Real estate has consistently out-performed other asset classes in the last 5-years, generating average returns of 25% p.a., compared to an average of 10% p.a. in the traditional asset classes. During today’s Wealth Management Training session, Shiv Arora, Head of Private Equity Real Estate at Cytonn Investments, trained on the real estate market in Kenya and the investments opportunities available in real estate, and the various ways investors can access the attractive returns in the asset class.
Shiv Arora Conducting the Training
For private players, planning for an investment in a real estate project requires many steps; spanning from market research and feasibility tests/modeling, budgeting and project finance/fundraising, project management and eventually exit.
Shiv explained that the capital intensive nature of real estate projects requires players to have a strategy for accumulating the funds to embark on a project of this nature. Some strategic ways that any company can tap into this include:
• Institutionalize development
• Structuring real estate into investment instruments that are focused on target returns
• Coupling fundraising and development
Professionalized development
Section of clients who attended the training
With continued government expenditure in improving infrastructure and energy provision, the sector is expected to continue to grow. With this positive outlook, it is therefore imperative that investors should have an exposure to real estate to achieve high and stable returns in future.
To participate in our future Wealth Management Trainings, book a slot here: http://bit.ly/2jIOKGs
