Paul Arithi 
- HassConsult launches Kenya’s first Coastal Land Price Index, built on a decade of land price tracking across 12 coastal towns since 2015.;
• Kenya’s coastal land marketisincreasingly delinked from wider national economic trends,signaling the emergence of the coast as a distinct lifestyle and investment asset class.
• A powerful wave of lifestyle migration isreshaping the coastal property market, with demand forland accelerating well
beyond traditional tourism-driven activity.
• Retirees, remote workers, diaspora buyers, and long-stay visitors are driving a structuralshift towards permanent and semi-permanent coastal living, with the strongest demand concentrated in areas offering exceptional natural beauty and lifestyle appeal.
• Diani, Watamu, Lamu, and Bamburi recorded some of the highest levels of growth nationally, with land prices rising
between 56 and 79 per cent between Q4 2020 and Q4 2025.
• The report identifies the emergence of a “beauty premium” along Kenya’s coastline, where proximity to the ocean,
landscape quality, and lifestyle experience are increasingly influencing land values.
In Nyali, beachfront land commands a 19 per cent premium over the wider area average.
Diani and Watamu land prices have risen by over 70 per cent since the COVID pandemic, reported Hass Consult
on the launch of its new Coastal land price index and special report,4 with natural beauty the top driver of the price
growth.
The new index covering 12 coastal towns from Lamu in the north to Diani in the south found the fastest price growth
where beaches were widest and natural beauty the greatest.
This saw prices in Diani rise by 79.1 per cent from Q4 2020 to Q4 2025, while Watamu prices jumped by 70 per cent.
“Coastal land has delinked from general economic trends in Kenya on new dynamics during the 2020’s,” said Sakina Hassanali, Co-CEO & Creative Director at HassConsult.
“Across remote working, retirement relocation, and the long tail of international and domestic buyers who first discovered the Coast as tourists, it has developed its own, distinct land dynamics.” This has played out very differently along different coastal stretches.
The intensive development of Nyali has delivered the Coast’s highest average price per acre, at Sh114m compared with Sh91.3m in Mombasa City.
But the area’s price growth has slowed since 2020 as investor interest has moved to areas of outstanding natural beauty at lower premiums.
These have been led by Diani and Watamu, but also include Lamu, where prices have risen by 59.1 per cent over the five years, and Bamburi, up 56.6 per cent.
For areas with narrower beaches, less accessibility, fewer lifestyle facilities, but still distinct beauty, price growth has
averaged around 40 per cent since the end of 2020, with resorts expanding in and around Kilifi Town,Kikambala,and
Mombasa City.
The most subdued growth, for areas such as Vipingo and Malindi, has run at around 25 per cent since the end of
2020, reflecting poorer aesthetics and facilities.
“The beauty premium is also the leading price factor within areas, with beachfront properties in Nyali, for example, selling for 19 per cent more than the average for the area, where even one row back is selling at 9 per cent below the average.
A sea view is a priceable asset,” said Ms Hassanali.Some areas of Kilifi and Kwale are seeing land prices depressed, however, by land title hold-ups,poor infrastructure and water shortages.
“Professionals moving to the Coast to work remotely, or relocating from all over the world to enjoy leisured retirements, simply will not buy when land titles are uncertain or water precarious,” said Ms Hassanali.
