The Overseas Private Investment Corporation, an agency of the U.S. government, recently announced its plans to create a commercial real estate investment fund worth up to $100 million to create multiple developments in sub-Saharan Africa.
The fund, Actis Africa Real Estate Fund 2 LP, plans to work in growing markets located in both West and East Africa, the report explained. There are many countries named as development sites including Zambia, Ghana, Kenya, Uganda, Nigeria and Tanzania.
"The lack of retail and office space in East and West Africa is inhibiting the growth of businesses in both regions – a problem exacerbated by rapid urbanization across the continent," said Elizabeth Littlefield, president and CEO of OPIC.
Plans for the fund include land rights acquisitions, development and deal structuring. There will be a high focus on residential, retail, office and mixed-use properties.
Actis was initially created in 2004, and manages a total of $5 billion in assets, the report added. It has nine offices worldwide, with four of these located in Africa.