The rich eye health, student hostels in real estate sector
Healthcare, student housing and retirement property are now hot targets for real estate investors.
And it’s here where wealthy Kenyans want to put their money.
According to a recent Knight Frank survey; The Wealth Report 2020 , three segments offer higher returns for rich investors because of high demand.
The firm’s managing director Ben Woodhams, says there is a surging interest in student housing, which has been a hotspot of new activity in recent months after the launch of Kenya’s first green bond to fund accommodation for learners.
About 27 per cent of wealth managers interviewed said their clients were planning to invest in commercial property in 2020.
In order of preference health tops followed by retirement property with student housing coming third.
Increased migration abroad and within the country has also created demand for retirement facilities as senior citizens seek homes to live out their golden years.
More Kenyans want to remain independent and prefer such villages instead of old people’s homes.
“The need for more care and retirement facilities in Kenya has been largely overlooked until now,” says Woodhams.
Conversely, the real estate segment drawing the slowest growth in High Net Worth Individual interest is industrial property, which was recently the golden child of the sector.
Kenya’s rich are also showing relatively less interest in investing in property debt than in other areas of real estate, according to the report released recently.
