Rental Market Forecast for Nairobi Apartments (2025–2026): Focus on Lavington, Kileleshwa, Kilimani & Westlands
Nairobi’s apartment rental market is entering 2026 with renewed momentum after a period of mild stagnation in 2024–2025. Demand remains robust across middle- and upper-income areas, supported by strong urban migration, job growth in professional sectors, and a growing population of young renters who prefer apartment living to stand-alone homes.
While inflation and high construction costs have moderated new supply, existing stock continues to perform steadily. Between 2025 and 2026, most prime suburbs especially Lavington, Kileleshwa, Kilimani, and Westlands are projected to see 2–5% annual rent growth, depending on apartment type and location quality.
1. Lavington
Lavington remains a favorite for families seeking spacious, quiet environments near top schools and shopping centers. The suburb’s leafy character and relative serenity give it lasting appeal among mid- to upper-income tenants.
Average Apartment Rents (2025)
| Unit Type | Average Monthly Rent | Forecast Growth (2025–26) |
|---|---|---|
| 1 Bedroom | KSh 65,000 – 80,000 | 2% – 3% |
| 2 Bedroom | KSh 80,000 – 100,000 | 2% – 4% |
| 3 Bedroom | KSh 120,000 – 160,000 | 3% – 4% |
| 4 Bedroom | KSh 180,000 – 250,000 | 2% – 3% |
Market Outlook
- Demand: Driven by professionals and small families seeking calm yet central locations.
- Supply: Moderate new developments are more limited compared to Kilimani or Kileleshwa, keeping vacancy rates low.
- Yields: Expected around 5.0–5.5%.
- Trend: Gradual rent appreciation, with older apartments maintaining steady occupancy due to Lavington’s family appeal.
2. Kileleshwa
Kileleshwa has transformed from a quiet residential area into a modern high-rise hub favored by professionals and expatriates. Excellent road links to Westlands and Kilimani make it ideal for urban living, though the rapid influx of developments may pressure rents slightly.
Average Apartment Rents (2025)
| Unit Type | Average Monthly Rent | Forecast Growth (2025–26) |
|---|---|---|
| 1 Bedroom | KSh 70,000 – 90,000 | 3% – 4% |
| 2 Bedroom | KSh 100,000 – 130,000 | 3% – 5% |
| 3 Bedroom | KSh 140,000 – 180,000 | 3% – 5% |
| 4 Bedroom | KSh 200,000 – 250,000 | 2% – 4% |
Market Outlook
- Demand: Remains strong among upper-middle-income earners and expatriates.
- Supply: High numerous high-rise towers and new developments are entering the market, increasing tenant options.
- Yields: Approximately 5.5–6.0%, supported by strong rental uptake.
- Trend: Premium apartments with good amenities (pool, gym, backup power) outperform older stock. Tenants benefit from wider selection and competitive pricing.
3. Kilimani
Kilimani continues to attract tenants for its proximity to key business districts, shopping malls, and schools. However, oversupply of apartments—especially along Argwings Kodhek and Kindaruma Roads—has created competition among landlords.
Average Apartment Rents (2025)
| Unit Type | Average Monthly Rent | Forecast Growth (2025–26) |
|---|---|---|
| 1 Bedroom | KSh 60,000 – 80,000 | 2% – 3% |
| 2 Bedroom | KSh 90,000 – 120,000 | 2% – 4% |
| 3 Bedroom | KSh 120,000 – 160,000 | 2% – 4% |
| 4 Bedroom | KSh 180,000 – 220,000 | 1% – 3% |
Market Outlook
- Demand: Consistent among working professionals and young families.
- Supply: High; many mid-range developments compete on amenities and rent flexibility.
- Yields: Around 5.0–5.5%.
- Trend: Developers are offering incentives such as flexible leases or furnished options to maintain occupancy. New, well-managed apartments continue to attract tenants despite market crowding.
4. Westlands
Westlands remains Nairobi’s premium rental district, hosting embassies, multinational offices, and high-end retail. It commands the highest apartment rents in the city, appealing to corporate tenants and expatriates who value convenience and lifestyle amenities.
Average Apartment Rents (2025)
| Unit Type | Average Monthly Rent | Forecast Growth (2025–26) |
|---|---|---|
| 1 Bedroom | KSh 90,000 – 130,000 | 3% – 5% |
| 2 Bedroom | KSh 130,000 – 180,000 | 3% – 5% |
| 3 Bedroom | KSh 180,000 – 250,000 | 3% – 5% |
| 4 Bedroom | KSh 250,000 – 320,000+ | 2% – 4% |
Market Outlook
- Demand: Strong from expatriates and multinational tenants.
- Supply: Increasing, particularly high-rise luxury apartments near Waiyaki Way and Riverside.
- Yields: 6.0–6.5% for serviced units; 5.5–6.0% for standard apartments.
- Trend: Premium apartments with rooftop gyms, pools, and modern security systems perform best. Older or smaller units may face slower rent growth.
Comparative Overview
| Area | 1-Bed (Avg Rent) | 2-Bed | 3-Bed | 4-Bed | Growth Forecast | Key Strength |
|---|---|---|---|---|---|---|
| Lavington | 70K | 90K | 140K | 200K | 2%–4% | Quiet, family-friendly, stable demand |
| Kileleshwa | 80K | 115K | 160K | 230K | 3%–5% | Modern, central, popular with professionals |
| Kilimani | 70K | 100K | 140K | 200K | 2%–4% | Central location, wide choice of apartments |
| Westlands | 110K | 160K | 220K | 300K | 3%–5% | Premium area, strong expatriate demand |
Market Outlook Summary
- Overall Growth: Average rent increase of 3% annually across the four suburbs.
- Best Performing Segments: Two- and three-bedroom units in Kileleshwa and Westlands due to continued demand from young professionals and corporate tenants.
- Stabilizing Segments: Lavington remains steady for family rentals, while Kilimani may see subdued growth due to competition.
- Investor Note: Yields are strongest in Kileleshwa and Westlands, moderate in Lavington, and under pressure in Kilimani.
- Tenant Advantage: More options in Kilimani and Kileleshwa as developers compete on amenities, rent, and management quality.
In summary, Nairobi’s rental apartment market in 2025–2026 will favor quality, location, and amenities over sheer size. Suburbs with well-managed properties and good connectivity will outperform, while older or oversupplied buildings may see slower rental appreciation. Investors should focus on high-demand corridors and mid- to upper-middle segment apartments, where yields remain resilient and occupancy high.