Factors Affecting Real Estate

FACTORS AFFECTING THE VALUE OF COMMERCIAL REAL ESTATES IN NAIROBI. A CASE STUDY OF HURUMA ESTATE

BY: DANIEL NDUTI

A RESEARCH PROPOSAL SUBMITTED IN PARTIAL FULFILLMENT FOR THE REQUIREMENTS OF THE AWARD OF BACHELOR OF COMMERCE DEGREE, MASINDE MULIRO UNIVERSITY OF SCIENCE AND TECHNOLOGY AT VISION INSTITUTE OF PROFESSIONALS

NOVEMBER 2013

DECLARATION

This proposal is my original work prepared with no other than the indicated sources and support and has not been presented elsewhere for a degree or any other award.

Signature ……………………… Date:

Name: DANIEL NDUTI

Registration No: BCM/9062/11

The proposal has been presented for examination with the approval of the supervisor.

Signature: ……………………… Date:

Lecturer: Mr.WAMBUGU

Department of Business, Masinde Muliro University of Science and Technology at Vision Institute of Professionals.

DEDICATION

I dedicate this work to the Almighty God for this would not have been possible without your wisdom and inspiration. I also dedicate it to my family for their moral support, their constant encouragement and demonstrating great concern during my study. To all my siblings God bless you for making this a success.

ABSTRACT

Real estate valuation is the practice of developing an opinion of the value of real property, usually its Market Value. Although, there are many concepts of value, value as used in this work refers to a true market value. This may or may not be the same with a market price. A market price is the price a property actually sells for and could represent a true evidence of the current market value if the conditions for arriving at a market value exist. In this work, therefore, a market value is construed to number of factors affect commercial property values in Africa.

Kenyan real estate property covers all property categories including single and multi-family residential dwellings, commercial and agricultural land, office space, go-dawns and warehouses, retail outlets and shopping...