Ways to make passive income from vacant land in Kenya

Wondering what to do with your empty land other than selling it to make money?

By exploring strategies like development, agriculture, or leasing, you can unlock the hidden potential of vacant land and create a steady stream of revenue. With careful planning and the right approach, these vacant lands can become lucrative assets in the world of real estate. Before embarking on any venture with vacant land, it’s imperative to thoroughly understand the unique characteristics, such as size, resources available and the location of your land, and zoning regulations that govern your property. Here are some crucial steps to help you assess and unlock your land’s potential

Rent out space for events

If you own a large piece of land, you can rent it out for functions, such as weddings and concerts. You could either rent out the venue as is, without any additional equipment or charge a flat fee for the grounds. You could also invest in tents, chairs and tables and rent them out too. This option will be more costly at the start, but you can make back your money eventually the more people hire out your items.

Start farming

Depending on the soil and climate in your area, you can plant different vegetables and crops to sell and make money from them.

Another great thing to do is start animal rearing, such as pigs, cows, sheep, goats or poultry. Get good at that skill then schedule tours to your farm to teach people how to do it on their own and share your successes.

Lease or convert to storage facility

Some people can’t afford to buy land on their own who can lease it from you. You will decide how much to charge according to the land size and the investment you want to make out of it.  If your land is close to factories or industries, you can convert it into a storage facility for the businesses near it. The companies can buy your land to build the facility on their own or you collect rent.

Recreational centres

Open spaces and recreational centres are increasingly becoming prevalent in contemporary societies. The need to escape due to social and economic hardships, coupled with an expanding population, has led to a greater appreciation for open spaces.

Such a venture is feasible on idle land. Whether it involves creating an open space, a children’s play park, or a wedding garden. You have a good chance of making a lot of money from this endeavour if you take the proper strategy and market it. It would be a good idea to build a hotel on your property if it is close to a river, a mountain, or any other beautiful scenery. You could always set up a camping site if this concept isn’t all that appealing. People long to experience nature.

Parking lot

Until recently, the number of vehicles imported into the country have been on an all time high. With increasing populations in the city and the counties, the demand for parking spaces is inevitably increasing. It won’t hurt to turn your piece of land into a parking lot and make that extra dime if it’s near a major road, in a city, or near a developing town. The funds raised during this period might be useful for any further projects you have in the works. Nonetheless, it is crucial that you obtain all required approvals from the city council and any other relevant authorities.

Temporary structures

If you have a piece of undeveloped land in a desirable area of a city or any upcoming town, you can put up a few profitable stalls there. Vibanda eateries, which are temporary eateries that are partially open, spotlessly clean, and have excellent food, are a common sight in most cities. This is an idea that will make you money on that piece of vacant land, whether you operate it yourself or rent it out. It will also increase your profits if the land is close enough to commercial areas.

Marketing and advertising

Billboard advertising can provide some cash flow for a piece of vacant land near a highway. The majority of outdoor advertising businesses lease the property and pay for their billboards.

The drawback of this endeavor is that billboards are typically erected on buildings in busy, urban areas. You won’t be making the best use of the land if you market on an empty plot of land that may only take up a small portion of it.

Subdivide the land

If you own a large parcel of land, you can decide to subdivide it and sell it in smaller parcels to make more money as opposed to when selling it as a whole.

You could sell all the land or keep a portion of it to yourself for other uses. To subdivide land, you must have a title deed for it. Then, get a ​registered and licensed physical planner from the Physical Planners’ Registration Board of Kenya to prepare a subdivision scheme to the relevant County office to start the process.

Requirements for subdivision of land, include official title deed, certificate of the title deed search, duly filled Phased Payment Application One (PPA1) form signed by a registered physical planner, detailed location of the land or survey map, the subdivision scheme plan, payment receipt of land rates together with clearance certificate, as well as consent from the Land Control Board.