Topicals



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Recent Topicals

Nairobi Metropolitan Area (NMA) Serviced Apartments Report 2024

Nov 24, 2024

In 2023, we published the Nairobi Metropolitan Area Serviced Apartments Report 2023, which highlighted that the average rental yield for serviced apartments within the NMA increased by 0.6% points to 6.8% in 2023 from 6.2% in 2022. The improvement in performance was primarily on the back of improved occupancy rates and monthly charges by 0.5% points and 10.9%, to 66.3% and Kshs 3,045 per SQM, respectively, in 2023. This week, we update our report using 2024 market research data and by focusing on;  Overview of the Kenyan Hospitality Sector,  

Nairobi Metropolitan Area (NMA) Industrial Report 2024

Nov 17, 2024

In analyzing the Industrial Nairobi Metropolitan Area (NMA) we discuss the following; Overview of the Real Estate sector in Kenya, Overview of the Industrial sector in Kenya, Key trends, Opportunities and Challenges facing Industrial Real Estate Sector in NMA, Summary Performance of the NMA Industrial Sector in 2024, Conclusion and Outlook for the NMA Industrial Real Estate sector. Section I: Overview of the Real Estate Sector in Kenya The Real Estate sector in Kenya has grown over the years to become one of the largest contributors to the country’s Gross Domestic Product (GDP), supported by factors such as; i) positive demographics including higher urbanization and population growth rates of 3.7% p.a and 

Nairobi Metropolitan Area (NMA) Mixed Use Developments Report 2024

Nov 10, 2024

In December 2023, we released the Nairobi Metropolitan Area Mixed-Use Developments (MUDs) Report 2023 which highlighted that Mixed-Use Developments recorded an average rental yield of 8.4%, 1.3% points higher than the respective single-use themes which recorded an average rental yield of 7.1% in a similar period in 2023. The relatively better performance was mainly attributed to; i) heightened demand for prime locations attracting clients willing to pay premium rents, ii) strategic and prime locations of the developments with the capability to attract prospective clients, and, iii)) the area’s proximity to amenities such as shopping malls enhancing the desirability. This week we update our report with 2024 market research data in order to determine the progress and performance of MUDs against the market performance of single-u...

Focus of the Week: Kenya’s Balance of Payments Report

Oct 27, 2024

In pursuit of a stable and sustainable economic future, the Kenyan government prioritizes balancing its economic policies, especially regarding the Balance of Payments. Achieving this balance is essential to ensuring stable trade relations, managing capital inflows and outflows, addressing inflationary pressures, and maintaining a favourable exchange rate system. These efforts are geared towards fostering economic growth, creating employment opportunities, and implementing strategic commercial policies, all of which play pivotal roles in Kenya's pursuit of a robust and sustainable economic trajectory. In light of this, we saw it fit to focus on Kenya’s balance of payments to analyse the current state and what can be done to improve it. We have previously tacked the subject of balance of payments in our topical titled

Kenya Listed Insurance H1’2024 Report

Oct 20, 2024

Following the release of the H1’2024 results by Kenyan insurance firms, the Cytonn Financial Services Research Team undertook an analysis on the financial performance of the listed insurance companies and the key factors that drove the performance of the sector. In this report, we assess the main trends in the sector, and areas that will be crucial for growth and stability going forward, seeking to give a view on which insurance firms are the most attractive and stable for investment. As a result, we shall address the following: Insurance Penetration in Kenya, Key Themes that Shaped the Insurance Sector in H1’2024, Industry Highligh...