU

BOUNDARY OF SYOKIMAU AND KATANI

https://realestateguru.co.ke In addition to this, new commercial spaces outside Nairobi CBD are relatively lower-priced. For families and individuals moving out of the city to live and work closer to where they reside, the combination of lower/moderately-priced housing and commercial spaces where they can work, is a big attraction. This demand for low to moderately priced housing is one of the key drivers for growth in areas like , Syokimau and Katani. oTHER fACTORS: Institutional facilities and amenities

The neighbourhood is well serviced with clean water supply from the local municipal authorities. In addition, it is adequately connected to the electricity grid through Kenya Power and Lighting Company. There are several shopping centres both within the residential area and it also has one major mall, Gateway Mall, at the main entrance to the neighbourhood off Mombasa Road. The area is adequately served by several schools and medical centres within or close by the neighborhood. It has quick access to entertainment facilities, restaurants, hotels and even basic financial services (with easy access to ATMs) at the mall. oTHER fACTORS: SECURITY

The neighborhood is served by both administrative and regular police departments with which are stationed within the residential hubs. In addition, the community within the neighbourhood has a strong and active residents association which actively lobbies and engages its political representatives for the improvement of service delivery. This greatly augments both social welfare programs and security within the neighborhood. Syokimau/Katani neighbourhood reputedly has one of the strongest “Nyumba Kumi” networks in Nairobi and the residents association has been instrumental at lobbying for the new infrastructural developments at the county level.

ONGOING ROAD-WORKS, BOUNDARY OF SYOKIMAU/KATANI

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