The Oltepesi Syndicate was launched in December 2004 to provide investors with strong capital growth through the acquisition of underdeveloped property and its redevelopment into studio apartments providing accommodation for new entrants into the job market. Rental housing targeted at Oltepesi’s target market, which seeks quality, affordable and secure accommodation located close to working districts, remains an underserved market in key urban areas in Sub-Saharan Africa.

Total Equity Investment:                Kshs 76.5 million.

Date of first close:                          December 2004.

Oltepesi Gallery

Mavuno is a Kshs 90 million investment to convert an old block of flats in Nairobi West into a no-frills bed and breakfast 2 star hotel, ‘The Mvuli House^TM’ (www.mvulihouse.com)  The facility offers quality affordable accommodation in 49 single and double rooms focused on the cost conscious business traveler and budget tourists. The hotel took in its first guests in August 2007.

The investment was made against the backdrop of growth in regional and domestic business travel and the boom in the conference tourism sector and, despite the setback occasioned by the post-election crisis in the first quarter of 2008, turned a profit in its second year of operations. Plans are now underway to recapitalise the syndicate and expand “The Mvuli House^TM” brand both locally and regionally throughout East Africa.

Total Equity Investment:              Kshs 58.5 million

Date of first close:                      November 2006

Mavuno Gallery

The third syndication, Peponi, has a term of 10 years from April 2007 and seeks to return a minimum of 20% per annum from investment in the seriously underserved private cemetery sector. Demand for dignified memorial sites close to the key urban centres is being driven by a change in socio-economic dynamics and the inability of local authorities to provide the essential service.

Peponi is leveraging off the trend towards estate pre-planning, the growth in innovative pre-need insurance products and partnerships with sector service providers to build scale necessary to meet the critical social needs in the private cemetery sector.

Total Equity Investment: Kshs 200 million (incl. committed capital)

Date of first close: March 2011

Peponi Gallery

The Alliance Capital Partners East Africa Housing Fund is a limited liability partnership that is seeking to raise Kshs 500 million to invest in housing development in the East African Community countries of Kenya, Uganda, Tanzania, Rwanda and Burundi.

The current deficit of housing units in urban areas of East Africa is conservatively estimated at 1.25 million with close to 40% of this shortfall made up of lower-middle and middle income market demand.

Low-middle and middle income housing provision in East Africa has long suffered from limited availability of risk capital for housing development and mortgages leading to low entrepreneurial interest in large scale housing development and limited access to end-financing for prospective buyers.

The Fund shall invest directly in low-middle and middle income housing (and related amenities) and serviced plots by providing risk capital to property developers in this segment. Holding its first close at Kshs 200 million, the Fund shall capitalise on continued convergence of the East Africa region to grow what should be a replicable model to address similar challenges in the wider African housing market.