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Wakiso Road Upgrades Show How Infrastructure Can Create and Capture Land Value
Wakiso road upgrades show how infrastructure can create and capture land value by stimulating development, raising property values and expanding local revenue.
Road improvements under the Greater Kampala Metropolitan Area Urban Development Programme are already changing property markets in parts of Wakiso District. Along the 12.17km Bukasa–Ssentema–Kakiri Road, residents report rising land prices, new apartment and commercial construction and increased buyer interest as sections of the route are upgraded. In Lukwanga, 12-decimal plots previously reported at Shs15 million–Shs20 million are now being quoted at Shs45 million or more, while shop rents have also risen in some locations.
Local authorities are openly anticipating the fiscal effect. Nansana municipal officials expect the road upgrades to raise property values, stimulate redevelopment and ultimately increase local revenue, particularly where low-density buildings are replaced by higher-value multi-storey development. Similar investments under GKMA-UDP are being rolled out across Wakiso, including road packages worth more than Shs100 billion and further corridors currently undergoing design, environmental assessment and resettlement planning.
The development provides a practical illustration of land value capture: public infrastructure can create private property value, and part of that uplift can in turn strengthen the public revenue base. But that return is not automatic. If property registers remain incomplete, valuations are outdated or increased development escapes effective taxation, most of the infrastructure-created value accrues privately. Well-managed local authorities can instead use improved property values, denser development and expanded business activity to grow recurring revenue and thereby allowing roads to generate fiscal returns over time rather than being treated solely as sunk public expenditure.
