Suraya goes burst..housing bubble been bursting for years

[hk]

Cytonn may be next. Anyway the sector is going through hard times.

I regularly use Northern Bypass. There is a Cytonn project that has stalled. I saw the ground cleared, iron sheet fence put up, two show houses, some machinery but I have yet to see houses come off the ground something that shouldn't take 6 months.

The project borders Suraya's flagship project Fourways Junction and I think the idea was to ride on Fourways' popularity.

I don't know about others but that one along the bypass is a dud. Been like that for over two years if I'm not mistsken. Cytonn are good at PR but PR has limits.

Something else, most of the real estate research papers or publications is done by these real estate companies. Hass Consult has an influential one that keeps on hyping the real estate and has been reluctant to admit there is a glut.

Those reports shouldn't be trusted

Apart from that one next to fourways, the Ruaka one has also stalled. https://www.the-alma.com/

[Georgesoros]

Cytonn may be next. Anyway the sector is going through hard times.

Everything that shoots up, usually comes down. The real estate sector will have to significantly follow USA's 2003-2008, in order to survive long term. Shake off the weak points.

[patel]

Precisely however note in US the main issue was bankers gaming and manipulating  the system in kenya what you have its outright criminal activities. No legislation, no policy, no one is going to jail. Dont expect the government to step forward and bail out people...it ain't gonna happen. Uhuru and suraya are best friends. Case closed. We are heading to a lost decade in terms of real estate investments.

Cytonn may be next. Anyway the sector is going through hard times.

Everything that shoots up, usually comes down. The real estate sector will have to significantly follow USA's 2003-2008, in order to survive long term. Shake off the weak points.

[KenyanPlato]

I wish i could pull a thread on this same topic. I was predicting a meltdown. Real estate boom in kenya has come fo and end.. I looked at most investments in 2013 and nothing made sense. The Returns were partly 11 percent if you. Build without borrowing. In kenya especially upper market it may make sense to rent. I wonder if land prices are taking a hit too.

Patel i do not think what suraya did was out malice it just that they were led by irrational exceburance. There is a lot of irrational exceburance in real estate investments every where. Mostly due to lack of knowledge.

At least now nse and other opportunities can take this chance to get new investors.

Pundit was of the opinion that the market in Kenya cannot collapse. It has been going ghrough a slow collapse and assets should deflate. Uhuru housing scheme will even add more pressure ..hopefully gok will introduce subsidies to support investors

[RV Pundit]

If Uhuru get housing agenda off ground - then we shall see formalization of housing. We don't need every kamau building rental flats - when Chinese can deliver 50,000 units. The problem Uhuru has been too lazy to deal with bottlenecks that has delayed deduction of salaries.

We need to see huge Nyayo high rise kinds of estates...

I wish i could pull a thread on this same topic. I was predicting a meltdown. Real estate boom in kenya has come fo and end.. I looked at most investments in 2013 and nothing made sense. The Returns were partly 11 percent if you. Build without borrowing. In kenya especially upper market it may make sense to rent. I wonder if land prices are taking a hit too.

Patel i do not think what suraya did was out malice it just that they were led by irrational exceburance. There is a lot of irrational exceburance in real estate investments every where. Mostly due to lack of knowledge.

At least now nse and other opportunities can take this chance to get new investors.

Pundit was of the opinion that the market in Kenya cannot collapse. It has been going ghrough a slow collapse and assets should deflate. Uhuru housing scheme will even add more pressure ..hopefully gok will introduce subsidies to support investors

[vooke]