KENYA – The International Finance Corporation (IFC), the private-sector development arm of the World Bank, has announced that it plans to lend US$25 million to Stellar Warehousing and Logistics Limited, a real estate development company based in Kenya.
The funds will go toward the purchase of an industrial facility with vacant land in Mlolongo area, in the outskirts of Nairobi from its current owner Orbit Products Africa Limited (OPAL).
In addition to acquiring the property, Stellar Warehousing and Logistics Limited will renovate the industrial facility, construct a new facility on the vacant land and lease back the entire property to Orbit Products Africa Ltd.
According to information on the IFC website, Orbit Products Africa Limited “is an established regional manufacturer of popular personal care and home care products for multi-national clients in East Africa”.
The total cost of the project is estimated at US$52.6 million, and the International Finance Corporation will finance 48% of the project by offering the US$25 million loan.
Stellar Warehousing and Logistics Limited, the borrower of the IFC loan, is a Kenyan subsidiary of Grit Real Estate Income Group Limited (GREIG), a real estate development company listed on the London Stock Exchange and the Stock Exchange of Mauritius.
The company is growing its investments in income-generating projects across Africa.
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