Nairobi, Sept. 7 -- Investors are scrambling to build luxury hotels and serviced residences in Nairobi's upmarket Gigiri neighbourhood, targeting growing demand from diplomats, business travellers and international organisations based in the area.

In the last two months, for example, three investors have announced plans to pour more than Sh5.5 billion into hospitality developments in Gigiri, which are expected to add a combined 587 accommodation units to the neighbourhood.

The developments are driven by Gigiri's position as Nairobi's diplomatic and international organisations hub, attracting embassies and multinational bodies like the United Nations. This makes it a ripe target for investors eyeing conferences and foreign visitors.

One...