Multiple Nairobi neighborhoods witnessed land price reductions during the last quarter of 2025, according to the recent Hass Consult Quarterly Land Price Index published on January 27.
The data indicates that Muthangari experienced the most significant quarterly decline among Nairobi’s suburban areas, with land values decreasing by approximately 0.8 percent between October and December, making it the least performing region during this period.
Westlands also showed a decrease during the same timeframe, with land prices falling by 0.3 percent. Similarly, Muthaiga recorded a slight reduction of 0.1 percent over the corresponding period.
In Nairobi’s surrounding satellite towns, Syokimau reported a quarterly land price reduction of 0.4 percent, indicating decreased demand for land in the area during the final quarter.
Although some areas experienced quarterly declines, the report identifies neighborhoods where growth merely decelerated rather than actual price drops. These locations include Spring Valley, Loresho, and Upper Hill, where expansion significantly slowed yet remained positive.
These figures represent a departure from the preceding quarter when more regions reported falling land prices. During Q3 2025, Ngong, Ruaka, Ongata Rongai, Tigoni, and Kiambu also recorded decreases, suggesting a widespread slowdown between July and September 2025.
The report additionally highlighted the average land price, which reached Ksh226.8 million per acre by December 2025. This represents a substantial increase from Ksh30.3 million in 2007, demonstrating nearly twenty years of consistent land value growth.
Upper Hill was identified as the most expensive region, with an average land price of Ksh560.6 million per acre. Westlands ranked second with average values of Ksh502.7 million per acre.
Other premium areas included Parklands, Muthangari, and Kilimani, with prices varying between Ksh432 million and Ksh465.8 million per acre.
Mid-tier yet upscale neighborhoods like Riverside, Kileleshwa, Spring Valley, and Lavington recorded land values between Sh275 million and Sh369 million per acre, supported by continued demand for residential and mixed-use developments.
More affordable Nairobi suburbs included Ridgeways, Lang’ata, and Karen, where land prices ranged from Ksh76 million to Ksh92.1 million per acre. These regions remain appealing for larger residential properties.
Annually, Ridgeways was the sole Nairobi suburb to experience a decline, with land prices decreasing by 0.1 percent throughout 2025. Kiambu was the only satellite town to show a full-year reduction, with values dropping by approximately 1.5 percent.
However, Ridgeways showed indications of recovery by year-end, with land prices increasing by about 0.6 percent between September and December, counteracting earlier annual losses.
This recovery has been linked to renewed interest in land within established, high-end Nairobi suburbs as developers seek strategically positioned locations for new developments.
The report revealed a pattern where previously high-growth areas moderated, while regions that had underperformed earlier in the year stabilized.
Compared to October 2025, current data indicates the land market is rebalancing, with fewer than three areas experiencing substantial decreases.
Despite select price reductions, Hass Consult reports Nairobi is currently undergoing its most sustained period of land price expansion since 2016, primarily driven by demand for development land in prime locations.