11 January 2013, Nairobi: Shelter Afrique, the pan-African finance institution dedicated to financing affordable housing across the continent, has confirmed the first close of the Pan African Housing Fund (PAHF), at US$ 41.5 million in December 2012.
PAHF is the first private equity fund focused exclusively on housing development in Africa (outside of South Africa), providing equity and quasi equity finance to developers, and was specifically designed to respond to an ever growing housing shortage in Eastern and Southern Africa. The Fund is targeting a final close of US$ 100 million in 2013.
Launched in 2011, Shelter Afrique has outsourced PAHF’s management to Phatisa and worked closely with a pool of African and European development finance institutions (DFIs) during the fundraising stage.
Alassane Ba, Shelter Afrique’s Managing Director, commented on the first close: “Shelter Afrique is proud to have ended 2012 with the successful first closing of The Pan African Housing Fund. The PAHF will fill the risk capital gap, which is our scarcest financial resource, and we see this as a key strategic investment toward improving the supply of affordable housing in Africa.”
The Fund will invest in middle income and lower-middle income residential developments and mixed-use real estate projects, where both residential and commercial properties are combined.
It will be investing primarily in the major urban areas in Kenya, Uganda, Rwanda, Tanzania, Mozambique and Zambia, with a focus on mitigating environmental, social and governance risks. The PAHF will also work closely with developers to increase both their technical and scale capabilities.
Notes to Editors
About Shelter Afrique:
Shelter Afrique is the only pan-African finance institution that exclusively supports the development of the housing and real estate sector in Africa. A partnership of 44 African Governments, the African Development Bank (AfDB) and the Africa Reinsurance Company, Shelter Afrique builds strategic partnerships and offers a host of products and related services to support the efficient delivery of affordable housing and commercial real estate. These include project finance, institutional lending, equity investments & joint ventures, trade finance, and financing for social housing as well as practical advice and technical assistance to a wide range of industry stakeholders.
For more information, please contact:
Director, Business Development & Operations, Shelter Afrique: +254 20 497 8000
Phatisa is a private equity fund manager, operating across sub-Saharan Africa, with offices in Mauritius, South Africa, Zambia, Kenya and Ghana. Phatisa comprises a team with a significant track record of managing private equity funds, property developments and businesses throughout the continent. The entire Phatisa team is located in Africa and spends a considerable amount of time developing relationships with strategic partners in all countries where funds under management are active. This ensures that funds have reliable networks and information in the countries in which they invest. Team members have a reputation built up over the last decade, which can be seen in their track records, on-the-ground network, and access to industry players and facilities on the continent. Phatisa provides the experience necessary to invest, manage and successfully exit what will be one of Africa’s most pioneering private equity funds. www.phatisa.com