New data from the HassConsult Land Price Index for Q3 2025 reveals that land price growth in Nairobi’s satellite towns is slowing down as economic pressure forces middle-class self-builders to hit the brakes.
Growth across 14 satellite towns was a meager 0.84% in the quarter, dragging the annual rise down to 6.6%. Meanwhile, Nairobi’s 18 monitored suburbs, fueled by major developer projects, maintained stronger growth at 1.22% in the quarter and 6.27% annually.
The strongest growth in land prices now tracks areas where zoning changes and developer demand are driving conversion from large homes to multi-use properties.
The clear winner this quarter is Spring Valley, which saw a massive 3.6% quarterly spike and a 13.3% annual jump. Developers are chasing land here to convert large plots into apartments and commercial spaces, fundamentally changing the suburb’s character.
Conversely, suburbs with stricter planning regulations and limited public transport—like Muthaiga—are feeling the pinch. Muthaiga’s land prices actually dipped by 0.2% in Q3, tipping its annual performance into a slight decline.
| Index Highlight | Highest Quarterly Increase | Highest Annual Increase |
| Nairobi Suburbs | Land in Spring Valley (+3.59%) | Land in Spring Valley (+13.29%) |
| Nairobi Satellite Towns | Land in Mlolongo (+3.45%) | Land in Juja (+14.85%) |
The big story outside the city centre is the slowdown in what were previously major self-building hotspots like Kiserian and Kitengela.
As Co-CEO Sakina Hassanali explains, many middle-class buyers would purchase land in these areas at lower prices (the average price per acre remains KES 32.3M compared to KES 223.9M in Nairobi) to build their homes in stages.
However, tightening finances and economic pressures are reducing the flow of buyers able to afford even the initial land purchase. The result? Growth is moderating fast.
| Average Price per Acre (KES) | Nairobi Suburbs (18) | Satellite Towns (14) |
| Average Value | 223.9 Million | 32.3 Million |
| 10-Year Growth (Since 2015) | 1.30 Fold | 2.10 Fold |
Satellite towns are now showing mixed results. Areas that still see strong price increases, like Mlolongo and Juja (+14.9% annually), are those where active developers—not just self-builders—are present. Meanwhile, towns that rely heavily on the self-builder model, such as Kiambu (-1.94% in Q3), are cooling rapidly.
Even with the recent slowdown, land continues to be the definitive wealth-builder in Kenya.
A hypothetical KES 1 million investment made at the end of 2007 would now be worth:
- KES 13.23 Million if invested in Satellite Town Land
- KES 7.40 Million if invested in Nairobi Suburb Land
- KES 1.70 Million if invested in savings