Kenyan Developer Secures IFC Funding For Affordable Housing
Centum Real Estate has secured a US$20 million loan.
Kenyan developer Centum Real Estate (CRE) has secured a US$20 million loan from the IFC to finance the construction of 1,940 affordable housing units in its Two Rivers development in Nairobi. The total estimated project cost is US$91 million.
The Two Rivers development comprises a 104-acre mixed-use urban node located within Kenya’s diplomatic Blue Zone in northern Nairobi and will consist of residential units, retail zones and business centres.
CRE is setting up four housing projects at the Two Rivers development: the affordable 26 Mzizi Court; the mid-market Riverbank; the higher-end Loft; and Cascadia, which is a mix of affordable and higher-end homes.
The IFC will finance all three phases of the 26 Mzizi Court project. The first phase, comprising 301 apartments in an 18-storey building, is currently under construction, with work due to be completed in July 2024. The contractor is the local Landmark Holdings.
According to CRE's website the first phase is already sold out and sales have commenced on phase two. The IFC financing will be used to fast-track overall construction work.
The groundbreaking for phase one took place in March 2022. The phase comprises one, two and three-bedroom units. Construction of phase two is also underway.
The Two Rivers development also includes a retail, hospitality and entertainment zone, an office and commercial zone and an integrated special economic zone called the Two Rivers International Finance & Innovation Centre (TRIFIC).
CRE plans to build 9,908 housing units within the Two Rivers development in the long term to address the housing market gap in Kenya.
The developer is a wholly owned subsidiary of Kenya-headquartered Centum Investment Company.
Photo: Construction work at Mzizi Court, July 2023 (Source: Centum Real Estate)