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The growth of satellite towns has been driven by Kenya's growing middle class who cannot afford property in the capital.

The strong appetite for Kiambu property in recent years has seen coffee plantations in the area cleared to pave the way for gated housing, shopping centres, and industrial infrastructure such as warehouses. The property boom also swallowed pastureland in places like Ngong, Kiserian and Kitengela (Business Daily, 2020).

Since the first case of Covid-19 was reported in Kenya in March 2020, the country like so many others worldwide, has been experiencing massive economy decline, job losses and loss of lives. Prior to covid-19’s emergence, Kenya was already experiencing economic troubles emanating from the government’s desire to raise money to fund the ‘Big Four’ agenda, which brought about various tax measures adopted in 2018 through the Finance Act, 2018.

The above combination has exposed Kenyans to tough times ahead with less disposable income to invest in property. Consequently, land prices in most of Nairobi and its satellite towns have dropped by an average of 0.94% in the last quarter driven by the coronavirus economic hardships that have cut demand for property. Some of the satellite towns registering a drop in prices are; Athiriver, Juja, Kiambu, Kitengela, Limuru, Ngong, Ruaka, Ruiru, Syokimau, Thika and Tigoni  (Hass Land Index, 2020).

The current economic situation has seen a surge in auctions and distressed property, further weighing down prices. Data from the Central Bank of Kenya (CBK) shows that the ratio of non-performing loans (NPLs) rose from 12.5 percent to 13.1 percent - the highest since August 2007 when it stood at 14.41 percent. This is a reflection of the cash flow burden on individuals and businesses brought about by the Covid-19 (Business Daily, 2020).

The beauty of market cycles is that there are always opportunities for those who understand the market and make rational decisions. During recessions, many opportunities are created for those who want to make a long term investments looking for bargains. They have to take a position which they will capitalize in the medium to long term when the market cycle will enter the recovery and expansion phase.