Ways to earn income from that idle plot
Enterprise
By
Paul Kariuki
| Sep 17, 2025
Many who acquire small plots of land, such as an eighth of an acre, often do not view these parcels as immediate opportunities for generating side income, leaving them largely unused.
Beyond basic actions like fencing, depositing construction materials such as sand, planting trees, or erecting a temporary structure to house a utility meter to signal ownership, these plots typically remain idle.
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In rural areas, they may even serve as grazing grounds or playgrounds for children until the owner decides to build or utilise the land differently.
This trend is particularly noticeable in the countryside, where arable land is rapidly disappearing as people rush to secure their “ploti maguta maguta,” a popular term for “prime” land.
However, there are several ways owners can transform these plots into sources of passive income. Here are some viable options:
Leasing for Commercial Use
If your plot is strategically located, such as along a busy road, consider approaching large businesses to lease it for a depot or warehouse.
This can streamline their operations, saving time and costs by bringing them closer to customers. You never know—your lessee might attract complementary businesses, transforming the area into a bustling trading hub.
As the area grows, not only will you earn rental income, but the value of your land could also appreciate significantly. What if, at the end of the lease, the business offers an attractive sum to purchase your plot outright?
Converting to a Parking Lot
A plot near a busy road can generate daily income as a parking lot, especially for matatus, long-haul vehicles, or workers in nearby businesses who lack parking space.
You could charge hourly rates or a fixed fee for set periods, with additional charges for extended stays.
This setup might attract related businesses, such as mechanic shops, car washes, fuel stations, or auto parts dealers, as well as services like security guards, eateries, or small kiosks, creating a vibrant micro-economy.
Hiking/Camping Site
If your plot is located in a rural area or near natural attractions like hills or trails, consider turning it into a stopover for hikers, campers, or adventure seekers.
Simple, eco-friendly structures like timber cabins or grass-thatched shelters can blend with the natural environment, appealing to nature enthusiasts. This low-cost venture could grow into an Airbnb-style business, attracting those seeking serene hideaways.
With time, nature lovers might promote your site as a must-visit stopover for recharging during outdoor adventures.
Telecommunications Mast
If your plot is on elevated terrain, it could be an ideal site for a telecommunications company to install a communication mast.
Approach a telco with this proposal, and if their feasibility study confirms its suitability, you could secure a steady income stream. As the surrounding area develops, attracting investors and homeowners, your land’s value may increase.
Including a buyout clause in the lease agreement could allow the telco to purchase the plot if its infrastructure becomes too critical to dismantle after the lease ends.
The possibilities for generating passive income from small plots are not limited to these examples. For those passionate about farming, investing in a greenhouse could yield higher returns than traditional rain-fed agriculture on a larger plot.
However, choose investments that require minimal ongoing costs to sustain operations while delivering consistent returns. Building rental properties, whether residential or commercial, may not yield quick returns, especially in rural areas without industries or major investments to attract skilled labour and high-paying tenants.