Cytonn Investments will receive Kshs. 650 million from the State Bank of Mauritius (SBM Bank Kenya) after inking a loan facility deal with the lender in Nairobi on Monday.
The loan, according to the investment management firm, will be used to finance the completion of key projects under Cytonn’s real estate offerings.
“Cytonn Real Estate, the development affiliate of Cytonn Investments, will direct the loan facility towards completion of The Alma in Ruaka. The Alma is a Kshs. 4.0 billion residential mixed-use development in Ruaka Town in Kiambu County. It comprises of 477 residential units and a commercial space that includes a kindergarten with Phase 1 currently 90 per cent sold,” Cytonn Investments said on its company website.
Speaking during the signing of the loan facility, Mr. Edwin H. Dande, Cytonn’s Chief Executive Officer, lauded the move that will not only facilitate the completion of the Alma project but it will also augment the push for President Uhuru Kenyatta’s affordable housing agenda under the Big 4 initiative.
“This signals the beginning of a long-term partnership with SBM. This is the first bank loan for Cytonn Investments which has been raising capital from institutional investors such as Taaleri of Finland, who have invested Kshs. 5 billion with us and high net worth individuals who have invested over Kshs. 11 billion through Cytonn High Yield Solutions (HYS),” Mr. Dande explained.
“This partnership with SBM is not just about Alma, it’s about coming together to contribute towards alleviating the housing needs, and in turn creating jobs, growing the economy and uplifting the standards of living” he added.
On his part SBM’s Chief Executive Officer Mr. Jotham Mutoka, who also attended the loan facility signing, reiterated that Cytonn was making headway in the development of affordable housing which was supporting Kenya’s economy achieve its objectives.
“Cytonn is delivering institutional grade real estate while also delivering attractive returns to their investors. It is also playing a key role in development of housing in Kenya, and does all these with the highest standards of corporate governance. This Kshs. 650 million is testament to SBM believing in the Cytonn strategy.” Mr. Mutoka said.
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