Africa -  Kenya - Nairobi

For a comprehensive review of the Africa market, click below:
HVS In-Depth Africa Hotel Valuation Index:   2021 | 2016 | 2015 | 2014

Kenya had a significant growth in international arrivals, 14% in 2018 compared to 2017 (2017 saw an extended election cycle).  The country’s performance was bolstered by increased marketing through the Kenya Tourism Board combined with:

  • The lifting of travel advisories by key source countries
  • Improved confidence in the market with a significant number of international conferences (6.8% increase) and the hosting of several international dignitaries.
  • Improved security
  • The launch of direct flights from Nairobi to New York in October 2018 by Kenya Airways
  • The open border policy for Africans where they can get a visa on arrival in Kenya as well as the single East African Passport


Nairobi’s RevPAR increased by 9.5% driven mainly by an increase in occupancy in 2018. The market has shown resilience in the face of excessive supply and remains a key hotel market in East Africa. The growing economy and domestic travel have bolstered the tourism sector, however, the security incidents in the capital have not allowed the market to reach its potential. The dramatic start to 2019 with the attack at Dusit D2 severely affected hotel performance and is making it a struggle to catch up with 2018 RevPAR levels, however, with the increase in investor confidence; the launch of the Africa Open Skies Policy - The Single Africa Air Transport Market (SAATM) and all the other activities being undertaken by the Kenya Tourism Board, Kenya is anticipated to rally back by 2020.

International Brand confidence continues to grow in 2019 with the recently announced MGallery by Accor in Gigiri; Radisson Hotel and Residence at the Arboretum; Dusit Princess, an apartment hotel located in Westlands, scheduled to open later this year.

Change In Value For Market:

Significant Value Increase: Greater than +10%
Moderate Value Increase: Between +3% and +10%
Stable Values: Between -3% and +3%
Moderate Value Decline: Between -3% and -10%
Significant Value Decline: More than -10%

For more information, please contact:

Rishabh Thapar, MRICS
[email protected]
  • +27 0 792790584 (m)