Steve Umidha @steveumidha
Kenya has been rated highly ahead of South Africa as the continent’s preferred property investment location for Africa’s super-rich, and the third after UK and US.
According to the Attitudes Survey data by consultancy firm Knight Frank, about 24 per cent of dollar millionaires already own real estate businesses in the country, only inferior to UK’s 67 per cent and United States’ 33 per cent.
South Africa ranked fourth favourite property investment location for Africa’s super-rich at nine per cent. Majority of Kenya’s super-rich, about 59 per cent have local investments in real estate, while 27 per cent hold property interests outside the country, according to the report released yesterday in Nairobi, which also highlights the country’s ultra-rich.
Property makes up 43 per cent of Kenyan high-net-worth-individuals’ (HNWIs) investment portfolios, excluding primary residences and second homes. This averages higher than their African counterparts at 39 per cent.
“The fact that Kenya is the top African investment destination of choice for HNWIs on the continent speaks volumes about the strength and growth potential of our property market,” said Knight Frank Kenya managing director Ben Woodhams.
The Attitudes Survey collated responses of 500 of the world’s leading private bankers and wealth advisors, who between them represent more than 50,000 clients with a combined wealth of more than $3 trillion (Sh303.6 trillion).
The report also found that the number of Kenya’s dollar millionaires worth at least $5 million (Sh506 million in net assets) is expected to grow by 60.5 per cent from 1,290 last year to 2,070 over the next five years. The annual wealth report shows that the growth will be the second fastest in Africa behind Nigeria which is projected to have 6,500 such individuals in 2022.