News Column

Insurer Bets On Demand With Upper Hill Building

July 30, 2014

Lola Okulo

UAP Group is banking on the growing demand for Grade-A commercial space in Nairobi to fully let its new building in Upper Hill.

Structural construction of the 33-storey tower was completed last week. Finishing, plumbing and electrical works have commenced, with the building expected to be ready for occupation by March next year.

"Nairobi is the gateway to the East and Central Africa. Upper Hill, the financial district of Nairobi, has an unfulfilled demand for Grade-A commercial space from local and multinational companies," Joe Wanjui, the group's chairman, said last Thursday.

Initially, the development was approved for up to 24 floors but the building plan was later revised to 33 floors. Nairobi Governor Evans Kidero said this was in accordance with the city-county's development master plan that will expand the Central Business District.

The building was put up at an estimated cost of more than Sh7 billion. It will host a restaurant, retail shops, offices and a business centre.

UAP, which recorded a net profit of Sh1.8 billion in 2013, said income from properties contributed 22 per cent to the company's total profit. It expects a similar growth in real estate income this year as its new properties across East Africa are offloaded to the market.

The group has completed putting up a commercial building in Kigali, Rwanda and apartment units in Juba, South Sudan.

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Source: AllAfrica

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