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Kenya property developers say fragmented approval processes, unpredictable policies, high development costs and poor infrastructure are undermining real estate projects despite strong demand for housing and commercial space, the Kenya Property Developers Association (KPDA) said ahead of its 20th anniversary conference in Nairobi, Capital FM reported on October 30, 2026.
What developers are asking for
- Faster, joined-up approvals: developers deal with several national and county agencies for planning, building, environmental and utility approvals, often with inconsistent requirements.
- Predictable policy: clearer, stable rules on development control and property taxation.
- Land administration reform: smoother processes for titles, searches and transfers.
- Infrastructure planning: roads, water and sewer lines planned alongside land-use zoning, so new developments are viable.
- Long-term finance: more participation by pension funds, institutional investors, banks and development finance institutions.
- Green finance: access to funding for decarbonisation and sustainable buildings.
“Kenya needs greater policy predictability, more efficient approval processes, stronger infrastructure planning and innovative financing solutions,” said KPDA Chairman Zoravar Singh. “These are fundamental to attracting investment, delivering quality developments and building sustainable communities for future generations.”
Why approvals and financing matter
Property projects take years and need large upfront spending on land, approvals and construction before any income comes in. Every month of delay adds interest and holding costs, which end up in higher prices and rents. Bank lending rates averaged about 14.4% in September 2026, according to CBK data, which makes debt-funded development expensive. Pension funds and other long-term investors could supply cheaper, patient capital, but only if rules and returns are predictable.
What it means for buyers and tenants
When building is slow and costly, supply lags demand and prices rise. Buyers looking at off-plan units should check that a project has all approvals before paying deposits, and confirm the developer’s track record. The collapse of a building in Eastleigh, after which the National Construction Authority named the developer and contractor, shows why approvals and inspections matter. Buyers should also understand title processes; see how to get a title deed in Kenya.
For lower-income households, the government’s affordable housing programme is the main alternative to private supply; our guide compares Boma Yangu and affordable housing options.
Taxation talks
KPDA says it has been engaging policymakers on tax measures that affect property investment, seeking a framework that gives developers and investors more certainty. Landlords are also under closer scrutiny: KRA told MPs this week that it is checking more than one million property owners’ rental income declarations; read our report on KRA’s landlord compliance checks.
What happens next
The reform proposals are expected to feature at the KPDA@20 Annual Conference, which brings together developers, government officials, investors and financiers. Singh said the industry needs stronger partnerships to turn policy discussions into practical improvements. The association did not publish specific targets, such as maximum approval times, in its statement.
FAQ
What is holding back Kenya’s property sector?
According to KPDA: fragmented approvals, unpredictable policy, high development costs, poor infrastructure planning and a shortage of long-term finance.
Who is the KPDA chairman?
Zoravar Singh.
What financing do developers want?
More long-term capital from pension funds, institutional investors, banks and development finance institutions, plus green building finance.
Updated October 31, 2026.
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