Inspired by an article by Syovata Ndambuki, published in the Daily Nation
The global business landscape is shifting, and Kenya is emerging as one of the fastest-rising markets on the outsourcing map.
In a compelling article by Syovata Ndambuki in the Daily Nation, the spotlight turns to the offshoring industry’s growing influence on commercial real estate, and how Kenyan developers must adapt or risk falling behind.
At BuyRentKenya, we’ve long known that demographics, technology, and economic trends shape the way people invest, live, and work. This article emphasizes just that, particularly in relation to Business Process Outsourcing (BPO) and Commercial Real Estate (CRE).
READ ALSO: Why Commercial Real Estate in Kenya is Facing New Challenges
Table of Contents
Why Kenya Is a Hotspot for Offshoring
With over 60% of Africa’s population under 25, Kenya is sitting on a goldmine of digital talent. Companies like Sama, which began operating in Kenya in 2008, now employ thousands, and the local BPO sector already accounts for 40,000+ jobs.
According to Annepeace Alwala, VP of Global Service Delivery at Sama, Kenya offers a unique mix:
- A skilled, English-speaking workforce
- Stable digital infrastructure
- Favourable time zones and business policies
But for the BPO industry to thrive, office infrastructure must catch up.
The Real Estate Opportunity (and Responsibility)
This is where commercial developers come in. The article explains that the future of BPO success hinges not only on connectivity, but also on flexibility, scale, and employee-centric environments.
Real estate is no longer about just “space”; it’s about designing productivity hubs that meet evolving digital needs.
Expert insights from Michael Mutuma of CBRE Excellerate stress the need for:
- Large, open floor plates (20,000–30,000 sq. ft.) to support collaboration and shared services
- Reliable, redundant power supply (generators, solar, and regular maintenance)
- Breakout terraces, wellness zones, ergonomic workspaces, and greenery for employee retention
- Proximity to public transport and affordable housing, especially for young urban professionals
Modern workplaces must feel human. Natural light, greenery, and breakout areas aren’t a luxury anymore, they’re a hiring and retention strategy.
When staging commercial interiors, developers must always think of productivity as an emotion: if a space doesn’t feel right, it won’t perform well.
What Developers Must Do Differently
- Design for adaptability: Leave room for tenants to customize for AI, data analytics, or hybrid work models.
- Build for scale: Large floorplates, one building core, and flexible layouts save costs and boost productivity.
- Invest in research: Mutuma advises developers to avoid “copy-paste” projects. The market is oversupplied in certain segments but underserved in BPO-ready offices.
Special Economic Zones (SEZs) offer tax incentives, but many are far from housing and transit corridors, something developers must consider carefully.
Tatu City, Konza, and Tilisi are prime examples of great hubs but quite far from most affordable residential areas. And yes, they do offer housing but some of the options are out of range for some professionals.
READ ALSO: Top 5 Gated Communities in Kenya
What the Future Holds
The KPMG 2024 East Africa CEO Outlook Report predicts that 88% of CEOs foresee a return to office. While today’s office space market in Kenya is oversupplied, that could change dramatically in five years.
And it won’t just be BPOs driving that demand. E-commerce, logistics, manufacturing, and even the electric vehicle industry will soon demand modern, efficient, and sustainable workspaces.
To quote Annepeace: “We need to expand training, standardize regulations, and improve infrastructure—but real estate is the physical foundation for all of that.”
At BuyRentKenya, we encourage developers and investors to treat this moment as an inflection point. Build smarter, build greener, and build for the future. The companies coming to Kenya aren’t just looking for office space—they’re looking for long-term strategic partners.
Let us look at the key Takeaways
- BPO Industry Growth
- Kenya’s BPO sector employs over 40,000 people; Sama alone has 3,600+ staff in Nairobi.
- High potential due to youthful population, English proficiency, and time zone advantage.
- BPO Needs = CRE Opportunity
- Strong demand for plug-and-play office spaces that support tech and service operations.
- Design trends influenced by Silicon Valley: open-plan, collaborative, and wellness-focused.
- Essential Infrastructure Features
- Redundant internet from multiple ISPs.
- Backup power systems (solar + generators) with regular maintenance—not just installation.
- Large floor plates (20K–30K sq. ft.) preferred for unified teams and efficient space use.
- Employee-Centric Design
- Wellness zones, terraces, breakout lounges, kitchenettes, and game areas improve morale.
- Ergonomic layouts and daylight access increase productivity and retention.
- Location Matters
- Proximity to public transport + affordable housing = better recruitment and retention.
- SEZs are promising but often distant from workforce catchment areas.
- Customisation is Key
- Developers must allow tenants to tailor spaces for specific industries like AI, data, or logistics.
- Market Research is Non-Negotiable
- Avoid oversupplied segments; understand emerging demand zones and amenity gaps.
- Design research-led buildings to match modern tenant expectations.
- Green Buildings = Future-Proofing
- Tenants demand sustainability: green certifications, efficient energy use, and eco-friendly designs.
- Next 5 Years Outlook
- 88% of CEOs foresee return-to-office (KPMG 2024). Prepare for renewed demand in office space.
- Sectors like logistics, ecommerce, and EVs also driving need for hybrid commercial/industrial space.
- Developer Action Plan
- Build fast, research deeply, design flexibly.
- Partner with government on SEZs, zoning, and infrastructure.
- Tailor your commercial assets to Kenya’s digital future.