Local coffee house Artcaffe has started construction on its second Central Business District (CBD) outlet just two months after announcing that it would open its premier CBD branch in the city centre’s Kimathi Street.
The Business Daily reports that the coffee house, which last week opened its 29th outlet in Kitengela town with a 130-seat capacity, will set up its second CBD outlet at Westminister House on Kenyatta Avenue. During the launch of the Kitengela outlet, Artcaffe signaled that it is set to open more branches within the country in the near future and its latest move attests to this.
“Artcaffé Group’s family of 1,385 dedicated and passionate staff is expected to grow by an additional 400 people over the next four months across the new outlets,” Artcaffé said in a statement during the opening of its Kitengela branch according to the Business Daily.
Artcaffe is currently owned by US private equity firm Emerging Capital Partners (ECP) which in 2018 sold its entire stake in casual dining chain Java Coffee to Dubai-based equity firm Abraaj. ECP later re-entered the coffee brewing business last January after the Competition Authority of Kenya (CAK) approved its takeover of Artcaffe in a deal worth Ksh3.5 billion. The acquisition granted ECP authority over ArtCaffe’s bakeries, coffee houses, and eatery brands such as Dormans, Tapas Ceviche Bar, Urban Gourmet Burgers and Oh Cha Noodle Bar.
“There is immense opportunity in eastern Africa for casual dining concepts. Alongside population growth and increased urbanization, demand for international cuisine and casual, high-quality dining experiences is rising,” ECP said in a statement after acquiring stake in Artcaffe.
The move by Artcaffe is set to increase rivalry in the already competitive local coffee house market that is home to other coffee house chains such as Java House and Urban Grind Coffee and Grill.