The Nairobi commercial-sale market in 2026
Nairobi is the dominant commercial investment market in Kenya. There are currently 986 commercial properties for sale, with asking prices spanning KES 30 — KES 5.5B. The median ask is KES 120,000,000 — substantially higher than the residential median, reflecting that commercial holdings are usually whole blocks or large warehouse units rather than individual apartments.
The market splits by buyer profile:
- Owner-occupiers buying their own premises (KES 15–80M, typically Kilimani, Westlands, Parklands, Lavington for offices; Industrial Area or Mombasa Road for warehouses).
- Investors building yield portfolios (KES 30–200M, typically Westlands and Kilimani for offices, Industrial Area for warehouses; gross yield expectations 7–10% before opex).
- Institutional / fund buyers (KES 200M+, focused on Westlands and Upperhill class-A towers, large Industrial Area distribution centres, and CBD legacy blocks).
- Strategic / change-of-use buyers (variable budget, looking for parcels with development upside — particularly Kilimani residential-overlay zones permitting commercial conversion).
Where supply concentrates
Just four sub-areas hold over 55% of active inventory: Industrial Area Nairobi (29 properties, average KES 151M — mostly warehouses), Westlands (27 properties, average KES 104M — offices and mixed-use), Nairobi Central (25 properties, average KES 290M — CBD legacy blocks) and Kilimani (23 properties, average KES 207M — mixed-use and office conversions). Secondary clusters include Zimmerman (16 — smaller pockets), Mombasa Road (7 — logistics) and Upperhill (5 — corporate offices).
Typical asking prices by use-class
| Use class | Typical asking price | Where to look |
|---|
| Small office (under 200 sqm) | KES 12M – 40M | Kilimani, Parklands, Lavington |
| Mid-market office floor (200–800 sqm) | KES 40M – 200M | Westlands, Upperhill, Kilimani |
| Class-A office tower | KES 200M – 4B+ | Westlands, Upperhill, CBD |
| Retail block / mall unit | KES 30M – 500M+ | Westlands, Kilimani, CBD |
| Warehouse (under 2,000 sqm) | KES 30M – 150M | Industrial Area, Mombasa Road |
| Distribution centre (2,000+ sqm) | KES 150M – 650M+ | Industrial Area, Embakasi |
What it actually costs to acquire
Headline price is rarely the full bill. Plan for transaction costs of approximately 6–10% on top:
- Stamp duty: 4% within Nairobi City County (vs 2% in counties outside Nairobi). On a KES 50M commercial property that's KES 2M.
- Legal fees: 1.5–2% of value to your conveyancing advocate, per the Law Society of Kenya Advocates' Remuneration Order. Commercial transactions typically attract a higher legal touch than residential due to lease assignments, service-charge audits and zoning verifications.
- Valuation fee: KES 30K–150K depending on size and complexity. Required if you're using bank finance.
- Bank arrangement fee (if mortgaged): typically 1–1.5% of loan value. Commercial mortgages are tighter than residential — most banks cap LTV at 70% and require 5+ year audited accounts.
- NEMA EIA (if change of use planned): KES 50K–300K plus 4–12 weeks.
- Pending service-charge audit: insist on the latest service-charge ledger and any pending capex contributions. Outstanding service-charge arrears transfer with the title unless explicitly excluded.
Tenancy due diligence — what you're really buying
When the asset is already tenanted, you're buying the lease as much as the building. Demand from the seller:
- Full rent roll (tenant, suite, base rent, escalation, lease start/end, break clauses, deposits held).
- Audited service-charge accounts for the last 3 years.
- WALT (Weighted Average Lease Term) — investor-grade benchmark; institutional buyers expect 4+ years.
- Vacancy report and any tenant payment-delinquency history.
- Pending capex schedule (lift refurbishment, generator replacement, roof works) — these typically transfer with ownership unless explicitly excluded.
Financing a Nairobi commercial purchase
Kenyan commercial mortgages are tighter than residential: typical maximum LTV is 60–70%, terms run to 10–15 years (vs 25 for residential), and rates currently sit at 13.5–17% APR. Banks require audited accounts (typically 3–5 years), a current debt-service-coverage-ratio (DSCR) of 1.25+, and a tenancy schedule if the asset is leased. Some banks offer SBA-style products through the Kenya Development Bank — worth asking your relationship manager.
Commercial in counties near Nairobi
If your investment thesis is satellite-corridor growth, see commercial property for sale in Machakos (33 active — covers Athi River, Mlolongo, Mavoko, all served by the Mombasa Road corridor) and commercial property for sale in Kiambu (30 active — Ruiru, Thika, Limuru). For coastal commercial, see commercial property for sale in Mombasa.
Looking to lease rather than buy? Commercial property for rent in Nairobi covers the same neighbourhoods with monthly rent pricing.
Inventory and prices on this page are pulled live from active listings. Data current as of June 2026.
