By Mical Imbukwa
Kenya’s wealthy investors are increasingly looking beyond traditional residential property as they diversify their portfolios into alternative assets such as data centres, logistics, renewable energy, Real Estate Investment Trusts (REITs) and professionally managed rental housing, according to Knight Frank Kenya’s Wealth & Investment Trends Report 2026.
The report indicates that affluent investors are reducing the share of their wealth tied up in primary and secondary homes in favour of assets that offer stronger income potential, greater liquidity and long-term resilience. As a result, emerging sectors such as data centres, logistics and the Residential Private Rented Sector (PRS) are becoming some of the country’s most attractive investment destinations.
“The modern investor is looking beyond conventional asset classes,” said Mark Dunford, Chief Executive Officer of Knight Frank Kenya. “There is growing interest in investments that combine income, resilience and long-term growth. This reflects a more sophisticated approach to wealth creation.”
According to the report, Kenya’s expanding digital economy, rapid urbanisation and continued investment in infrastructure are driving the shift in investor preferences. Demand for data centres is rising alongside the growth of cloud computing and artificial intelligence, while logistics facilities are benefiting from increased e-commerce activity and expanding regional trade.
Research findings also show that investors are not abandoning real estate altogether but are instead adopting a more diversified investment strategy.
“Investors are diversifying rather than abandoning property,” said Boniface Abudho, Research Analyst at Knight Frank Africa. “Capital is moving towards sectors supported by structural trends that are expected to shape the economy for many years.”
Despite the changing investment landscape, residential property continues to play a significant role in preserving wealth. However, the report notes that high-net-worth individuals are increasingly balancing their portfolios by allocating capital to liquid investments, fixed-income products and specialised real estate sectors capable of generating more stable returns.
Dunford said Kenya remains an attractive investment destination, but investors are becoming more strategic in deciding where to allocate their capital.
“Kenya continues to present compelling investment opportunities. The difference today is that investors are becoming more deliberate in where they deploy capital,” he said.
The report concludes that the country’s investment market is steadily maturing as investors position themselves to benefit from long-term economic and demographic trends.
“The findings show a market that is maturing,” Abudho said. “Investors are building portfolios that are diversified, future-focused and aligned to long-term economic transformation.”
Knight Frank’s Wealth & Investment Trends Report 2026 also highlights that while wealth preservation remains a priority for affluent investors, there is growing emphasis on sectors expected to benefit from technological advancement, population growth and evolving consumer behaviour, signalling a significant shift in how wealth is being created and sustained in Kenya.