Healthcare, Automotive and Digital Retailers Expand Footprints in Kenya

Healthcare, automotive, leisure and digital retail operators are becoming increasingly important occupiers of commercial real estate in Kenya, helping to support landlords as traditional shopping centres contend with weaker discretionary spending and wider economic pressures.

• According to Knight Frank’s H2 2026 Kenya Market Update, the shift is being driven by developers moving away from an over-reliance on large regional malls and focusing more on community-based convenience formats.
• Neighbourhood centres, petrol station complexes and redeveloped city-centre properties are attracting a broader range of businesses seeking to capture everyday spending closer to residential catchments.
• Retailers are increasingly adopting omnichannel models that combine online ordering with traditional stores, click-and-collect services and home delivery.

Healthcare retail has emerged as one of the fastest-growing occupier categories. Pharmacies and outpatient providers are expanding their networks within shopping centres and residential neighbourhoods, where they can benefit from regular footfall and convenient access to households.

Goodlife Pharmacy surpassed 150 outlets nationally during the review period, while Equity Afya and Gertrude’s Children’s Hospital continued to expand their outpatient clinic networks. Online pharmacy platform MYDAWA also announced further investment to accelerate its omnichannel healthcare strategy, reflecting the growing convergence between digital ordering, physical outlets and fulfilment infrastructure.

Knight Frank notes that the expansion of healthcare operators is strengthening demand for neighbourhood retail space. Pharmacies and clinics are increasingly taking space alongside supermarkets and other essential-service businesses, providing landlords with occupiers that generate regular visits and are generally less exposed to fluctuations in discretionary spending.

Cars, and Leisure Activities

Automotive businesses are also absorbing more commercial space. Dealerships and service-centre operators are expanding their showroom and workshop footprints in response to rising vehicle ownership and growing demand for after-sales support.

These occupiers are particularly suited to roadside schemes, mixed-use developments and convenience centres with prominent locations, parking and sufficient space for showrooms and servicing facilities. Their continued expansion is broadening the range of businesses occupying retail property and creating leasing demand beyond traditional shopping malls.