Property firm announces first Sh121 million REIT interim dividend payout

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Africa Logistics Properties (ALP) has announced the first dividend distribution to investors from the ALP Industrial Real Estate Investment Trust (ALP REIT).

The announcement marks a key milestone for the first industrial income REIT and the first USD-denominated REIT that was listed on the Nairobi Securities Exchange (NSE) six months ago, in March this year, following approval by the Capital Markets Authority (CMA) in December last year.

The $930,434 (Sh120.9 million) dividend declared on Wednesday during the launch of new West Kivu warehouses at its ALP West Logistics Park in Tilisi, Kiambu County, will be paid to eligible unitholders registered as at the close of business on November 18, 2026, with payment scheduled in the same month on 27, 2027.

The distribution marks the next stage in the development of the ALP REIT, which was established to provide investors with exposure to institutional-grade industrial and logistics real estate asset class through an income-generating investment vehicle.

In a market where listed REITs have typically paid dividends annually, ALP Chief Executive Officer Raghav Gandhi said the company intends to move towards a quarterly distribution model as the portfolio scales.

He said the deal offers investors more frequent access to income and sets a new benchmark for REIT performance in Kenya.

“With the first dividend from the ALP REIT, we are beginning to deliver on the income proposition that underpins the platform,” said Gandhi.

“Our focus now is on continuing to grow the portfolio with assets that are well located, efficiently developed and responsive to what businesses need. Kivu is a strong example of this approach, and its rapid uptake gives us confidence as we continue to scale.”

Kivu is ALP’s latest 11,000 square metre institutional-grade logistics development and a potential future addition to the ALP REIT portfolio. Together with two others at the site and another development at Tatu City, this brings the total green-certified under IFC warehouse portfolio space to 80,000 square metres.

“As trade volumes and regional supply chains continue to expand across East Africa, modern, well-located logistics infrastructure is becoming a critical enabler of economic growth, helping manufacturers, distributors and importers move goods more efficiently along the region’s key trade corridors,” said Gandhi.

The development has reached approximately 85 per cent occupancy within its first month of completion, making it the fastest-filled phase and demonstrating strong demand for well-located, institutional-grade logistics space, with its anchor tenant being a distribution partner to a major hypermarket chain.

The ALP REIT establishment and growth have been supported by international development finance, including US$24 million from the UK Government through the MOBILIST programme and PIDG, via its project development solution InfraCo Africa, supporting the development of a listed investment vehicle designed to channel capital into East Africa’s logistics infrastructure.

The investment reflects the growing role of institutional capital in addressing the region’s infrastructure needs while creating new opportunities for investors to participate in the growth of East Africa’s logistics sector.

 “The ALP West Kivu warehouse shows what the UK-Kenya partnership can deliver. Better logistics can mean less waste, fewer delays and more opportunities for Kenyan businesses to grow and reach new markets. By helping unlock Kenyan investment into infrastructure like this, the UK is backing Kenya’s ambitions for growth and jobs, said British High Commissioner Matt Baugh.

Stephen Odua, Director of Business Environment and Private Sector Development

at the State Department of Investment Promotion congratulated ALP on its announcement of REIT dividends, which was green.

Odua said the logistics warehouses by ALP support the government, which is already establishing special economic zones, export processing zones and the upcoming county aggregation and industrial parks in 47 counties.