Saudi construction giant makes first Kenya bet with stake in flagship Tatu City towers

Saudi construction and investment firm Mabani Aljazeera Holding Group has made its first investment in Kenya after agreeing to acquire a 50%-less-one-share stake in Jabali Towers, a landmark mixed-use development within Tatu City’s Special Economic Zone, underscoring Saudi Arabia’s growing appetite for African real estate as Gulf investors expand beyond energy and infrastructure.

• Saudi Arabia’s Mabani Aljazeera Holding Group has made its first investment in Kenya by acquiring a near-50% stake in Jabali Towers at Tatu City.
• The deal reflects growing Gulf interest in Africa’s fast-expanding real estate and infrastructure sectors.
• Jabali Towers, a two-tower mixed-use development, has already sold more than 80% of units in its first phase.
• The transaction strengthens Kenya’s efforts to attract long-term foreign investment while expanding Saudi Arabia’s economic footprint across Africa.

The investment will be made through Mabani’s subsidiary, Swan Properties, while Africa-focused new city developer Rendeavour will retain majority ownership of the project. Financial details of the transaction were not disclosed.

The agreement comes as Saudi Arabia accelerates overseas investments under its Vision 2030 economic diversification strategy, with African markets increasingly attracting Gulf capital seeking long-term opportunities in urban development, logistics, mining, renewable energy and industrial infrastructure.

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Located in Kiambu County, about 20 kilometres north of Nairobi, Jabali Towers will consist of two residential towers rising 25 and 36 storeys, spanning approximately 88,000 square metres.

The development will feature studio, one-bedroom, two-bedroom and three-bedroom apartments priced from 10.2 million Kenyan shillings ($78,200).

According to Tatu City, more than 80% of units in the first tower have already been sold, highlighting sustained demand for high-quality residential developments around Kenya’s capital.

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Earlier this week, China Road and Bridge Corporation (CRBC), the Chinese state-owned company that constructed Nairobi’s Expressway, was appointed the project’s main contractor.

Residents will benefit from Tatu City’s existing infrastructure, including uninterrupted water supply, 99.7% electricity availability, more than 70 kilometres of paved roads, and over 100 kilometres of walking and cycling trails.

“Jabali Towers will become the flagship real estate project in Africa,” said Abdullah AlMalki, Chairman of Mabani Aljazeera Holding Group.

He described the investment as the beginning of the company’s long-term expansion into Kenya, while the Saudi Export-Import Bank said the transaction supports the kingdom’s efforts to strengthen the global presence of Saudi companies.

Saudi capital looks increasingly to Africa

The investment adds to a growing wave of Gulf funding flowing into Africa as Saudi Arabia seeks to diversify its economy beyond oil.

In recent years, Saudi companies have increased investments across the continent in renewable energy, logistics, mining, tourism, agriculture and real estate, while governments across East Africa have intensified efforts to attract Gulf capital to help bridge infrastructure financing gaps and support rapid urbanisation.

Kenya has emerged as one of East Africa’s leading investment destinations, helped by its strategic location, expanding middle class and continued demand for residential and commercial developments.

The signing ceremony was attended by Kenya Investment Authority Chief Executive Officer John Mwendwa, Cabinet Secretary for Investments, Trade and Industry Lee Kinyanjui, Mabani Chairman Abdullah AlMalki and Rendeavour Founder and Chief Executive Officer Stephen Jennings, reflecting the importance Kenya places on strengthening investment ties with Saudi Arabia.

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Jennings said Swan Properties was expected to be the first of several Saudi investors backing future developments within Tatu City.

Tatu City continues to expand

The latest investment adds momentum to Tatu City, one of Africa’s largest privately developed mixed-use urban projects.

Developed by Rendeavour, Tatu City spans more than 5,000 acres and combines residential neighbourhoods, industrial parks, schools, retail centres and commercial districts within a government-designated Special Economic Zone.

According to the developer, the city now hosts more than 110 businesses, schools educating over 6,000 students, and approximately 3,500 mixed-income homes that have either been completed or are under construction.

The development also attracts around 35,000 daily visitors, while its residential population is growing by more than 40% annually.

Independent valuers estimated Rendeavour’s African property portfolio at approximately $3 billion at the end of 2024.

The agreement also follows another milestone for the company after Rendeavour recently became the African Continental Free Trade Area (AfCFTA) Secretariat’s first private-sector partner, reinforcing its ambitions to position Tatu City as a regional business and investment hub.

Future developments include the planned opening of the Tatu Nature Reserve later this year and Wellington College International Kenya, which is expected to welcome its first students in 2028.