How co-renting is unlocking affordable entrepreneurship in Kigali

A new wave of co-renting is giving small entrepreneurs the opportunity to thrive in Kigali’s evolving commercial landscape without the heavy burden of high rental costs. ALSO READ: Young entrepreneurs urged to drive lasting social impact From electronics dealers to digital creatives, business owners are increasingly sharing retail and office spaces—reducing overhead, expanding market access, and building collaborative ecosystems that support growth. Retail co-renting models: From kiosks to tech malls After recognising a growing need for inclusive business models, Lambert Gahungu, the founder and CEO of TAJYIRE Group, an investment company, began providing shared spaces to small entrepreneurs to help them access markets at lower operational costs. ALSO READ: SMEs solving youth unemployment in Rwanda In early 2022, he launched a large co-working marketplace (TAJYIRE Electronics Mall) designed to accommodate small businesses. Currently, the space houses nearly 50 businesses that collectively generate close to Rwf3 billion in annual revenue. His plan is to scale up and support over 1,000 small enterprises within the next three years. ALSO READ: New study reveals 71% of Rwandan youth aspire to start businesses “My first target was youth and people with inadequate capital. They have been able to start with small capital and gradually expand through benefiting from the ecosystem and shared revenues from the marketplace,” he said. Electronics was his choice due to the rise of the digital era. When he started, fewer than 10% of Africa’s population – over one billion people – owned smartphones. This hindered communication, networking, and other activities that are now commonly carried out through the internet. ALSO READ: Youth urged to seize opportunities in African regional trade Gahungu affirms that sharing rental spaces provides numerous benefits. “For instance, one person can rent a large space and allow multiple vendors to share it, even if they only have small amounts of capital. This model creates a chain of benefits, increases money circulation, and contributes to boosting the economy. It also helps ensure commercial buildings have no vacant rental spaces.” ALSO READ: $6.5m project launched to boost youth employment To put this into perspective, he explained how one room can host up to 15 cupboards, shared by 30 or more vendors, with at least 500 visitors per day. On average, each vendor could receive around 16 customers daily, simply by dividing 500 visitors by 30 sellers. Over time, 500 visitors per day multiplied by 365 days equals 182,500 annual visitors. If this model is replicated across six rooms, it could attract up to 1,095,000 visitors in a year. “This shows the level of demand for electronics and why no one should hesitate to venture into this business. Our country is advancing, and everyone needs to recognise the opportunities this presents,” he said. Professional coworking spaces: The hybrid office of the future OfficePhase, a Pan-African coworking company operating from the Kigali Heights complex in the Kimihurura neighborhood offers a wide range of co-working spaces options including virtual offices for entrepreneurs, and private suites for growing teams designed to fit both short- and long-term needs without breaking the bank. “One major trend OfficePhase is riding the shift to hybrid work. As companies and professionals move away from traditional offices, they’re seeking spaces that offer not just desks and Wi-Fi, but flexibility, community, and quality amenities,” said Kelly Remezo Kirenga, the Customer Experience and Creatives at OfficePhase. “We’re seeing increased demand from freelancers, remote employees, and even corporate teams who want the benefits of a collaborative environment without the rigid structure of conventional offices.” Operating in Rwanda, Nigeria, Kenya, Senegal, Ghana, Zambia, and Tanzania, the OfficePhase co-working model is also attracting attention from digital nomads traveling across Africa, predominantly professionals aged 25 to 40. They include experienced consultants and young entrepreneurs fresh out of university with prices ranging from Rwf35,000 per week. Emelyne Muhawenimana, a businesswoman who sells phones and accessories, started her business with just Rwf2 million alongside two friends. She pays Rwf178,000 per month as shared rent. Now, two years later, her business is estimated to be worth around Rwf10 million. “Sharing rent has helped me build networks and increase my profits. I can serve up to 30 customers per day. Some buy from me, others from my neighbours, we usually share customers,” she said. Denis Karera, the Vice Chairperson of the East African Business Council, who invests in real estate ventures said that sub-renting is a very good business model because it benefits both tenants and building owners. According to him, some tenants often have limited capital, smaller stock, and operate on a smaller scale. But through sub-renting, they gain visibility and access to the most prime locations that provide potential customers. “Many people are able to find affordable rental spaces, while property owners get the opportunity to earn from spaces that might otherwise stay empty. As landlords, we often prefer tenants who can take larger spaces but such clients are rare. So, when someone rents a big space and sublets it to others, it becomes a win-win situation,” Karera said. “It helps fill vacancies and benefits everyone involved, especially since finding reliable tenants can be challenging. In the end, business flows with those who have the time and capacity to make it work.” Blandine Umuhoza, a 26-year-old clothes vendor at the Kigali City Tower market, said that sharing a workspace was especially helpful when she was just starting out and couldn’t afford her own. It allowed her to cut costs, share resources, and even collaborate with others on projects. But co-working, she admitted, has its challenges. “Sometimes, personal differences or competition can creep in. I have experienced situations where co-workers became envious or started comparing progress, which creates unnecessary tension.” She explained that in such shared environments, emotional intelligence becomes just as important as business skills. “You have to know how to navigate different personalities, communicate clearly, and keep your focus on the bigger picture. It’s easy to get distracted by gossip, or rivalry, but you have to remind yourself constantly that business must come first. At the end of the day, the goal is to grow, not to compete with the person sitting next to you.” While co-working spaces can be powerful platforms for growth, they require maturity, professionalism, and a willingness to respect boundaries. If managed well, they can be incredibly empowering. But if not, they can also become toxic and slow down your progress,” Umuhoza said.

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How co-renting is unlocking affordable entrepreneurship in Kigali