Multinationals are scrambling for space in Nairobi to put up their African headquarters, emboldening the capital city’s name as the gateway to East Africa.
A just-released report by financial investment firm Britam says Nairobi is enjoying international limelight due to its global air connection and expanded infrastructure that favours industrial activity, financial and transport services as well as exploration.
Britam chief executive Kenneth Kaniu said that easing of trade barriers within East Africa as well as availability of highly skilled manpower in Kenya have made Nairobi a favourable location for multi-country operations.
“Nairobi is taking off as a hub location for global corporations looking to establish offices in East Africa. The city is expanding from being the economic hub of East Africa to its biggest modern shopping destination. In 2016 and 2017, a further 1.3 million square feet of modern retail space will be delivered to the market,” he said.
Britam, which is currently putting final touches to its 31-floor “green” regional hub office block at Upper Hill, Nairobi, said its study had established that Nairobi was experiencing unrivalled growth in industrial, residential and retail space development.
“Nairobi is experiencing a development boom across the majority of its commercial sectors that instructed the increased supply in office and retail sectors. This has redefined the skyline although some doubts exist around the relative demand for the new stock coming onto the market,” said the report.