Welcome to The Africa Report 2024-25
Welcome to the 6th edition of The Africa Report 2024/25, Knight Frank’s ultimate guide to real estate market performance and opportunities across the continent.
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As we unveil our biennial 2024/25 Africa Report, we are optimistic about the prospects for Africa’s real estate markets. Over 95% of the African markets tracked by Knight Frank have fully rebounded from the COVID-19 pandemic, with most now matching pre-pandemic figures in transactions, prime rents, and average yields across major real estate sectors.
The office sector across the continent is witnessing increased demand for Grade A stock, with ESG-compliant stock growing in popularity. This shift is also prompting some developers to refurbish older buildings to Grade A standards to help sustain demand and occupancy levels, as has been the case in Uganda. Overall, Grade A offices boast an average occupancy rate 10% higher than lower grade offices.
Elsewhere, the retail sector continues to evolve, with a heightened focus on enhancing consumer experiences. For example, retail shopping in Kampala and Entebbe has transformed from necessity-driven downtown markets to leisure experiences in modern shopping centres.
Africa’s industrial markets have shown remarkable resilience, bolstered by government initiatives in countries like Kenya and Zimbabwe, with their Special Economic Zones (SEZ) and Export Processing Zones (EPZ) helping to create new demand. Additionally, the rise of e-commerce across the continent is driving requirements for efficient storage and distribution facilities, prompting the development of modern industrial zones equipped with state-of-the-art logistics infrastructure.
In the residential sector, the global trend of the livework- play model is driving demand for mixed-use and community living developments. For most households aspiring to transition from renting to owning however, affordability remains a key concern. Developers are addressing this by offering innovative financing options, complementing government initiatives like Egypt’s ‘Housing for All scheme’, which provides long-term subsidised mortgage loans.
Our 2024/25 Africa Report includes comprehensive coverage of property markets in 19 countries, as well as detailed insights from our experts exploring retail, economic, and healthcare trends across the continent. I invite you to delve into our research and look forward to discussing our findings with you in more detail.