Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
Shelter Afrique is set to raise Sh8 billion over the next two years for funding projects/FILE

Kenya

CBA in a Sh1.5b deal with Shelter Afrique

Shelter Afrique is set to raise Sh8 billion over the next two years for funding projects/FILE

Shelter Afrique is set to raise Sh8 billion over the next two years for funding projects/FILE

NAIROBI, Kenya, Jul 8 – The Commercial Bank of Africa has signed a Sh1.5 billion deal with Shelter Afrique for financing of housing projects in Nairobi, Kisumu and Mombasa.

Commercial Bank of Africa Group Managing Director Isaac Awuondo says that this partnership will promote development of real estate in the country and provide decent housing for all.

Awuondo said that the real estate sector remains one of the most vibrant sectors in Kenya’s economy and provision of affordable finance remains paramount.

Shelter Afrique is set to raise Sh8 billion over the next two years for funding projects.

“This financial line will finance a whole range of projects in the pipeline primarily in the three cities we are looking at, we will major in low income and medium income housing,” Business Development and Operations Director Shelter Afrique Femi Adewole told Capital Business.

Adewole said that the partnership is part of their operating model to develop more synergies with pan African banks to leverage more financial resources for affordable housing and unlock the potential for African capital markets for more mortgage loans.

“Shelter Afrique has recently adopted a new capital increase as a first step in positioning the company to raise more funds to meet the ever growing housing demand in Africa,” he said.

Last week Shelter Afrique signed a Sh1.3 billion loan agreement with European Investment Bank to finance the huge potential in the Kenyan market.

“One of our key investments we are looking into is 2,400 low income homes in Mavoko for slum dwellers, we are also working on projects in Kisumu and Mombasa,” he revealed.

He said that financial support from CBA will scale up Shelter Afrique’s operations in the supply of affordable houses.

Advertisement. Scroll to continue reading.

“What this also means is that we at Shelter Afrique will be able to mobilise resources on a larger scale and optimise on costs,” he said.

Adewole said that they are also keen to work with county governments to offer housing needs for all counties.

“We will partner with other micro -finance institutions, such as Makao Mashinani and Rafiki DTM, to help Kenyans leverage on these financial resources,” he added.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...