About this property
This project is a development of warehousing units on the Eastern Bypass, Nairobi’s next Industrial corridor, with a new concept incredible for investors and tenants.
- The objective is to provide quality warehousing and storage solutions in Kenya.
- The developer has built and manages over 500,000 sqft of space for a world-class set of tenants from various countries including Kenya, the USA, India, UAE, and Australia.
- This project can accommodate the needs of all types of requirements the tenants may have and importantly can provide spaces ranging from as little as 100 square feet to 50,000 square feet and beyond.
- Modern technology and highly skilled manpower have been deployed by the developer to ensure the successful delivery of this project.
- Our strong relationships with all stakeholders including brokerage firms allow us to rapidly lease and or sell the spaces in the future, should you wish to do so.
- Property management services shall be provided for those seeking to rent out their units upon completion of the project.
- Eastern Bypass which is being upgraded to a dual carriageway.
- Within Nairobi’s next Industrial Hub/Corridor.
- Great transport links and proximity to ICD Nairobi, Industrial Area, CBD, airports, and upcountry.
Plug & Play
- Plug in your computer and start your business – already fitted with offices, kitchenette, executive and staff toilets.
- Fiber optic connection also provided.
- Multiple round-the-clock security guards, electric fence, and CCTV surveillance.
- Wet firefighting equipment around the park.
- All buildings done up to the building safety code.
- All warehouses have emergency fire exits.
Ease Of Access
- Wide internal roads to allow excellent truck flow.
- Excellent warehouse and main door heights for easy access for 40FT containers.
- Close proximity to major ports of entry and exit.
- Close vicinity to hospitals, industrial corridors, and supermarkets.
- Fantastic parking facilities are available on-site for tenants and visitors.
Power & Water Supply
- Ample water supply available with a borehole, underground (200,000 Litres capacity), and overhead water tanks (50,000 Litres capacity).
- Generator backup for common areas.
- 3-phase power for all warehouses with independent meters.
Environmentally Friendly Features
- Rooftop solar panels.
- Wastewater treatment plant.
- Green park area.
- Rainwater harvesting.
- Rainwater storage (400,000 Litres capacity).
Warehouse Types & Sizes (Click here to view the floor plans):
- Type 1 – 22 units – 2,763 sqft
- Type 2 – 24 units – 3,572 sqft
- Type 3 – 13 units – 4,700 sqft
The Ideal Choice For Investors & Users
- Eastern Bypass – on one of the busiest transport and industrial corridors connecting Mombasa Highway/Airport to Thika Highway – The next major industrial corridor in Nairobi.
- Eastern Bypass – to be constructed into a dual carriageway.
- Easy and quick access to other industrial and commercial areas, as well as ICD Nairobi and JKIA.
- Adjacent to the highly anticipated Northlands City + Nairobi Gate and will be a direct beneficiary of the fantastic infrastructure and development.
Perfect Size & Facilities
- Users prefer these “right-sized” warehouses over the larger unmanageable space.
- No unusable mezzanine warehouse floors – 100% utilization of floor areas. Pay for what you really use.
- Affordable rental price – within most budgets increasing the base of potential users.
- Inbuilt offices, toilets, kitchenettes, fiber, 3-phase electricity, and water – The “Plug and Play” model – minimal fit-out, reducing start-up costs and time.
- Wide roadways allow for easy vehicle flow.
- Modular designs make it simple to expand into a larger size.
- A recreation area with a river provides a tranquil green environment for people working in the park to relax and reenergize.
- Vaastu compliant.
- Rapid growth in small and medium businesses in Kenya.
- Supply chain and manufacturing efficiencies allow for firms to operate in smaller areas.
- Kenya is the logistics and manufacturing hub for East Africa, which shows the most promising industrial potential and growth dynamics over the next decade.
- Proximity to the new Inland Container Depot Nairobi increasing demand for such warehouses.
- A massive rise in e-commerce (US$ 1.5 Billion in 2021) – creating a strong need for spaces with smaller footprints.
Experienced Developer & Operator
- Ability to manage such a project on time and on budget.
- First-hand experience of what such tenants are looking for in a warehousing facility. The developer knows exactly what to build to create the highest demand without overspending and overbuilding.
- Has long-term relationships with stakeholders (i.e. brokers etc to attract potential tenants).
- We have an excellent leasing team along with an in-house maintenance team.
- We have the relevant know-how to manage such business parks on a day-to-day basis This keeps the
tenants happy and paying rent while making sure service costs are kept in line and on a strict expense
- Potential tenants can view a similar project by the developer in Ruiru.
- This industrial park is located on the Eastern Bypass.
- The Eastern Bypass runs from Mombasa Road through City Cabanas, Pipeline, Njiru, and Thika Road onwards.
- The Eastern Bypass, set to become a dual carriageway with a KES 2bn loan* ratified on the 28th September 2021 to finance it as per the Treasury documents tabled in Parliament.
- The Eastern bypass is part of the Vision 2030 infrastructure project and was part of the 11 infrastructure projects that the Kenyan government delegation showcased to global investors during the two-day Belt and Road Forum for International Co-operation in Beijing, China, in May 2017.
- The Eastern Bypass, forms a ring road that connects the South-eastern and North-eastern outer fringes of Nairobi and also links the Northern bypass and Southern bypass.
- The multi-billion-shilling project is aimed at easing the growing traffic jam on the key road that links motorists from the busy Jomo Kenyatta International Airport and Mombasa-Nairobi highway to Thika Superhighway, bypassing the congested central business district.
The Informed Choice
Why is it better to buy 3 to 4 smaller warehouses than one large warehouse?
- Diversifies and de-risks the holdings into more units rather than one risky single one.
- With only one large unit – it is either rented or not and so can have a dramatic impact on returns. Your rental income becomes binary i.e., rented or not.
- With several small units, even if one is not rented, you can drive income from others.
- Looking at the market, it is much easier and faster to rent smaller units than large 10,000 + sqft warehouses.
- The unit price of rental is more affordable for the smaller units thus increasing the pool of tenants/users.
- Our design (e.g., without an unusable mezzanine) is far more appealing to tenants.
Liquidity & Resale
- The investor can sell just one or two of the small units rather than the full 10,000 sqft + unit in case there is a need for liquidity.
- Far easier to re-sell smaller units in the market than one large unit.
- Quantum price of each is more affordable thus increasing the pool of buyers.
Cashflow + Rents
- Stable and robust cash flow – even if one unit is empty you are generating income from the others.
- Ability to generate better overall rents with the smaller units than it is for the larger units.
Yields + Returns
- Average cash on cash yields (not including capital appreciation) is in the range of 11%-13.5%.
- Better rate of return compared to other real estate sectors and more stable due to the longer-term leases in place.
- Excellent design with 100% utilization.
- Mezzanine Office overlooks the ground floor work areas for better controls and security.
- No unwanted Mezzanine floor.
- Sisalation and Roof ventilators to maintain ambient temperatures low and for fresh air circulation.
- Compliant with all building codes.
- Emergency fire exits in all warehouses.
- Easy traffic flow without congestion.
- Lovely green areas for recreation.
- Commitment fee: KES 100,000
- Deposit: 20%
- Evenly split over construction period across certain milestones: 70%
- At hand over: 10%
Introductory Launch Price
- KES 4,300 per sqft + VAT (limited availability at this price)