Student accommodation builder Aengus Investment Properties is planning to expand into six African countries to meet the growing demand for student accommodation
The company has plans to invest US$300mn in student property developments in countries like Botswana, Kenya, Zambia, Lesotho, Ghana and Uganda in the next five years.
Aengus Investment Properties Africa projects manager James Huff said, “Urbanisation, combined with a focus by African decision makers on education across the continent has driven the huge increase in the number of students studying in both public and private institutions, often away from home.”
The niche commercial property builder had started buying buildings and converting them to student accommodation in South Africa about six years ago. It currently manages nearly 7,000 beds in the South African market.
Huff said while it is difficult to calculate accurate numbers of students needing accommodation, in Kenya alone a shortfall of about 350,000 student beds has been identified.
Huff added, “Universities in Africa often have the land but they have neither the funding nor the expertise to build and manage student accommodation.
“Many of these institutions are realising that being able to provide decent accommodation to their students is a competitive edge.”
The Aengus executive noted that the company’s strategy will aim at sourcing opportunities for both Greenfield and Brownfield developments.