Veteran journalist Alex Chamwada’s features production, Chams Media, ran an episode recently on Nairobi’s booming real estate sector. The show, quoting experts, cited mind-boggling land valuation figures. Apparently, one acre of land in Upper Hill costs Sh545.7 million, Sh433 million in Kilimani, Sh418 million in Westlands, Sh310.7 million in Kileleshwa and Sh237 million in Lavington. Sobering figures, given prevailing Covid-induced economic catharsis in our sector too are astronomical.
The ramifications are high rents for tenants in these areas, including doctors’ offices, pharmacies, clinics and hospitals. With a lot of down shifting in many of our businesses, entrepreneurs have to make considerable book balancing decisions. Health system managers too have to decide whether domino effects of high end real estate setups are eligible for “inclusion” in medical bills, given the constrained premiums, layoffs and late remits from clients. Historically, the basic tenets of a health insurance package are equity; one for all and all for one. With increasing concerns over ballooning healthcare costs, insurers and medical fund managers are taking new approaches to ensure sustainability.
