Mauritius-based real estate investor Gateway Delta Development Holdings is set to acquire a five-acre plot on Mombasa Road for $2.9 million (Sh308 million) on which it plans to develop a commercial property.
Gateway will buy the land from South Africa’s Grit, formerly Mara Delta Property Holdings, which disclosed the transaction.
The land is part of a property complex including a pharmaceutical storage facility that Grit acquired from South Africa’s Imperial Health Sciences Logistics in a Sh2 billion sale-and-lease back deal.
“In addition, Grit acquired a 20,220 square metres of vacant plot of land adjacent to the distribution facility for a purchase consideration of $2.9 million (Sh308 million), to be sold at cost to and developed by Gateway Delta Development Holdings Limited.
Grit, which is one of the institutional investors in Gateway, added that the new development will also be leased to Imperial.
“In terms of the negotiations, Grit will provide Imperial with a licence to occupy the newly developed property for a period of two years with an option to acquire the development.”
The new commercial property is among the upcoming developments by Gateway which recently raised $175 million (Sh18 billion) for investment in Kenya and other African countries.