A STUDY ON THE PRESENT VALUE OF LAND IN KENYA URBAN CENTERS, ITS IMPACT IN THE CONSTRUCTION INDUSTRY AND ITS SUSTAINABILITY-CASE STUDY OF KILELESHWA

ABSTRACT
In this paper, the interest is on the price of land in Kenya urban centers, impact of the
same on the construction industry and sustainability with a case study of Kileleshwa.
The researcher employed the use of secondary data and the primary data so as to collect
information that would guide as to the true price of land in the case study area.
An analogy is done on the price of land in the case study area and other urban settings
of a similar nature in countries in the same economic bracket. The findings indicate that
indeed land is overpriced in Kenya urban centers. This was found to affect construction
industry negatively and hence making it impossible to meet the housing demand in the
country. Factors found to impact land value were favorable mortgage conditions by
financial institutions, zoning restrictions, speculation, infrastructure development and
the profits charged by developers.
The study recommends action to be taken to curb the ever increasing land prices. They
include introduction of taxes system on capital gains following land sales, taxation of
underutilized land, formulation of policies to guide land pricing, development and
expansion of the infrastructure in urban centers, implementation of the land ownership
acreage limit and increased awareness campaigns through the National Land
Commission on land valuation.