Market News

Northlands City plots sell for Sh40m

MAP

One of the interchange options being considered to link to the planned city. FILE PHOTO | NMG

Land reserved for industries at the Ruiru’s Northlands City has gone on sale at Sh40 million an acre with the developer injecting funds for infrastructure development on the 103-acre plot.

Impact—a special purpose vehicle for international smart warehouse developer Improvon (SA)— and UK equity firm Actis ­said the construction works that started in October 2018 will see the plots get connected to water, electricity, sewer, roads as well as the internet.

The upcoming Northlands is associated with the Kenyatta family.

“The entire 103-acre plot is now secured with a perimeter wall erected around it and soon each plot is now on sale as a serviced plot at Sh40 million. The same is also available for leasing where we shall put up purpose-built facilities for lease to incoming investors,” said business development head Paul Williamson.

Mr Williamson said four graduate engineers had been hired to oversee development of Impact’s 10,000 square metre warehousing facility where space will be leased out to local and foreign investors.

A plastic products manufacturer and two agro-processors have since bought the plots now under development ahead of the November commissioning.

“We are urging international investors to buy plots here now before the dual carriageway is done since that will see demand rise forcing prices to shoot,” he said.

Mr Williamson said he was in discussions with some retail chain operators and distributors that were planning to utilise the industrial hub as a holding and processing facility for products imported into the country.

“Our feasibility study shows processing and handling goods in bulk within a single facility makes its cheaper for retail outlets that require such savings to power their sales across Kenya,” he said.

Mr Williamson said they applied for a Special Economic Zone status targeting agro-processors and flower exporters as well as export-product factories.

Northlands City proponents are also eyeing development of commercial and residential areas estimated to cost Sh500 billion to accommodate 250,000 workers daily within the next two decades. Eastern and Western bypasses are to be expanded at a cost of Sh40 million within three years once the National Environmental Management Authority gives a nod.