Real Estate Investor Magazine South Africa Dec/January 2020 | Page 58

AFRICA Africa’s home of high-end rentals Lucrative investment opportunities in Kenya SIDIMA MFEKU F inding an investment vehicle that will help one secure and ensure sustainable economic stability is ideal. It is very important that investors pay extra attention to their investment vehicles’ analytics and financial track re- cord over the years. This is to predetermine the probabilities of the undesired results, the downfall of the investment and bankruptcy of that particular investment vehicle. According to API’s analysis of the real estate and property investment sector in Africa. The past two years have seen the rise of specialised and sector specific real estate investments platforms established to develop African-centric asset classes in logistics, healthcare, affordable housing and hospitality. Some of the standout platforms have included African Logistics Properties (ALP) in Kenya. While investing in general comes with uncertainty about returns and wealth, it requires thorough research about that particular sector for any investment hopes. In this regard, the real estate and property sector has proven to often bear fruitful returns on investments. It is particularly fruitful to property investors who adhere to the golden rules of property investment. “The positive investment results in the country have made the country appealing to a large number of real estate investors around the globe. It has also seen the erection of high valued developments” If any real estate and property investor really does their research, they would know that many of the world’s most improving property markets have been predominantly African, with markets moving up a combined 82 places in the index over the past decade. Even though Africa may be one of the weakest continents in terms of political leadership, transparency has proven to be increasingly important for the commercial real estate sector and has been the core business value in this continent. Increased interest and activity in Africa’s value for business development and most attractive real estate markets has resulted in the harmonisation of the sector through the development of local and regional industry associations. Given the continent’s innovative growth, African Property Investment association has been able to establish successful industry events in Kenya, Nigeria, Mozambique, Zambia, Botswana, Zimbabwe, Senegal and Cote d’Ivoire. Events that award and embrace the growth that Africa has shown over the years. 56 DECEMBER/JANUARY 2020 SA Real Estate Investor Magazine Kenya This African country has secured funding from institutional investors such as (CDC) and recently, Standard Bank. The investors include Actis’ dedicated hotel investment platform with Westmont, Shapoorji Pallonji from India and their joint venture with Improvon (a specialist warehouse developer). Recently awarded for its high-end residential developments, Kenya is among the largest and most advanced economies in the East and Central Africa. It has a relatively growing population. Kenya’s real estate and property sector is growing rapidly and this is due to the emergence of a greater middle-class, as well as the need for high value housing in the country. The growing demand for high value housing has shown real estate and property investing opportunity for investors around the globe. The positive investment results in the country have made