Increased supply affecting returns in the retail sector with yields in Nairobi declining by 0.4% points from 10.0% in 2016 to 9.6% in 2017.From the research and analysis, as at 2017, Nairobi has a retail space of approx. 5.6 mn SQFT, a 41.6% increase from 3.9 mn SQFT in 2015/16, as a result of the opening of malls such as Next Gen Mall, Two Rivers, Ciata City Mall, Rosslyn Riviera among others which added cumulative retail space of 1.7 mn SQFT.The retail sector offers relatively high returns compared to other sectors like residential which offer 5-7.0% yields. Nairobi is sufficiently supplied with retail space factoring in the incoming supply in the next 2-3 years.
