Category Archives: Real estate in Africa

Chinese property developer pressing on with an upmarket holiday resort project in Kenya

Sultan palace Development Limited, a Jiangxi Xinyu Real Estate Development hopes for beach retreat. The property developer is working on a holiday resort project in Kenya’s coastal town of Kikambala which is about thirty minutes drive from Mombasa, one of Kenya’s biggest tourist resorts. Despite the travel advisory imposed on some areas in the Country by some other Countries, the project is still taking shape fast.

Although the tourists frequenting Kenya’s coast number has declined recently due to security concerns, the company says there is no reason as to why the country can loose on projects like these affecting the market, especially with the standard gauge railway set to be completed in 2017. The line once complete will shorten the journey times between Nairobi and Mombasa as the country’s middle class continues to grow. The line is as well expected to fuel a boom in domestic tourism.

Currently it takes at least 19 hours to travel between the two cities, however, this will be reduced to about four and a half hours to cover the 500 kilometers.

Chinese firm builds holiday homes in Mombasa.

Diamond residence sultan palace

 

Chinese firm Sultan Palace is developing 198 vacation homes at the Kenyan Coast for sale despite the ailing hospitality sector in that region.The units comprise 50 coral stone beach houses, 16 villas and 132 condos.

General manager Liu Tiancai said hotel closures in the region have created accommodation shortage which is expected to boost the demand for vacation homes.“The decline in tourism numbers is only a short term occurrence. We have invested at the Coast because we believe that the country still has the potential to return to its glorious days sooner than many think,” he said.

Firm plans 387-acre housing estate in Limuru

The plan by Red Coral Properties Limited will see 3,304 housing units built on 172 acres of land and development of commercial and retail space done on 39 acres. Also in the plan are 17 light industrial developments, particularly warehouses and logistics facilities.

The company will be designing middle and upper class buyers and is counting on the proximity of the property to Nairobi to attract a market. The estate will be designated along such other developments in Kiambu that have taken advantage of huge parcels of land previously used for farming.

Cheap housing concept unveiled in Kenya

Three investor companies from America, Britain and India have teamed up and launched what is to be Kenya’s most affordable brick and mortar gated community houses.

The companies, Blue Haven Initiative which is a family organization from US, has partnered with Metropark Developers and Housing Infrastructure from India together with Housing Infrastructure to put up a Sh3 billion housing project in Athi River.

The project which will be Known as Karibu Homes will be made up from 1,082 houses on a 20-acre plot in Athi River which is just a kilometre off Mombasa Road.

Firm unveils Sh22 billion real estate project in Kajiado

Cretum Properties on Tuesday launched a Sh22.7 billion real estate known as Green Isinya City. The office blocks, maisonettes, schools, high end eateries and police stations will sit on 1,000 acres in Kajiado County. The infrastructure begins in the next two weeks followed by ground-breaking in February next year.

Slowing Real Estate in Kenya Offers Cheap Entry

There is a lot of activity that is going on as the the largest mall in East Africa, is slowly taking shape along the Thika superhighway. Once it is complete, Garden City Mall which is financed by a U.K.-based private equity firm, will have 50,000-square-meters of retail, a four-acre central park as well as an outdoor concert arena of 500 homes.

The last four-to-five years have experienced turbulence in developed property markets around the world, while Kenya has remained relatively stable. Kenya’s property market has potential for higher rates of return as compared to other jurisdictions. It is also easier for foreign investors to enter Kenya’s real estate sector.

Property markets in India, Dubai and China have boomed over the last  15 to 20 years, these are markets which have big bubbles and have potential to explode anytime.

Kenya ranked as the most improved real estate market globally

The Global Real Estate Transparency Index ranked Kenya top among 14 most improved countries in real estate transparency globally. The Index by consultancy firm Jones Lang LaSalle Index uses a combination of quantitative market data and information collected through surveys of its global business network.

Growth of Real Estate and Property in Africa

 

Map of African Countries

Map of African Countries

Due to conflict, political instability and low investment the property in africa has been quite stagnant over the years. But recently property in africa has experienced significant growth. Africa’s economy at GDP growth rate of 5% per annum is expanding exponentially. This expansion is creating a middle class which has led to the urban centres coming up. It also creates a need for modern retail formats and big shopping malls. The African property market has been growing since the turn of the millennium albeit slowly due to lack of big investments.

New regulations spark fears over validity of old title deeds

Anxiety is growing among investors holding title deeds under the Government Lands Act due to lack of clarity on whether their property will revert to the State once the county governments come to effect.The developers have indicated that financial institutions have tightened their credit rules, even rejecting some of the title deeds which were issued under the Government Lands Act (GLA) after the passage of new land laws by Parliament.

Top companies line up for piece of Konza

The Konza Technopolis has attracted major local service industry players, boosting its chances of success as foreign firms also line up for space in the project dubbed “the African Silicon Savannah”.Fourteen large firms have expressed interest in the first stage of the Konza Technology City project set to be carried out in four phases of five years each.