As many as 70% of the economies with the fastest growth rates globally during 2011–2015 are in Africa. Structural change in Africa is driven by fundamental changes in its economy: agricultural societies defined by low productivity are rapidly transforming themselves into industrial service societies. Consumer demand is strengthening creating a positive cycle.
However, growth is being held back by lack of capital. The capital-intensive construction sector is currently curbing economic development, as companies cannot find premises and people cannot find homes. New jobs will be provided by building business premises, and these jobs will create earnings, increase consumption and, in turn, create a demand for housing. Lack of equity prevents the use of loan financing which leads to deadlock. Economic growth can only be enabled by providing the real estate sector with equity which in turn leads to outsize returns for investors.
Taaleri has an office in Nairobi, the capital city of Kenya. Antti-Jussi Ahveninen, an expert in the African real estate sector, is based there and utilises his extremely strong local knowledge and networks.
Africa is moving to a period of strong, long-lasting growth. This growth, however, is slowed down by the lack of capital, particularly in the real estate sector. This is why Taaleri Africa Fund is investing in property and real estate development in East Africa, together with its international partners.
The fund is closed and no longer accepts new investors.