The Nairobi Office Market Snapshot 2026

The Nairobi office market is on the move, and for all good reasons. As we step into 2026, we want to explore the trends shaping the city's commercial real estate landscape.

The pandemic saw a disruption of supply chains, which ended in longer development periods and reduced construction activities by developers in a bid to reserve their cash at a time when market liquidity took a serious decline.

The sector appears to have now gone full circle and is fast on its renewal trajectory with a surge in retail activities and co-working spaces currently standing at 60+ operators and growing.

Grade A Offices Reign Supreme:

With 49.2% market share, Grade A offices are the crème de la crème of Nairobi's office market. These top-tier spaces command a premium rental rate upwards of Kshs 130/sqft, leaving Grade B offices a far distance at Kshs 90/sqft.

Purple Tower, The Mandarake and GTC are some of the latest entrants in this coveted space focusing heavily on sustainable developments which are working well for multinationals and well established regional super brands of repute.

Occupancy Rates: A Mixed Bag

Despite an oversupply of 7 million sqft, occupancy rates are holding steady at around 80%. It's a tenant's market where startups and SMEs are seen taking full advantage to negotiate lower rents and set up operations.

Investment Hotspots To Watch:

Westlands, Kilimani and Karen might just be the destinations for developers seeking higher rental yields. These neighborhoods continue to drive massive growth and returns for investors by attracting tech startups, wealth managers, tier one retailers and law firms among other players.

With fewer new projects in the pipeline, rental rates look set to stabilize soon, making this the perfect time to invest in Nairobi's office market.