Investors interested in setting up at the Konza City have been asked to submit bids for development of 24 parcels of land, as government pledges support for locals.
Speaking at the Konza investor briefing, ICT Cabinet Secretary Fred Matiang’i said interested local investors who face financial shortfalls would get government support.
“Together with the National Treasury, I am working on a Public Private Partnership framework that will see government source for funds to support local investors,” said Dr Matiang’i.
The Konza Technopolis Development Authority (KoTDA) will rely on Kenya Private Sector Alliance (KEPSA) to attract investors who will construct commercial, residential, educational and public amenities within the demarcated land.
DEVELOPMENT REQUIREMENTS
Land will be leased out to investors for a period of 99 years. Interested companies are expected to have strong financial muscle, a well-defined construction plan with timelines to start development by April 2016 and complete it by end of the year.
Investors are also expected to adhere to Konza’s green building requirements as well as have an ICT focused development strategy.
The property owned by the National Treasury will be controlled by the KoTDA Bill and partly by the Special Economic Zones Bill. When enacted, the Bills will provide tax incentives for investors developing the parcels of land.
“This phase of the project will help establish the critical mass of jobs and services required to stimulate the rest of Konza development and support 5,000 residents,” said Eng John Tanui CEO KoTDA.
MISSED OPPORTUNITIES
Some 345 local and international companies last year expressed interest in investing in the planned tech city. Concrete details on the leasing plan however kept away the likes of Equity Bank which had committed to construct a Sh3 billion data centre. Safaricom had plans to construct an M-Pesa academy but later relocated the project.
“We have the local capacity to roll out major projects even without technical and financial muscle, we can enter into joint ventures with foreign investors,” said KEPSA CEO Carole Kariuki.
By LILIAN OCHIENG
