Orbit Products Africa, a Kenyan consumer goods manufacturer, is selling its manufacturing facilities to Mauritius-based real estate investment company Grit Real Estate Income Group.
As part of the deal, Grit signed an agreement with Grit Real Estate, which is a contract manufacturer of Reckitt Benckiser, Colgate-Palmolive and Unilever, to buy its 20 acres of land in Mlolongo which houses its factory.
In the latest acquisition, Orbit Products Africa intends to sell the land and buildings to Grit and remain as a tenant that will pay rent besides all the other property expenses, including taxes, maintenance and insurance.
The more than 4 billion Kenyan shillings ($39 million) transaction, which will add to Grit Real Estate’s property portfolio in Kenya, is expected to be completed by March next year.