Best Co-Working Spaces in Nairobi: Why Startups are Leaving Westlands Offices

For decades now, having a business office located in Westlands, Upper Hill and Kilimani was the ultimate status symbol for any Kenyan business. However, with the rise of Co-working Spaces in Nairobi, this narrative is starting to change.

Many businesses, including start-ups and small/medium-sized enterprises (SMEs), are leaving behind their traditional 5-year lease model, moving towards shared co-working spaces as they prefer to have the flexibility provided by these co-working spaces.

Why pay for a boardroom you only use once a week, or struggle with electricity bills and internet outages, when a membership can cover it all? Here is why the traditional office is losing its grip, and which shared spaces are taking over.

The Westlands “Lease Trap”

Despite the many advantages Westlands has to offer as East Africa’s main Central Business District (CBD), the price tag associated with setting up an office space in Westlands is prohibitively high, particularly for a start-up firm or small office.

The average price of Grade A office space in Westlands is currently approximately KSh. 250 ($1.93) per square foot, excluding all service charges and VAT. Therefore, if a small team of 5 requires around 1,000 square feet of office space, the total rental costs would easily exceed Ksh. 250,000 monthly, plus additional fees for the following:

• Goodwill and Legal fees are typically levied at 3 – 6 months’ rent in advance of occupation.
• Fit-out costs for partitions, branding, furniture, etc, will also need to be taken into consideration.
• Utility costs for internet, electricity, cleaning and security, etc., must also be factored into the overall monthly rental cost.

Unless a start-up business has substantial access to VC funding or deep pockets, this Capital Expenditure (CAPEX) requirement is essentially a death knell for any small business.

The growth of co-working spaces in Nairobi has changed the entire dynamic of CAPEX and turned it into OPEX (Operating Expense) for companies that use the space; now you can simply walk in today and start working, then pay a fixed fee on a monthly basis.

Why Startups Are Choosing Co-Working Spaces

1. The Flexibility to Scale

When your company grows, your company has the ability to grow and develop as a company will play an active role in its development.

If your company had not grown, your landlord is more than likely unwilling to allow for early termination or modification of the existing lease, and therefore, you would be required to wait until the expiration of your existing lease before being able to rent a larger space.

However, if you were to downsize from a larger space, you would then be required to continue paying for unused space.

When a business wishes to grow or downsize, it is possible to do so very quickly at a co-working space. In Kenya’s uncertain and rapidly changing economic conditions, quick access and the ability to scale are crucial.

2. Community / Networking Ability

Working in a stand-alone company office can become very lonely. The community that co-working spaces like Ikigai and Nairobi Garage work to create around their spaces creates an environment where you are not just renting a desk, but where you are sitting next to your next client, graphic designer or accountant! Many times, casual conversations in these environments result in actual business transactions.

3. Exceptional Amenities

Today, to attract talent, companies must provide their employees with a workplace experience; therefore, co-working spaces in Nairobi now offer:

Rooftop bars/Cafes; Soundproof Podcast studios; Wellness rooms/Gyms; and Dual high-speed Internet lines (required for Tech Start-Ups).

Top Co-Working Spaces in Nairobi (2025 Edition)

If you are looking to make the switch, here are the top Co-Working Spaces in Nairobi contenders dominating the market right now.

1. Nairobi Garage

• Locations: Westlands, Kilimani, Karen, Spring Valley.
• Vibe: High-energy, tech-focused, and vibrant.
• Best For: Tech startups and creatives looking for aggressive networking.
• Standout Feature: Their “Club” membership allows you to work from any of their locations across the city.

2. Ikigai

• Locations: Westlands (General Mathenge, Peponi Rd), Lavington, Riverside.
• Vibe: Zen, green, and wellness-oriented.
• Best For: Consultants, NGOs, and those who hate the “corporate box” feel.
• Standout Feature: Many locations feature lush gardens and outdoor workstations, perfect for mental clarity.

3. Kofisi

• Locations: Westlands, Upper Hill, Karen, Riverside.
• Vibe: Premium, corporate, and hotel-like luxury.
• Best For: Multinational corporations (MNCs) and established firms needing a prestigious front.
• Standout Feature: Their interior design is world-class, often featuring bespoke African art and furniture.

4. Jenga Leo

• Locations: Westlands.
• Vibe: Modern, community-centric, and accessible.
• Best For: Early-stage startups and freelancers.
• Standout Feature: They have a fully equipped gym and a rooftop restaurant, making work-life balance easier to achieve.

Co-working spaces in Nairobi are not going to eliminate our current style of office but rather represent the evolution of traditional office spaces.

As an entrepreneur in Kenya, it is easier to understand the financial impact due to the cost involved with using a traditional office.

As Nairobi continues to grow and take its place as the “Silicon Savannah,” we clearly see shared space, flexible work options, and the value of community will define how the future workforce operates.