Top Five Trends in African Real Estate Sector
The real state sector in African countries did not face any problems or difficulties in their businesses during the pandemic. In African countries, where doing online work is considered unreliable and insecure, most citizens prefer to work physically in offices to avoid any risks of being scammed. Also, some of the problems in their online businesses are electricity and internet problems.
Due to these people, the offices remain unclosed and resilient during COVID-19. Therefore, the pandemic did not specifically impact the physical real estate business. According to some reports, some other big international companies other than the state’s own company are also operating and providing the residential needs of the people in Africa. Some of them even have offices in particular African countries.
These international states also catered to the civilian’s basic needs when there was an ongoing crisis in some African countries. So, these multinational companies can be trusted by the African people. These companies also play a great role in solving the housing problems in some African regions. Regarding the ranking of the real estate businesses in Africa, the industrial real estate business is the top performing.
Among the African countries, Kenya had the best performance in the industrial business sector in the past years. However, there has been a new trend in the industrial real estate business in the past few years. This new trend enabled companies and leading organizations in African countries to rent an industrial area for their company’s use.
Through this, many companies that didn’t have their industries established in some African regions could do business by renting custom-built industrial workplaces. However, the existing companies also started to move to the rent trend as their industries were not efficient and were not environmentally friendly, so they started to shift to the already built industries that contain such standards.
The shopping centers’ real estate business is also among the leading ones. However, it requires a measured approach to work well. Since there is an ongoing crisis in many countries on the African continent, some of them even being in civil war. The value of the US dollar is increasing gradually, thereby posing a loss to foreign shopping malls and gaming zone investors to hold their hands back from the further business.
Looking at the rapid increase in the real estate business in the African region, we may see the biggest improvement in this sector. However, some countries need help keeping up with the new trends. Some of them are faced with inflation, such as in Nigeria, in which the price of the dollar has increased rapidly over the years. However, countries like Zambia might be able to take on the challenge as one of its economic destruction has been saved by the IMF loan.