The overall rise in demand for office space in Nairobi is mainly being fuelled by the strong growth of the services sectors and the continued position of Nairobi as a regional hub, two factors which have directly impacted the commercial sphere.
The main drivers of demand for office space are the rapidly growing professional services sector, the banking and insurance industry and international firms using Nairobi as a regional hub, the public sector and government
Commercial office rents have been on an upward trend over the past five years growing at an annual rate of 14%. This growth rate combined with annual contractual rent escalations of no more than 7.5% means that landlords with longer leases are consistently finding their assets under-performing in the market.