Rental house construction projects are always accompanied by confusion on project flow and requirements. One of the main concerns for the prospective builder is the expected expense for the project. This article provides insights into the cost of building rental houses in Kenya. The aim is to enable prospective builders to fast-track their budget before embarking on the project. This will will enable following a right an simple construction process. According to a survey conducted by Integrum Construction in the period between October 2023 and April 2024, the cost of building rental houses including commercial, retail, residential and industrial structures Kenya ranges between KES 48,750 and KES 11,414 per square foot. This represents a 17.6% increase from the construction cost in 2023. the increase in construction cost in Kenya is attributed to several factors key of them being volatile taxation rates, sharp hikes in the central bank’s rates and increase in cost of key raw materials such as clinker.
How much does it cost to build an apartment complex in Kenya?
An individual aiming to build a luxurious apartment complex in Nairobi and its environs will have an expenditure of KES 77,910 per square metre. In the coastal region, the cost of similar apartment blocks is slightly higher at KES 78,200 per square metre. The cheapest region for constructing a luxurious apartment complex is Nyanza and Western region where a developer will be required to spend KES 73,710 per square metre. Building a standard low-rise apartment in Nairobi and central Kenya costs KES 55,350 per square metre. A standard high-rise apartment in Nairobi and central Kenya costs KES 60,435 per square metre. In the coastal region, a standard low-rise apartment complex in Kenya costs KES 51,800 per square metre. On the other hand, a standard high-rise apartment costs KES 59,950 per square metre. Constructing standard low-rise and high-rise apartment complexes in Nyanza and Western regions costs KES 58.335 per square metre and KES 62,940 per square metre respectively.
Average Cost of Building 3, 4 and 5-bedroom Houses in Kenya
On average, building a modest 3-bedroom house will cost approximately KES 4.4 million to construct. In this case, the most expensive three-bedroom construction project will cost KES 7.5 million. The average cost of constructing a 4-bedroom mansionette stands at 6.7 million. Adding an extra bedroom pushes the average cost further to an estimated.
Cost of Building Commercial Houses in Kenya
A standard high-rise office block costs KES 82,860 per square metre to construct in Nairobi and its environs. As per the survey data from Integrum Construction, the cost value for a similar office block rises to KES 86,300 per square metre in the cost region and further to KES 89200 per square metre in Nyanza and Western region. In Western and Nyanza regions, one requires KES 56,620 to per square metre to construct a small-scale shopping centre. This figure falls to 54,125 per square metre on the coast and KE 52,280 per square metre in Nairobi and Central Kenya.