New developments spur Watamu's beach tourism as investors return

Real Estate
By Philip Mwakio | Mar 12, 2026
Temple Point Resort, Watamu. [FILE]

Watamu, whose name translates to “sweet people,” is a coastal destination renowned for its natural beauty and ecological significance.

It has been recognised as a Biosphere Reserve by the United Nations Educational, Scientific and Cultural Organisation (Unesco) due to its pristine white sandy beaches, turquoise lagoons and rich marine biodiversity.

This bustling coastal town continues to grow. The progress and transformation of the once sleepy village to a must-visit area in the last decade is evident.

Real estate developers have put up base in Watamu. One such developer is Roberto Lenzi whose establishment overlooks the scenic Seven Islands, one of the most dynamic real estate markets.

One of Lenzi’s projects, the Crystal Bay Residences, encompasses a new residential development with 25  holiday apartments that have a total of 50 bedrooms.

Their sale as holiday homes gives room for total privacy, security and quality of common areas.

Resistant woods

From architectural design, the development uses materials selected for both durability and aesthetic quality with wide doors made of mvule wood (African teak or iroko)-one of the most resistant woods in East Africa, while the high-performance aluminium windows guarantee insulation and resistance to salty water.

The floor finishing is made of ivory coloured noro concrete, a contemporary solution that reduces maintenance and improves the brightness of the rooms.

From the designs to the finishing, it’s evident that new developments are keen on meeting global standards.

“It is clear for all to see. There is an increase in private residences, mostly influenced by growth in foreign direct investments and an increasing appetite by holiday makers and retirees for more tailor-made apartments that match what the world offers,” veteran hotelier and real estate developer, Isaac Rodrot told Real Estate in an interview.

Investors, Rodrot added, have taken the cue and are now ensuring that buildings adhere to set international standards of sustainability.

He notes that Watamu is no longer an isolated holiday town as there are road projects coming up that will fix connectivity issues and further ease the cost of doing business in the area, even as new residential complexes spring up.

Some of the road works expected to change the tourist town include the ongoing tarmacking of the Watamu-Jacaranda road, which will ease the flow of traffic and goods in Watamu.

This is besides the completion of the Kilifi-Malindi highway, which has now taken a fresh load of vehicular traffic to and from the Port of Lamu.

“The Jacaranda -Watamu road is an alternative and will ensure that one spends less time to and from Malindi. There is also a detour to the Malindi International Airport, where those leaving or arriving in Watamu can travel hassle-free,” he said.

These developments are also coming with massive job opportunities, both directly and indirectly.

Rodrot noted that with improved water and electricity power supply, alongside the existing peace, even as Kenya heads to the 2027 general elections, Watamu is set to regain its prominence.

The investor said that support services like retail outlets, such as the Watamu Mall and various supermarkets, have added an allure to Watamu’s growing prosperity.

‘’Investors and people of goodwill have faith in Watamu, hence the growing interest in the area. But there are issues to be fixed, like persistent power outages and lack of adequate piped water for domestic use that need to be addressed,” Rodrot said.

Increasing population

He noted that the current infrastructures, such as drainage systems and water supply, do not match the increasing population, and that’s why it’s important for such issues to be tackled. 

“We are in an era of sustainable living. We cannot generate energy using diesel because if every individual hotel and home runs using generators, it pollutes the environment and causes unnecessary discomfort to tourists and residents alike. We need clean energy, and there are investors who are ready to invest in both solar and wind energy to supplement electric power from the national grid,” Rodrot said.

Rodrot said Watamu’s popularity as a real estate haven stems from the fact that it offers real value for money to investors, where returns are assured, as opposed to other areas.

“We have VIPs setting foot here drawn from the national government, foreigners and even locals who can afford these properties, which can range up to Sh40 million,” he said.

Key investors remain optimistic about the further growth of Watamu if water and electricity, plus all-weather roads, are fixed.

‘’It is our hope that next year, which will be an electioneering year in our country, will be peaceful and devoid of any violence. Investors have indicated their willingness to double up investments here should peace continue to prevail,” Rodrot concluded. 

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