The construction of a US$60m logistics and distribution centre at Tatu city in Kenya has commenced; this is according to Africa Logistics Properties (ALP) – the company carrying out the project.
According to ALP Chief Executive Toby Selman, the first unit of the logistics and distribution centre measuring 14,000 square metres is set to be opened in September 2018 and after that two more units will be constructed, bringing the total warehouse capacity to 50,000 square metres.
“Our vision is to fundamentally improve supply chain infrastructure across Africa and disrupt the current status quo of poor quality ‘go down’ warehousing,” said Mr Selman during the groundbreaking ceremony at Tatu City.
ALP has already attracted the interest of 43 local, regional and multinational companies and at the same time hopes to win the manufacturers at Tatu’s Industrial Park such as Chandaria, Unilever and Dorman’s Coffee.
“Its addition to Tatu Industrial Park confirms our location as the hub for logistics and warehousing in East Africa,” stated Stephen Jennings, founder and CEO of Rendeavour, owner and developer of Tatu city.
The mega project has been funded by a range of shareholders including International Finance Corporation, CDC Group, DOB Equity, Mbuyu Capital and Maris.
ALP’s grade-A warehouses promises better quality features such as a higher stacking capability to eliminate spoilage of goods. The company is also planning to construct 80,000 square metres warehouse in Limuru to take advantage of the busy zone.