The rent hike in Nyeri County has driven several businesses out of town. Most Investors have refused to start-up businesses in the town, noting that the rent charges are too high.
Ibrahim Ndegwa, the Kenya National Chambers of Commerce and Industry (KNCCI) Nyeri chairperson, confirmed that the rent charges discourage investors from doing business in the County.
Several business owners in Nyeri have closed shop, and others have opted out of business completely.
For the longest time, Nyeri has been known for its convenience in accessing various administrative services. The county has a lot of untapped opportunities for business people.
Mr. Ndegwa faulted the business owners for driving away business people with the high rent charges.
“Premises owners in town have been charging a top dollar to rent out space. This move made those who have already rented spaces give up and also away potential tenants,” Mr. Ndegwa said.
Several prime commercial buildings in Nyeri town are either empty since the occupants closed down or remain vacant even more than a year after they were put up.
Mr. Ndegwa also said that average businesses could not afford the rent, especially with the Covid-19 pandemic.
Landlords have disputed claims that they are responsible for driving business out of town.