Torture2020: Shameless goat from a zoo you are just a tasteless son of a crap spewing crap crass crap I always told you kenyans are stvpid now see this
three kenyans hospitalised in Kakamega for drinking sanitiser
[s][/s]
Lol this is just funny..if ugali has become expenztin the zoo then that means the zoo is on fire..that's by far the cheapest food in Kenya..it's considered a poor man's food in both Kenya and TZ..just like drinking garri in West Africa..
Abohboy: Don’t you remember East Africa vs west Africa they challenged us to show our best airports, highways etc so let’s go but after I showed they some normal highways in Abuja and Lagos and they have gone to hide away
I haven't seen you screaming Kenyans, or are they not part of EA...it's been kazikazi this, kazikazi that... Your only contribution since morning..Are you afraid of Kenyans or what...
Wuoche: Mall construction is still ongoing. Let me take you to Kisumu where there are more malls than lagos. In Kisumu there is saturation of malls but investors are still building more.
Mushrooming of malls in Kisumu leads to saturation
lake basin mall Lake Basin Mall in Kisumu in this photo taken June 25, 2019. PHOTO | TONNY OMONDI | NATION MEDIA GROUP
Summary Following the completion of the Sh4.2 billion Lake Basin Mall, other shopping centres that have entered the scene include Mega City and West End, as well as Tuff Foam Mall, still under construction.
According to the 2018 Kenya Retail Sector Report, Kisumu is oversupplied by 200,000 square feet, yet additional mall spaces are coming up, a factor that is turning out to be an advantage for those looking to rent space.
By VICTOR RABALLA More by this Author
Shopping malls. They are everywhere you look, mushrooming in all major towns in the country. Kisumu County has not been left behind, but the unrelenting construction of these properties is gradually turning into a poisoned chalice for investors, who have sank millions in capital into the venture, to capitalise on the alleged expansion of the middle class.
CONTAINERS
So intense is the mall bubble that supply is threatening to reach saturation, which is made worse by fabricated containers that are edging out established malls as traders seek cheaper spaces for stalls, shops, offices and storage depots.
Less than a decade ago, Mega Plaza, United Mall and Swan Centre were the major commercial properties that served the lakeside city.
Not anymore. Kisumu has experienced a proliferation of malls, which have more than doubled following the entrance of new players and expansion of some as they join the list of competitors, leading to shrinking demand for commercial properties.
Following the completion of the Sh4.2 billion Lake Basin Mall, other shopping centres that have entered the scene include Mega City and West End, as well as Tuff Foam Mall, still under construction.
According to the 2018 Kenya Retail Sector Report, Kisumu is oversupplied by 200,000 square feet, yet additional mall spaces are coming up, a factor that is turning out to be an advantage for those looking to rent space. While Mega Plaza Mall completed its expansion programme over two years ago, Tuff Foam Mall is being extended by five stories. There is also Unique Mall, which is under construction right in the centre of the business district.
Unfortunately, the supply of space seems to have exceeded demand, leading to low occupancy levels, with some malls reporting as low as 40 per cent occupancy.
TOUGH TIMES
Mr Johnson Denge, a manager at Cytonn Real Estate, observes that Kisumu is facing low disposable income, which means that landlords could be in for tough times if the relentless construction of shopping complexes is anything to go by.
“Kisumu is experiencing a supply glut, and the pressure is now piling on property owners to lower the lease fees and rental prices,” says Mr Denge. “To keep afloat, a number of landlords have resorted to offering incentives to entice new tenants.”
The monthly average rent for space in most shopping malls in Kisumu is between Sh80 and Sh150 per square foot.
Lake Basin Mall, which charges one of the lowest rental prices at Sh80 per square foot, does not, however, include service charges and value-added tax, says George Asigoh, a manager with Charcon Properties, which manages the multibillion-shilling property.
The mall, owned by the Lake Basin Development Authority (LBDA), is conveniently located near the Mamboleo Junction on the Kisumu-Kakamega highway.
DN body text: Though the 62,000-square-metre shopping complex was completed in 2017, it has not been launched, because the owner is yet to get a reliable anchor tenant.
The mall, which has already attained 40 per cent occupancy, hosts a three-star hotel, showrooms, a tyre centre and a recreational park. Tuskys supermarket was initially to occupy the most strategic location in the mall but later withdrew from the deal after securing space at Mega Plaza following the closure of Nakumatt.
MAIN TENANT
LBDA chairman Cavince Owidi has, however, indicated that the main tenant will be picked from among French retail chain Carrefour, South Africa’s Shoprite and Choppies from Botswana, which have all expressed interest in taking up the space. Meanwhile, Mega Plaza, located on the busy Oginga Odinga Street, and which was redeveloped and is now the tallest building in the city, is also struggling to get tenants for the additional space. After signing an agreement with Mega City, the planned entry of South African retailer Game Stores promises to overturn the mall’s downward trend following the dwindling fortunes of the troubled Nakumatt, which closed shop.
Footfall in shopping malls over the review period rose mainly owing to the revival of anchor tenants in the retail centres replacing Nakumatt.
The mall, which stands next to the infamous Kachok dumpsite, could also reap big from the relocation initiated by Kisumu County. Western Kenya’s biggest landfill, which is being transferred at the cost of Sh200 million, is being transformed into an eco-park of indigenous trees and a children’s playground.
Worth noting is that the adjacent Vic Hotel has uplifted the status of Mega City Mall, located on the Kisumu-Nairobi highway.
While boosting the number of retail chains that have recently set up shop in Kisumu, the opening of Chandarana Food Plus Supermarket at West End Mall on Jomo Kenyatta Highway has given a new lease of life to the property, which was deserted following the closing of Uchumi supermarket.
COMPETITION
The mall, which hosts Acacia Hotel, has become popular with county government employees as well as civil servants in the government offices situated in the vicinity.
Though still under construction, the adjacent Tuffoam Mall has taken a big leap by attracting tenants such as Safaricom, Aon Minet insurance, Nation Media Group, Bata, Masinde Muliro University and Standard Chartered Bank.
Mr Eric Ounga, the proprietor of Ounga Commercial Agencies, a property development company based in Kisumu, is optimistic in the face of the present reality, saying that the future of malls looks promising.
“The focus should not be on the present but rather, the future. While a majority of people are looking at the current value of malls, the fact that a significant percentage of the space is vacant does not mean that the properties are running at a loss,” he says, pointing out that as the population and the economy continue to grow, the outlook will improve in another year or two. He adds that the entry of international retailers in the region could tilt the fortunes for investors.
He further notes that most landowners are developing their property in speculation, and their value is bound to significantly shoot up in the next three to five years without even considering the rental income.
“When United Mall was coming up, many were pessimistic and thought it was not a viable venture,” he says. “Now it has grown to become the busiest outlet as we speak. Today, it has one of the highest footfalls,” he said.
The property developer further expressed optimism that Lake Basin Mall, the biggest shopping centre in the western region, will take its space and provide a worthy competition for the players in the sector.
PRODUCTION
Kisumu County Governor Anyang’ Nyong’o, in an interview with the Nation, said that there is great hope for investors who are interested in investing in the lakeside city, coming at a time when there is a good working relationship between opposition leader Raila Odinga and President Uhuru Kenyatta.
While noting that Kisumu is dominated by the service industry, Prof Nyong’o said his administration is focused on corresponding the growth of the production industry to support the critical sector.
“The availability of services like banking and malls can best be supported with a vibrant manufacturing industry, which is the crucial engine for sustaining economic growth and development, job creation and poverty alleviation,” he said.
As one way of supporting tourism and investment in the western Kenya circuit, he pointed out that the county, in partnership with the national government, has embarked on an initiative to regenerate the lakefront in a bid to come up with an attractive view of the lake.
The redevelopment of the lakefront, to cut across the yacht club, Kisumu port and the golf club, is envisaged to have buildings near Lake Victoria reconstructed to face the waterfront.
To kick-start the process, tourism Cabinet Secretary Najib Balala said the government had set aside Sh300 million for the mega project, which is expected to greatly benefit businesses next to Africa’s largest freshwater lake. Governor Nyong’o noted that the putting up of an industrial park at Ombeyi in Muhoroni, the revival plans for the Kisumu port and the scheduled extension of the standard gauge railway will pave the way for new investors to set up shops in the lakeside city. “With these kinds of infrastructure, the … mall owners can rest assured as residents will have steady income that will enable them to shop in the malls,” he said.
OCCUPANCY
A report by Cytonn Real Estate released last year showed that the key cities — Nairobi, Mombasa, Kisumu, Eldoret and Nakuru — have a total mall space supply of 15.3 million square feet, against a demand of 14.1 million square feet, resulting in an oversupply of 1.2 million square feet.
Nairobi, Eldoret, Kisumu and Nakuru are oversupplied by 2 million, 0.3 million, 0.2 million and 0.1 million square feet, respectively. Kiambu, Mombasa, Kajiado, Mt Kenya and Machakos are undersupplied by 0.6 million, 0.3 million, 0.2 million, 0.2 million and 0.1 million square feet, respectively.
According to the report, Kenya’s retail sector performance improved in 2018, recording average rental yields of 8.6 per cent, 0.3 per cent points higher than the 8.3 per cent recorded in 2017, and average occupancy rates of 86 per cent, 5.8 per cent points higher than the 80.2 per cent recorded in 2017.
It further established that Mombasa and Mt Kenya are the new best regions for retail real estate development because of high demand for retail space of 0.3 million and 0.2 million square feet and anticipated attractive yields of 8.3 per cent and 9.9 per cent, with occupancy rates at 96.3 per cent and 84.5 per cent, respectively.
Olodo..did you even go to school at all or was it that you didn't read you post.. Your video clearly spells out the glut in your market and difficulties investors go through to sell mall spaces..the vacant rate is ballooning...
Mkenya2019: More like Nigeria - the paved roads in most parts is completely broken down.
You are making foolish noise...road in Kenya are broken down and I can prove it with videos in any of your counties... You can't decieve any one here..
Dude when you communicate with me do I sound like some idiot you can gullible fool ...show me a drive through that environment and stop decieving your sorry ass self...heck even the aerial view video revealed the road-less,filthy,slummish choas from above... They are so many videos if Eastleigh on the net, U can cherry pics any...show me any recent video on a drive through Eastleigh that is sane and I promise to let this slide ..
Mkenya2019: Kenya has world-class residential houses - that houses UN staffers willing to pay 4-5K dollars per month. Don't even dare compare anything you have in Nigeria that obtains in Nairobi.
So far you made your egoistical noise..I was not impressed..
Mkenya2019: The actual construction started recently but site mobilization began last year. This road will cost 700M dollars. And the same for water.
When there is progress on site of for this mere highway then you post..we are not here to see your boring render....
Your 140m litre of water nairobi project has taken too long..it's was supposed to be completed in March..what happened?...did you run out of cement or money?
Dude I asked you for a planned neighbourhood not Estates like you've been posting.....And if I should talk y'all would think I am merely trolling but this houses still looks bland but better than the rest videos I hAve consumed.....let me show you what modern condo like building can look like in both SA and Nigeria...this Buildings in both countries have thesame facilities and they are called smart homes..every thing was taken into detail..just dlvebinto both videos and see thesame quality and modern features..
Mkenya2019: You think Nairobi is like Nigeria Karen alone has more than enough gated communities; If I was to list all of them here I'd run out of time
You are one big ass joke of a boy, I aware..this is yet again another narrow drive along a forest...
This is in SA..you can see the planning,the wide roads, streetlight you name it..what if I choose to jog .where would I do that..on the air or what...or do you need me to bring in planned communities in America for you to understand what I mean...
You still HAVEN'T showed me what I requested for Mr.Man...this us an estate I ask for planned residential neighbourhood...buy land, build house... I want to see the level of planning in those neighbourhood..
This goes to show that no where in your zoo has planned residential neighbourhood in this 21st century...A curse on your independence I must say...I mean happened after independence..you had all that to plan but you chose to ballin slum to the point 90% of urban dwellers are characterised as ardent slum dwellers .
[quote author=Baliv254 post=90555099]i only need to go to the front page of Nairaland to find so much fvcked up shit about nigeria calm down your bitterness
like a pot calling kettle black,[/quote
Actually that's fuckduppness so you don't get to see their stuff on the front page
Shma: oooh! That small part of the road?? You're too observant then ;. ..
But does it look like ibadan.?
That neighbourhood of Ibadan is pretty much like Eastleigh in Your capital..the only difference is that most part of this neighbourhood has inner streets roads why Eastleigh doesn't have any except that dirty main road running through the slum..
Mkenya2019: Kenya has world-class residential houses - that houses UN staffers willing to pay 4-5K dollars per month. Don't even dare compare anything you have in Nigeria that obtains in Nairobi.
That would be for me to decide after watching those videos..so pls post your best if you haven't already..so far what you've post is uninspiring..
I busy mkenya..I will take out my time to carefully watch all your video then give you my verdict.. I do think want to watch them in a hurry..I want to make sure I notice every damn thing...just keep em coming..
Shma: after all am just playing your render game, but for my case I post a render under construction, am not you who deceive people here by posting fancy malls.
None of them.is U/C except the ones that have been completed which you post to make it look like you are back to your mall boom...I can't be decieved...I am far to sophisticated a d smart for that..
We were told construction would commence on January..what happened?. Us this another incessant wet pipe dream like that 140m litres Nairobi water project
Mzal3ndo: Actually poor people in Dar es salaam don't live in shack but rather poor planned housing areas. During the population boom in Dar es salaam a lot of land owner in poor neighborhood elected new buildings in congested spaces giving it the "slum" look.
I couldn't agree more if it is TZ..slum has never be mentioned in thesame world with TZ..
Foreign Affairs › Re: Kenya Is Ahead of Nigeria In All Aspect (Facts Don't Lie) by samorobo: 7:42pm On Jun 11, 2020
Karen alone has more than enough gated communities; If I was to list all of them here I'd run out of time