Momentum and Eris Property Group have allocated over $308 million for real estate investments in West Africa during the 1st Quarter of 2016. The Momentum Africa Real Estate Fund, which is targeting an 18% minimum return over its eight year life, has confirmed that they will be making two investments in Ghana and two investments in Nigeria. The fund intends to focus on the development of retail, commercial and light industrial real estate in sub-Saharan Africa ex. South Africa.
In Accra, Ghana they will be investing $88 million in two ±11,000m2 office developments called The Union and 335 Place. In Nigeria, they will be investing $220 million in a large mixed use development in Abuja called Maitama Mall and another mixed use project within Agbara Industrial Estate in Lagos, Nigeria. Last year, Warren Schultze, CEO of Eris Property Group, the fund’s investment advisors stated that they were reviewing projects in Mauritius, Ghana, Mozambique, Nigeria, Rwanda and Zambia.
In February 2015, the fund raised $50 million. At its second close in August 2015, it raised an additional $100 million with plans to cap aggregate commitments at $250 million at fund close in July 2016.