Property development company My Space Properties has been admitted at the Nairobi Security Exchange (NSE) under Ibuka incubator programme.
Myspace Properties was reported to have successfully passed the vetting process to join the Incubator Board within the Ibuka Programme by NSE on Wednesday, April 3.
The real estate sector in Kenya has been faced with challenges, the major ones being down residential market, which means either the homes being sold go at a throw away price or sometimes end up not being sold at all.
“Listing Property companies to become publicly owned entities under the stock market improves social capital and access to external resources fostering opportunities for new entrepreneur ventures, while creating a centralized market place by offering part ownership of the company to the public through the scale of debt or more common equity security,” said My Space Properties CEO Mr Mwenda Thuranira.
The instability of the Kenyan Economy due to political tension also factors into the constraints of the industry as well as the fluctuating rate of lenders such as banks charging a slightly higher mortgage interest rate.
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“My space properties Kenya being listed as the first property company will promote competitiveness and enhance public acceptance and credibility in the stock market, which in return will attract foreign partnership boosting the global economy,” read a statement from Myspace.
My space seeks to raise over $1 billion (Ksh100 billion) through capital markets to invest.
“We want to invest in innovative solutions to offer guaranteed uptake -especially but not limited to low cost developers for their units with an ambitious uptake capacity of over 100,000 units ever year. This move will enable My Space properties gain access to alternative financial sources, gain a higher bargaining power with banks, allows shareholders opportunities for diversification and get investor recognition,” adds the statement
“Myspace seeks to strengthen the financial, technical, operational, commercial and strategic aspects of our business, through access to experts and thus enable us get listed on the NSE. This is a timely programme that will greatly demystify the Capital Markets. It will enable strong and promising SMEs to have a seat at the big boys’ table and participate in trading in the stock market,” adds Thuranira.
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