In a move set to transform the regional logistics landscape, the Private Infrastructure Development Group (PIDG) has announced its support for the launch of the ALP Industrial Real Estate Investment Trust (ALP REIT).
It is sponsored by Africa Logistics Properties Holdings Ltd (ALPH) and it is the first-ever industrial Income REIT (I-REIT) in East Africa.
Through its project development arm, InfraCo, PIDG has committed up to USD 15 million (Ksh. 1.9 billion) as an anchor investor. This capital injection is designed to build institutional confidence and catalyze further investment into Kenya’s burgeoning industrial infrastructure.
Approved by the Capital Markets Authority in late 2025, the ALP REIT utilizes a tax-efficient structure to attract diverse capital. By offering stable, USD-denominated returns, the REIT aims to unlock previously untapped pools of liquidity from pension funds, mutual funds, and life insurance providers.
The REIT’s initial “seed assets” consist of premier industrial locations that are already setting benchmarks for efficiency in the region:
- ALP North Park (Tatu City): 35,000 square meters of Grade A warehousing.
- ALP West Park (Tilisi): 20,000 square meters of modern industrial space.
As new projects, such as the upcoming 10,500 sqm ALP West Kivu, reach stabilization, they are expected to be transferred into the REIT, ensuring a pipeline of high-quality, income-generating assets.
The partnership reflects a shared vision for modernizing African infrastructure through innovative financial instruments.
“The ALP REIT will increase the confidence of institutional investors to diversify their portfolios into the infrastructure asset class, whilst supporting the growth of Kenya’s industrial real estate sector.” Raghav Gandhi, CEO of ALPH
“Having anchored the establishment of REITs for affordable housing in Nairobi, PIDG is familiar with the REIT structure, and we know that it works. We are delighted to expand this expertise into the industrial sector.” Claire Jarratt, Head of Investment Management at InfraCo (PIDG)
The ALP REIT began issuing units in December 2025 and is currently conducting roadshow events to finalize its capital raise.