Nairobi, Kenya, January 15, 2014—IFC,
a member of the World Bank Group, and CDC Group plc today announced an
investment of $32 million in a new mixed-use real estate development along
the Thika superhighway in Nairobi.
The Garden City project is sponsored by
Actis, and expected to create more than 650 jobs directly during the construction
phase and over 800 more once completed.
Garden City will be built in two phases, comprising a 50,000 square meter
mall, 20,000 square meters of office space, 421 residential units and a
three acre park. The project will meet retail needs in one of the fastest
growing areas of Nairobi. An estimated 1.5 million people live within the
immediate, primarily residential, catchment area.
Koome Gikunda, Investment Principal with Actis said: “Garden City will
become a genuine mixed-use community and an enduring landmark that the
residents of Nairobi and the region can be proud of. CDC and IFC are bringing
their experience and expertise in backing this vision. The scale and ambition
of Garden City builds on Actis’s reputation as sub-Saharan Africa’s most
experienced private equity real estate investor.”
Oumar Seydi, IFC Director for Eastern and Southern Africa, said, “Garden
City opens new business opportunities and creates jobs by providing a modern
real estate platform for the supply of
goods and services through local businesses.
Garden City is actively working with IFC and CDC to encourage entrepreneurship
and serve consumers through an initiative that aims to attract local artisans
who will have access to affordable temporary market spaces.”
CDC Regional Director, Dolika Banda, said: “Garden City will provide vital
jobs in Nairobi, and benefit the local economy through its supply chain,
infrastructure and new opportunities. Few investors have an appetite for
greenfield real estate projects in sub-Saharan Africa, so this investment
sends a strong signal of our commitment to Kenya’s development and our
confidence in its economic potential.
Phase one now underway involves the construction in 2014 of 33,000 square
meters of retail space and 76 residential units. Anchor tenants include
Nakumatt, and Tile & Carpet Centre with possibility of housing Game,
a South African chain store.
The project is the first mixed-use development in Kenya, and will create
a new asset class within the real estate sector. The building will be energy
efficient in design. The sustainability measures to be incorporated include:
generating energy from waste heat; utilizing roof space for solar collectors
to generate residential hot water; introducing “green belt” and lakes
to receive storm water runoff; and installing rainwater harvesting.
IFC, a member of the World Bank Group, is the largest global development
institution focused exclusively on the private sector. Working with private
enterprises in more than 100 countries, we use our capital, expertise,
and influence to help eliminate extreme poverty and promote shared prosperity.
In FY13, our investments climbed to an all-time high of nearly $25 billion,
leveraging the power of the private sector to create jobs and tackle the
world’s most pressing development challenges. For more information, visit