Accra has emerged as Africa’s third fastest-growing real estate market, trailing only Nairobi and Lagos, data from Statista and Knight Frank’s Africa Report has revealed.

Ghana’s capital attracted growing investor interest, fueled by economic stability, a rising middle class, and surging demand for both luxury and affordable housing.

The report highlighted Accra’s rapid property value growth, solidifying its status as one of the continent’s most attractive real estate destinations.

“Backed by steady economic growth, a booming urban population, and rising investor confidence, Accra is establishing itself as a key player in Africa’s evolving real estate landscape. Africa’s real estate sector is expanding rapidly, fueled by urban migration, demographic growth, and government infrastructure investments. According to the African Development Bank (AfDB), the continent’s GDP is projected to grow at an average of 4% annually between 2023 and 2025. Cities like Nairobi, Lagos, and Accra are outperforming that benchmark, driven by targeted reforms and private-sector participation”, the report said.

It added that the Ghanaian real estate market is projected to reach a value of GHS 533.34 billion by 2025, with residential real estate accounting for over GHS 456 billion.

The sector is expected to maintain a steady annual growth rate of 3.44% through 2029, reflecting the strength of demand as Ghana’s middle class expands and more citizens migrate to urban areas in search of opportunity. Accra’s rise is underpinned by macroeconomic stability and investor-friendly reforms, despite recent fiscal pressures.

Prime residential areas such as East Legon, Cantonments, and the Airport Residential Area are popular among high-net-worth individuals and expatriates, offering luxury apartments, gated communities, and townhouses. At the same time, demand for affordable housing is surging in peripheral suburbs like Spintex, Adenta, and Pokuase, where developers are actively targeting Ghana’s growing middle-income demographic.

The report said government’s affordable housing initiatives, including partnerships with private developers and mortgage financing schemes, are also contributing to the expansion of residential offerings, making homeownership more accessible.

"Accra’s growing profile as a regional business hub has sparked demand for Grade A office spaces, retail centres, and mixed-use developments. Multinational firms are increasingly setting up regional operations in Ghana due to its political stability, ease of doing business, and strategic West African location".

However, the post-pandemic oversupply of office spaces has pushed vacancy rates to between 20% and 30%, according to Knight Frank report . Developers are now pivoting toward mixed-use and flexible office spaces that cater to changing work patterns and remote-friendly business models.

While Accra leads in West Africa, other cities are also drawing global attention:

• Nairobi, Kenya continues to attract tech-driven development, with strong demand for residential and commercial spaces in Upper Hill, Westlands, and Kilimani.
• Lagos, Nigeria boasts a booming real estate volume projected at $2.25 trillion by 2025, with Ikoyi and Lekki remaining key luxury markets.
• Kigali, Rwanda shines with high rental yields and smart city initiatives like Green City Kigali, making it a magnet for sustainable investment.
• Johannesburg, South Africa maintains resilience with steady growth in prime commercial and industrial zones like Sandton and East Rand.