QuickMart, a Kenyan homegrown supermarket on Friday said it has expanded its footprint in Nairobi with the commencement of a 24-hour outlet in Westlands.
The retailer now has a distribution network of 46 stores, including 12 that operate 24 hours – Lavington, Chaka, OTC, Embakasi, Tom Mboya and Buruburu it said.
The new store will feature a bakery, liquor store, fully-fledged deli, butchery, and a fruits and vegetables section.
“The branch will employ about 100 workers.“We are looking forward to offering fresh vegetables, toiletry and fast-moving consumer goods among other items at this store,” said the retailer’s sales and marketing manager Betty Wamaitha.
QuickMart has remained bullish after Sokoni Retail Kenya acquired a controlling stake in the retailer and merged operations with Tumaini Self Service under the QuickMart brand.
According to Cytonn Investments, Westlands and Karen were the best performing nodes with average rental yields of 9.7% and 9.4%, respectively which were 2.2% and 1.9% points higher than the market average of 7.5%.
“This can mainly be attributed to higher average rental and occupancy rates that they fetch at Ksh 209 per SQFT and 80.4%, respectively, against the market average of Kshs 168 per SQFT and 75.8%, respectively, adequate amenities and infrastructure, and the undersupply of retail stores in Karen thus driving higher demand for the available ones.”
Kenya Retail Sector Remains Bullish with Neutral Outlook
In 2021, it opened 4 new stores in Nairobi and Eldoret. The year registered increased market activities in the retail sector evidenced by the aggressive expansion by major local and international retailers as opposed to 2020 which was marked with lockdowns leading to retailers scaling down their businesses.
Cytonn Investments’ Kenya Retail Sector Performance Summary in 2021, the sector performance recorded a 0.1% increase in the average rental yields to 6.8%, from 6.7% in 2020.
Average occupancy rates and rental rates also realized an increase of 1.8% points and 2.2%, respectively, to 78.4% and Kshs 118 per SQFT in 2021 from 76.6% and Kshs 115 per SQFT in 2020, respectively, as a result of an improved business environment.
Within the Nairobi Metropolitan Area, Cytonn Investments said the market recorded average rental yields of 7.5% similar to 2020, with average occupancy rates coming in at 75.8%, a 0.6% increase from the 75.2% realized in 2020, attributed to an increased demand for retail spaces and improvement in infrastructure opening up areas for retail investments.
