London-based private equity firm Actis is investing Sh1.85 billion in construction of the second phase of the Nairobi Business Park along Ngong Road in Nairobi.
The new office park, which will comprise six office blocks, will create an additional 15,000 square metres of floor space for letting upon completion in mid or late 2013.
Phase one of the Nairobi Business Park, which consists of 8,000 square metres of commercial floor space, was brought to the market by Actis and Mentor Management in 2004.
According to Mentor Management East Africa CEO James Hoddell, the decision to invest in phase two of the project was motivated by the ongoing infrastructural improvements in Nairobi.
“We’re doing this mainly due to the phenomenal progress which is being made by the Kenyan government in upgrading the roads and infrastructure in the area,” he said adding that the new office park will be 1,300 metres from ‘one of the most important highway intersections’ in Nairobi.
The Nairobi Southern by-pass, which is due for completion in mid 2015, will ease existing traffic pressure from Ngong Road – which is being upgraded into a dual carriageway.
The first and second phases of the office park were designed by Triad Architects. The design comprises Grade A building specifications which Mr Hodell says will help reduce service charges for tenants.
“The development features the latest designs, smart planning and sustainable design aimed at providing tenants with a safer and greener working environment, while bringing down the cost for every user,” said Hodell.
“Phase two of Nairobi Business Park is embracing green building by focusing on sustainable strategies that will be certified by the LEED International Sustainable Rating System,” Hodell said adding that all authorisations have been granted and construction will begin later this month.
According to Mentor Management East Africa website, two of the new blocks Aintree and Newmarket are similar to the existing business park building designs while Ascon – a new design – overlooks a landscaped park with prominent water features and retail and leisure facilities.
Actis has a portfolio worth over Sh21 billion in real estate private equity in sub-Saharan Africa. The firm recently announced its plans to build a Sh12 billion mixed-use development dubbed Garden City along Thika Road.