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Kona Baridi -Ngong Hills
mibbz
#61 Posted : Thursday, January 31, 2013 9:50:50 PM
Rank: Member

Joined: 2/18/2011
Posts: 448
maka wrote:
@mibbz analyse Narok


Narok-right place wrong town; its the only decent town for miles with Nairobi and naivasha being 2 hours away and bomet 1.5hours away.i think the Narok county council is one disorganized lot; there is very poor planning of the town as evidenced by the disorganized buildings,very bad roads outside the town as you head to most residential areas and the common flooding of most of the town whenever it rains due to its low lying location.residents are trapped and have no option but to use the town

The town itself is ok and its one of the few rural towns i have seen having a booming cab business and the older the cab the less the business you get meaning most of them are new-plates premios,allions,runx etc They road network poor

On the plus side with tourism comes money to spend although i feel they haven't effectively utilized this. Restaurants within the town are luck lusture and only two-three are worth eating at. I feel like there are no alternatives within the town for the wealthy farmers and tourists seeking entertainment. Farming is big in Narok and the county has very many wealthy farmers as a result meaning increased purchasing power.

Another advantage of the town is Narok constituent college that shall be elevated in the near future into a fully fledged university thus opening up demand for real estate

Rental yields are good due to lack of good accomodation in the town,a comfortable two bedroom in a nice estate going for 15k with demand exceeding supply.add the incoming devolution and you have a greater demand and low supply of quality housing

Only issue i have is with Narok County Council being one of the richest in the country with such poor service provision to the people of Narok,i fear the county government might fall into the same 'eating' trap at least for the 1st two years before they wake up.

County and town with potential but only if they can get their act together,plan and maximize as they have it all.Am betting the nearby counties might overtake them should they not get it right this time round
mibbz
#62 Posted : Friday, February 01, 2013 9:23:37 AM
Rank: Member

Joined: 2/18/2011
Posts: 448
nostoppingthis wrote:
@Mibbz, I'm still waiting on your email for the potential areas.

Will the greater southern bypass come through Saikeri?


am sorry but cannot e-mail as i don't have a document detailing the town by town details,all this is based on my experience and interactions during travel but perhaps i should come up with something more organized and comprehensive.Sorry for the inconvenience
ChumsQuest
#63 Posted : Saturday, February 02, 2013 7:18:54 AM
Rank: Member

Joined: 1/24/2013
Posts: 325
mibbz wrote:
ChumsQuest wrote:
mibbz wrote:
Lolest! wrote:
@mibbz, I like your analysesApplause Applause but I think you are overestimating the effect of devolution on real estate.

I do not see a lot of reverse migration to the counties happening. Infact, you have to be very long term to count on this.



@Laughing out loudly! i have had the rare opportunity of travelling to 41 of the 47 since promulgation of the new constitution and all i have seen is hope and potential. I actually work in mashinani....it won't be a reverse migration as such but more of opening up of opportunities in these regions that shall create a demand for quality services and housing resulting in a boom

picture this: Turkana county is to get 8.5 Billion per year under devolution.with a responsible county govt what could follow the money is: good motorable roads(whether tarmac or murram), staff seconded to county govt even if they are just 100,imagine need for at least 50 houses,a pub,quality healthcare thus more doctors nurses and services, need for water thus water drilling companies and their staff, unexploited fishing in lake turkana thus a fish processing plant,trucks to transport this and goes back to good roads...possiility of increased area under irrigation after investment just as delamare has done thus increased food security and surplus being sold meaning cereal traders coming to fetch grain,rice etc...

All am saying is real estate in nairobi and environs might stunt a bit as a result of decreased investment by developers and such due to greater demand and returns in other areas...world bank released a report indicating this and i believe it shall come

What about Embu? Anyone with info?



Visited Embu a couple of times and interacted with locals. Its a wonderful town and quite big but i think what ails this town is its being overshadowed by meru; Meru has consistently been growing at a faster rate courtesy of the miraa,Kemu uni,KMTC and that meru university college; and now a uni is being built in Chuka which shall result in further alienation of Embu as the larger meru region grows....Another issue is No universities in Embu,and i don't mean the Government training institute,KMTC or a small branch of a larger university

Most towns exhibiting a rapid growth have major universities coming up coupled with devolution.

I see Embu as a misplaced town fighting for space and relevance between Meru and the rice producing Mwea not to mention the up coming town of Chuka


Thanks @Mibbz, good info here. I think it's one of those you get a kaacre or two and forget about it just for speculation and then go HAM on Meru and the likes. Someone was telling me an acre is going for 160k so am going to find out more info on this.
Lolest!
#64 Posted : Saturday, February 02, 2013 9:41:24 AM
Rank: Elder

Joined: 3/18/2011
Posts: 12,069
Location: Kianjokoma
Embu overshadowed by Meru. How now? These towns are far apart.
Laughing out loudly smile Applause d'oh! Sad Drool Liar Shame on you Pray
mibbz
#65 Posted : Saturday, February 02, 2013 12:21:19 PM
Rank: Member

Joined: 2/18/2011
Posts: 448
Lolest! wrote:
Embu overshadowed by Meru. How now? These towns are far apart.


i shall give you an example of Eldoret and its surrounding towns of kapsabet,Iten and Kabarnet which have continued to fade as Eldoret grows.

Thing is why invest in a not so progressive Embu while the more vibrant Meru and up-coming Chuka and perhaps Mwea are a better option with better returns? Embu needs to wake up!
ChumsQuest
#66 Posted : Saturday, February 02, 2013 6:41:21 PM
Rank: Member

Joined: 1/24/2013
Posts: 325
mibbz wrote:
Lolest! wrote:
Embu overshadowed by Meru. How now? These towns are far apart.


i shall give you an example of Eldoret and its surrounding towns of kapsabet,Iten and Kabarnet which have continued to fade as Eldoret grows.

Thing is why invest in a not so progressive Embu while the more vibrant Meru and up-coming Chuka and perhaps Mwea are a better option with better returns? Embu needs to wake up!

@mibbz @Lolest, Nyahururu? Heard of Runda or is it Muthaiga of Nyahururu?
mibbz
#67 Posted : Saturday, February 02, 2013 8:23:49 PM
Rank: Member

Joined: 2/18/2011
Posts: 448
Muthaiga is in many towns like nanyuki,Nyeri even Nyahururu, reason Nyahe is booming is because its the getway to maralal and that part of the upper rift valley.businesses doing well in that town especially hardwares and restaurants although supermarkets could do a bit more.the Laikipia university college has a campus somewhere near the town but i dont think its as big and it could improve

there is a big hotel with flats at the back that most professionals stay and rent is approx 10k for a 2 bed room but they are many thus owner doing well in terms of economies of scale as its almost fully let out

I still believe there is a lot of potential untapped in the hospitality industry because of the large ranches in the region with wealthy farmers as well as tourists visiting samburu or thompsons falls or aberdares and tafaria castle could do with more competition.

Industries i would go into:
transport-to maralal although high maintenance costs eg transport wheat after harvest in samburu

hospitality-huge market no product diversity

farming
ChumsQuest
#68 Posted : Saturday, February 02, 2013 8:38:47 PM
Rank: Member

Joined: 1/24/2013
Posts: 325
mibbz wrote:
Muthaiga is in many towns like nanyuki,Nyeri even Nyahururu, reason Nyahe is booming is because its the getway to maralal and that part of the upper rift valley.businesses doing well in that town included hardwares especially and restaurants although supermarkets could do a bit more.the Laikipia university college has a campus somewhere near the town but i dont think its as big and it could improve

there is a big hotel with flats at the back that most professionals stay and rent is approx 10k for a 2 bed room but they are many thus owner doing well in terms of economies of scale as its almost fully let out

I still believe there is a lot of potential untapped in the hospitality industry because of the large ranches in the region with wealthy farmers as well as tourists visiting samburu or thompsons falls or aberdares and tafaria castle could do with more competition.

Industries i would go into:
transport-to maralal although high maintenance costs eg transport wheat after harvest in samburu

hospitality-huge market no product diversity

farming

@mibbz Thank you, I value your insight. Question is, is it worth holding land in Nyahururu, Muthaiga or build hostels for college kids?
Chaka
#69 Posted : Saturday, February 02, 2013 9:00:25 PM
Rank: Elder

Joined: 2/16/2007
Posts: 2,114
@mibbz,
When you say you have interacted with the locals..how do you go about it?Do you say enter a bar and buy total strangers a drink in exchange for info..?
mibbz
#70 Posted : Sunday, February 03, 2013 4:48:30 AM
Rank: Member

Joined: 2/18/2011
Posts: 448
ChumsQuest wrote:
mibbz wrote:
Muthaiga is in many towns like nanyuki,Nyeri even Nyahururu, reason Nyahe is booming is because its the getway to maralal and that part of the upper rift valley.businesses doing well in that town included hardwares especially and restaurants although supermarkets could do a bit more.the Laikipia university college has a campus somewhere near the town but i dont think its as big and it could improve

there is a big hotel with flats at the back that most professionals stay and rent is approx 10k for a 2 bed room but they are many thus owner doing well in terms of economies of scale as its almost fully let out

I still believe there is a lot of potential untapped in the hospitality industry because of the large ranches in the region with wealthy farmers as well as tourists visiting samburu or thompsons falls or aberdares and tafaria castle could do with more competition.

Industries i would go into:
transport-to maralal although high maintenance costs eg transport wheat after harvest in samburu

hospitality-huge market no product diversity

farming

@mibbz Thank you, I value your insight. Question is, is it worth holding land in Nyahururu, Muthaiga or build hostels for college kids?


Those are two business models

1.Hostel-Build and run,need a caretaker plus a groundsman and security.usual student issues of parties,breakages etc so need to find a good price point to make a profit esp considering whether its trimester or just two semesters a year

2.Muthaiga aka green leafy suburb.build a decent house and rent it out with minimal supervision and agreed payment terms also including a contract. With the oncoming devolution you can hope for decent housing thus a good rental yield esp from the senior county administrators

In summary chose a business model that suits you although with all honesty there are few towns that can match and even beat the rental yields in nairobi.......Nanyuki is an example of that.so chose and invest wisely


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