Ikeja Shopping Mall Sold

Ikeja Shopping mall, one of Africa's most visited shopping centres,has been sold to Hyprop  and  Attacq  with respective stake of 75% and 25%.

 Actis, a leading emerging markets investor, RMB Westport, a notable sub-Saharan Africa real estate investment management and development group and Paragon Holdings, a leading Nigerian investor group today confirmed  the sale of Ikeja City Mall.

Actis and local partner Paragon Holdings were development managers in 2008.
They were made  equity partners  in 2010. Actis has now sold its 60% majority stake, while Paragon Holdings and RMB Westport have both sold their 20% stakes in the mall.

Ikeja City Mall, Lagos’ largest mall, is a world-class retail and leisure development in Ikeja, a densely populated suburb of Lagos, with a population of 4.5 million people. As the largest mall in Lagos, it has  over 22,000m² and houses an array of outfits such as  Shoprite.

Map of ikeja city mall

It has a large  South African presence Mr Price, Spur, MTN and Markham.  International brands including Nike, Lacoste, Tommy Hilfiger, TM Lewin, Mango, i-Store, KFC, and Max Fashion.

The mall opened its doors in December 2011 with no space to spare . And today, it attracts up to 800,000 shoppers per month.

Ikeja City Mall is Hyprop’s first foray in Nigeria.  “Hyprop is well-placed to capitalise on opportunities across sub-Saharan Africa, due to its partnership with the Atterbury Group and Attacq, whose combined expertise facilitates exploiting opportunities as they arise.” Its CEO said.

David Morley, Head of Real Estate at Actis said  “This sale reflects the strong retail opportunity in West Africa and the interest of quality institutional investors in sub-Saharan real estate assets. This is the sixth exit from the first Actis real estate fund. It is a continuation of Actis’ proven cash to cash track record of delivering A-grade real estate assets in sub-Saharan Africa, positioned to be attractive to both international and local institutional buyers. Over two funds, Actis has committed to 17 institutional quality developments in seven countries totaling a gross asset value of $1.3bn.”

“RMB Westport has earmarked a number of sub-Saharan Africa territories as key jurisdictions in which to develop retail and commercial property. Private consumption is increasingly emerging as one of the key drivers of growth in African economies, and foreign direct investment remains strong. RMB Westport’s current portfolio of 11 investment-grade developments with a gross asset value of $1bn is perfectly placed to unlock investor value. Reliable project delivery, which has been central to Ikeja City Mall’s success, is our core focus,” says Michael O'Malley, Director of RMB Westport who has spent the past 20 years working on retail and mixed-use projects in 12 African countries.

MornĂ© Wilken, CEO of Attacq, said: “Our strategic investment in Ikeja City Mall forms part of Attacq’s larger African investment strategy and was executed with the assistance of the experienced Attacq Africa team. It is our first investment in Nigeria, an African market with fantastic growth prospects. It adds to our investment in the growing portfolio of dominant, quality retail malls in sub-Saharan Africa.”

Frank Obi, Group Executive Director of Paragon Holdings commented “We are pleased to have been a part of this landmark project from its inception to the present. It is a testament to the foresight and resolve of our leadership, and to the position of Lagos State and its government as leading hosts to serious investors in Africa. We look forward to working with quality foreign investors to develop outstanding real estate."
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