Kenyan private equity firm Fusion Capital, in its first real estate investment in Rwanda, has agreed to finance the construction of a $34 million shopping complex by Kigali Heights, a local real estate developer.
The commercial building which is expected to occupy a 30,000 square metre land in Gasabo District, “will be a dual tower office and retail block, with a nine-storey block overlooking the boulevard facade and a six-storey block overlooking Kimihurura roundabout,” according to an official statement.
“We are excited that we have a trusted and active financial partner in this development. It is great to have Fusion Capital on board; we value their experience and capability, which they have demonstrated from the onset of this process,” said Kigali Heights managing director, Denis Karera.
Luke Kinoti, the group chief executive of Fusion Capital, was upbeat about the PE firm’s expansion into Rwanda, Africa’s third easiest place to do business, according to the World Bank.
Mr Kinoti said that his company was optimistic about providing long term local financial solutions that support the sustainable growth of the Rwandan economy, adding that it will also play a prominent role in the first investment to ensure the development of superior quality office space with modern facilities is realised.
“We are not only a source of finance for our clients. As partners in growth, we are also a source of ideas and strategic advice,” Mr Kinoti is quoted as saying on the company website.
According to developers, the ground breaking ceremony for the commercial building is slated for this week.
Established in 2006, Fusion Capital currently operates in Tanzania, Uganda, United Kingdom, Kenya and Rwanda, and is also planning to launch operations in Burundi.