Machakos County, April 26, 2022
Fast growing residential and commercial real estate developer Purple Dot International Limited is betting on Machakos County’s Athi River as Kenya’s most promising industrial growth hub.
Targeting businesses looking to expand outside Nairobi’s crowded Industrial Area, Kitengela Purple Dot is set to invest in Phase 1 at Harvest Industrial Park – a Sh 600 Million sprawling light industrial warehousing property with Twenty Four, 7,425 square feet with 3 level spaces.
The project, set to break ground in May next month, is expected to complete in 18 months as seen from previous projects including the popular Graylands Phase 1-4 in the area. On completion, the rental is expected to be an estimated Sh. 22 per square foot exclusive of service charge.
Ideal for consumer oriented light industries, assembly and storage go-down facilities for SMEs, FMCG companies, central distribution warehouses for e-commerce and household goods among other sector users.
Harvest Industrial Park is the most recent investment by Purple Dot International situated in Athi River, following the 145-unit 1.16 million square feet Graylands project launched in phases between 2015 and 2021.
Speaking during an investor’s roadshow on site, Purple Dot International’s General Manager Jiten Kerai said the investment provides double digit value. “The project guarantees strong and sustainable returns, given the historical performance of our 300+ warehouses in the area. Over the years, our investors have come to value the location, quality, functionality and long term appreciation of the warehouses as an investment asset. The facility users also appreciate the design features suited to their businesses as opposed to what we find in much larger industrial parks. It is close to the Southern and Northern bypasses, the four-lane Mombasa-Narobi Highway, and the Syokimau inland container terminal, as well as economical labor.”
He added that the firm is committed to supporting SME’s and enhancing the manufacturing sector as per Kenya’s Big Four agenda and is set, in the medium and long-term to continue to improve the facilities as businesses exploit intra-African trade in line with the African Continental Free Trade Area (AfCTA).
“Kenya’s logistics prominence as a trading hub in East Africa will be enhanced by the installation of modern warehouses, which will enable trade growth, employment, and sustainability across a variety of industries,” said Kerai. Kenyan businesses can increase operational efficiencies and product security with access to better logistics, which is critical for Africa’s progress.”
With investors keen to capitalize on Africa’s potential, warehousing is critical to Kenya’s logistics value chain. According to the CDC Group, the UK’s development finance institution, Kenya has a 16.9 million square foot warehousing gap. The cost of transporting goods in Africa is believed to be two to three times greater than in industrialized countries, with transportation costs accounting for as much as half of the total cost.
Purple Dot International was founded and is led by a group of experienced and forward-thinking partners dedicated to creating investment opportunities for communities across Africa.