Rent and house prices in select Nairobi estates have been projected to increase following the expected expansion in the United Nations (UN) offices in Nairobi.
According to a report by real estate firm - Knight Frank, the expansion, which is expected to be done by 2026, will create significant demand for housing in estates that offer premium housing, such as Kitisuru.
Kenya Market Update Report covering January to June 2025 also listed Muthaiga, Karen, Loresho, Spring Valley, and Lavington.
The estates are currently noted to be attracting premium valuations owing to exclusivity, security, and accessibility via the Nairobi Expressway.
"The upcoming establishment of three additional UN headquarters in Nairobi by late 2026 presents a significant demand catalyst, with expectations of a significant number of new expatriates requiring premium housing. This anticipated influx may create upward price pressure in the medium term.
"Prime neighbourhoods, including Muthaiga, Karen, Kitisuru, Loresho, Spring Valley, and Lavington continue to command premium valuations due to their exclusivity, security, controlled development, and superior accessibility via the Expressway," read the report in part.
In the 6 Nairobi estates, rent prices range from Ksh60,000 to Ksh500,000, depending on the size of the house, location, and the number of bedrooms.
In terms of house prices, the prices range between Ksh20 million to Ksh400 million, with some houses priced higher.
One of the advantages that most of the 6 estates have is also their proximity to the UN complex in Gigiri, making them ideal for the expatriates.
The road network in the estates also makes it easier for the residents to access key installations such as the Jomo Kenyatta International Airport (JKIA) with ease via the Nairobi Expressway.
By the end of 2026, 3 UN agencies are expected to shift their operations in Nairobi, and they include the United Nations Children's Fund (UNICEF), the United Nations Population Fund (UNFPA), and UN Women.
According to reports, close to 2,000 UN employees are set to move to Kenya once the expansion is completed.
Currently, there are 6,000 UN personnel in Kenya, with 5,000 based within the UNON complex in Gigiri across 80 offices.
These personnel manage UN operations spanning Somalia, Sudan, peacekeeping missions, and Special Political Missions throughout the region.
Join 1.5M Kenyans using Money254 to find better loans, savings accounts, and money tips today.
Money 254 is a new platform focused on helping you make more out of the money you have. We've created a simple, fast and secure way to find and compare financial products that best match your needs. All of the information shown is from products available at established financial institutions that our team of experts has tirelessly collected.