The construction of the Lanet-Ndundori-Olkalou road has opened up areas on the outskirts of Nakuru for growth, with investors, including those keen on real estate, rushing to cash in on the new opportunities.
According to UN Habitat, Nakuru is the fastest growing city in East and Central Africa. This can partly be attributed to the new road network within the town and surrounding areas.
The Lanet-Ndundori-Olkalou road has seen a rise in development activity in Kiondo, Lanet, Githioro and Ndundori, areas which were little-known and only hit headlines for crime related stories. But now, investors are scrambling to get a piece of the action, with property prices rising sharply.
John Kinyanjui, a resident of Kiondo says that before the construction of the road started, Kiondo used to be a relatively quiet place.
“Kiondo shopping centre used to be a quiet centre where very few individuals thought of investing due to the poor road network connecting Nakuru to Olkalou. Today, investors are rushing in, buying parcels of land in Kiondo all the way to Ndundori with plans to put up rental houses and modern hotels,” says Kinyanjui.
A visit to Lanet, Umoja and other areas along the road revealed a place teeming with construction activity as investors put up residential houses, hotels and entertainment joints.
The 63-kilometre road starts from Kiondo trading centre on the Nakuru-Nairobi highway, passes through Lanet and Wanyororo all the way to Ndundori, before connecting to Olkalou where it joins the road from Nyahururu to Gilgil.
The presence of Lanet Kenya Defence Force barracks guarantees security in the area, thus encouraging investors to invest more in the area.
Johana Muriu, another resident, says that everyone, including motorists no longer use the Nakuru-Subukia road to Nyahururu, Laikipia and Nyeri due to its dilapidated condition. They instead use the smooth Lanet Road, connecting to Olkalou on their way to Nyahururu.
He adds that traders are now rushing in the area due to its accessibility to both Nakuru and the agricultural county of Nyandarua where they buy farm produce to sell in Nakuru.
With the opening of the road, it became convenient for individuals working in any part of Nakuru to build or rent houses in areas around the road since it costs only Sh40 from Nakuru to Lanet by public transport.
John Mwaniki, a real estate agent, agrees that the road has made a positive impact on development in the area: “Just take a tour of the already finished road and you will find new houses, mostly rentals. Property prices have also gone up,” he says.
According to Mwaniki, land prices as well as rental rates have shot up by over 100 per cent following rising demand.
“In Lanet, a plot that used to go for Sh200,000 three years ago, today goes for between Sh500,000 and Sh2 million. Land prices have also risen in Wanyororo, Githioro, Ndundori and Tumaini and any other area where the road passes through,” he says.
Before, a bedsitter used to go for Sh2,500 per month. Today, the rent is Sh6,000 depending on the location. One bedroom houses, which used to be Sh4,000 are now Sh8,000 per month.
Hardware shops are also reaping from the increased demand. Tom Mundia, a business owner with a shop next to the road, says: “There is no single day you will not find a construction project in progress. This means good business for construction materials suppliers.”
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Dan Kangi, a resident of Githioro, says the road has led to an influx of people who have either bought or rented houses in the area.
“So much development is going on here. In the next two to five years, it will just be an extension of the Nakuru central business district (CBD),” says Kangi.
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