Is Land a good investment for retirement?
We all look forward to retirement, when we will lay our 8-5 or 9-5 jobs to rest. This is why most of us are in various retirement schemes. In Kenya, the schemes are countless.
These schemes are by all means good but they might not keep up with inflation. Currently, the inflation rate has risen to 4.83% in January from 4.50% in December (Business Daily 2018, January 31st)
According to the findings in the report by Enwealth in partnership with Strathmore University and the IHRM (Institute of Human Resource Management) released last week, an average Kenyan might not meet their expenses by relying on the retirement income saved in a pension scheme.
This is why you need a more subtle investment plan which is land and real estate. Nulands Limited offers land in strategic locations that have potential growth or are already on a development curve. Some of these areas include; Juja, Naivasha, Syokimau, Kitengela, Ongata Rongai, Kangundo road and Isinya.
Isinya among many others mentioned above is the growing heartbeat of Kajiado County with a high capital appreciation on land and housing. The area that was previously a grazing land has become an economic artery of Kajiado.
Here are four major investment drivers that you can quickly notice about Isinya:
The proposed Greater Southern Bypass
It will connect Konza with Suswa and pass through Isinya. With the already existing Namanga road, this will make Isinya an important Junction town.
Universities
Between Kisaju and Kajiado, there are now three newly opened Universities KAG EAST, RAF International University and UMMA University. More proposed universities are coming up. Universities are great growth drivers. Ask Juja and Ongata Rongai.
Growth of Kitengela
With land prices skyrocketing in Kitengela due to the growth and demand, the next closest town is Isinya. The advantage of Isinya even over Kitengela is that apart from access from Mombasa road through Namanga road, it has access to Kiserian, Ngong and Ongata Rongai through the pipeline road.
Industrial zone
The area between Kisaju and Isinya is zoned as industrial. That is why you will notice many factories from Kisaju. With workers needing housing, shopping areas and recreation areas, this leads to demand of property in and around Isinya.
“Smart financial planning such as budgeting, saving for emergencies, and preparing for retirement can help households enjoy better lives while weathering financial shocks,” Ben Bernake. Take for example the growth in the Stocks and Money markets in the past five years in Kenya. Anyone who invested in these avenues has seen a growth of between 10 and 15% annually. Even at a generous 15% compound interest with an investment of One Million Kenya shillings in 2013, the value in January 2018 would be approximately 2.1 Million Shillings – meaning they could have doubled their investment – best case scenario. On the other hand for someone who invested their One million on one acre piece of land in Isinya town or a half acre in Kitengela which was the going rate 5 years ago, today, an acre of land in the same area of Isinya town is going for between 3 and 3.5M. Their value appreciation is at least 300%. Investment in land makes a lot of sense and a lot of cents.
Get in touch with Nulands and secure your future before it’s too late.
Contact: 020 273 8994 / 0708 592 177
By: Monicah Waithera
