Pan African Housing Fund LLC

Africa Construction and real estate

South Africa-based Phatisa Fund Managers LLC is the private equity arm of the Phatisa Group, which has offices in South Africa, Zambia, Kenya and Mauritius.

It currently manages two sub-Saharan Africa focused funds: the Pan African Housing Fund (PAHF), which aims to invest in affordable and middle-income residential developments; and the African Agriculture Fund, which looks to invest in food and agriculture.

Our investment

CDC invested $20 million in the PAHF in 2012. The fund closed  at $41.95 million in 2014. Other investors include the African Development Bank, Shelter Afrique, the Trade and Development Bank, Africa Re and the Dutch DFI, FMO. Our investment will facilitate the construction of quality housing in Kenya, Zambia and Rwanda.

Expected impact

Across Eastern and Southern Africa, years of under-investment in housing, coupled with rapidly growing populations, have led to a severe lack of housing.

In the three countries targeted by PAHF, the lack of decent, reasonably-priced housing stock prevents families moving out of the low-quality, informal housing sector. This exacerbates the pressures of urbanisation.

PAHF aims to catalyse finance for the construction of up to 3,500 quality new homes over ten years, and in doing so create an estimated 12,000 jobs. 

All developments will take place in urban areas and the housing provided will be available for both sale and rental markets.

Environmental and social aspects

We worked closely with the fund manager and other DFIs to develop and implement an Environmental and Social Management System (ESMS) that has the capacity to manage the higher level of environmental and social (E&S) risk associated with this sector.

Key facts

Status:
Active
Region

Since 2012, we’ve only invested in Africa and South Asia. Investments outside these regions are from our pre-2012 portfolio.

:
Africa
Countries

For funds, the countries listed here are those the fund has invested in so far.

:
Kenya, Rwanda, Zambia
Sector

We have seven priority sectors. However, we continue to invest outside these sectors, largely in the most challenging regions, as new investment supporting any sector helps to underpin the private sector, and create jobs and livelihoods for people. For funds, the sectors listed here are those the fund has invested in so far.

:
Construction and real estate
Website:
https://www.phatisa.com/
Investment type

We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).

:
Intermediated investment
Fund manager:
Phatisa Property Fund Manager
Start date

For direct investments, this is the date CDC committed capital to the business or project.

For funds, this is the date that CDC committed capital to the fund.

For underlying fund investments, this is the date that the fund invested capital into the business.e

:
December 2012
Amount

For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).

For funds, this is the total amount that CDC has committed to the fund.

:
$20m
Domicile

This is the investee company’s place of incorporation; or a fund’s jurisdiction.

:
Mauritius

Investments made by this fund

  • Active
  • Exited
Investment name Country Region Sector Start date Status
Westpoint Heights (Goshawk)

Westpoint Heights is a development of high-desnity residential units in Kikuyu Town, Kenya.

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Kenya Africa, East Africa Construction and real estate May 2014 Active
Westlands Place

Westlands Place is a development comprising high-density residential apartments in Westlands, Nairobi.

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Kenya Africa, East Africa Construction and real estate November 2014 Active
72 Magadi Road (Hadada)

72 Magadi Road (Hadada) is a brownfield housing construction project in Nairobi which will provide a 1,116 rental housing unit campus for young adults who attend various academic institutions within a 15 kilometre radius of the site (for example, Catholic University, JKUAT Karen Campus, Tangaza College and Cooperative College).

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Kenya Africa, East Africa Construction and real estate January 2015 Active
Izuba City

This project involves the phased construction of approximately 300 apartments in the Batsinda neighbourhood of Gasabo in Kigali.

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Rwanda Africa, East Africa Construction and real estate June 2015 Active
Nakuru Meadows

Nakuru Meadows is a 140 unit single family home development near Lake Nakuru, to the north west of Nairobi.

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Kenya Africa, East Africa Construction and real estate September 2015 Active
Camland Villas

Camland Villas is a joint venture in Makeni, 7km outside Lusaka, to develop 210 affordable housing units in phases

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Zambia Africa, East Africa Construction and real estate May 2016 Active