The New Era of Real Estate Investment in Africa

Africa's real estate sector is experiencing a resurgence, with investors and developers paving the way for a new era of growth. Emerging sectors such as student and affordable housing, logistics, and data centers are attracting...

Africa's real estate sector is experiencing a resurgence, with investors and developers paving the way for a new era of growth. Emerging sectors such as student and affordable housing, logistics, and data centers are attracting significant investments. The upcoming API Summit, a virtual event to be held from September 6-10, 2021, will bring together over 500 real estate deal makers from 30 African and international countries to explore the potential of the continent's real estate market.

2021 API Summit Top Deals 2021 API Summit Top Deals (Source: API Events)

Standard Bank, a leading financial institution in Africa, has been a key player in financing real estate deals across the continent. With a focus on sectors and jurisdictions, they have funded impressive projects, including the US$300 million debt refinance deal of Lango Real Estate, the largest sub-Saharan Africa real estate debt deal to date. Other notable deals include the refinancing of Africa Logistics Properties for US$5.5 million and the funding of the Metroplex Mall in Uganda for US$10 million.

Niyi Adeleye - Head of Real Estate Finance, Africa Regions, Standard Bank Niyi Adeleye - Head of Real Estate Finance, Africa Regions, Standard Bank (Source: API Events)

According to Niyi Adeleye, Head of Real Estate Finance for Africa Regions at Standard Bank, these investments reflect their commitment to clients and their efforts to build long-lasting relationships in the real estate sector. Standard Bank believes in taking a holistic approach, considering market evolution, client aspirations, and key real estate fundamentals as markets evolve. They also prioritize environmental, social, and governance (ESG) themes and activities.

Malcolm Horne - Group CEO of pan-African real estate operator, Broll Property Group Malcolm Horne - Group CEO of pan-African real estate operator, Broll Property Group (Source: API Events)

Malcolm Horne, Group CEO of Broll Property Group, Africa's largest pan-African real estate operator, believes that the rapid changes brought about by the COVID-19 pandemic have accelerated the development of a more sustainable and investable real estate sector in Africa. Broll Property Group has positioned itself at the forefront of this new era by investing in digitalization, attracting the right talent, and embracing the importance of environmental and social governance.

Greg Pearson - CEO, Gateway Real Estate Africa Greg Pearson - CEO, Gateway Real Estate Africa (Source: API Events)

Greg Pearson, CEO of Gateway Real Estate Africa, emphasizes the opportunities presented by shifts in real estate asset classes driven by investments in telecommunications, healthcare, and supply chain logistics. Gateway Real Estate Africa has a robust pipeline of developments worth $500 million in Nigeria, Kenya, Ghana, and Mauritius. Pearson also emphasizes the importance of collaboration and inclusiveness in Africa's new era, fostering partnerships between investors, developers, tenants, regulators, and professional services firms.

In conclusion, the upcoming API Summit will not only explore Africa's New Era but also provide a platform for investors and developers to connect and drive the recovery of the real estate sector on a larger scale. With a focus on emerging sectors, sustainability, and collaboration, Africa's real estate market is poised for tremendous growth and impact.

Top Photo: Pretoria Skyline showing residential suburbs, South Africa (Jacek Sopotnicki | Dreamstime)

1