Real estate developer to extend portfolio into agriculture

Superior Homes CEO Shiv Arora (right) and Managing Director Ian Henderson during the launch of Kanzi Springs. [David Njaaga, Standard] Real estate developer Superior Homes has revealed plans to venture into agribusiness as part of the company's sustainability efforts. The developer, known for its niche in masterplan development, is scouting for 300 acres that it will transform into farmland. Kajiado County is one of the areas earmarked. The idea behind this business venture, as noted by Chief Executive Shiv Arora, is not to necessarily make a profit but to set them apart in matters of sustainability as the developer seeks to attract more investors. The goal is to replace every acre of housing with agriculture. The announcement to venture into agriculture was made as the developer unveiled yet another masterplan development that will be put up in Kiambu County. The 60-acre land project is dubbed Kanzi Springs and is part of the larger 300-acre master plan. The developer has also broken ground for the 172-acre Lukenya masterplan as it also winds up on its flagship 163-acre Greenpark project along Mombasa Road. Kiambu is one of the counties that has been affected negatively by real estate development as farmers ditch coffee for rental property. This is one of the reasons behind the government's aggressive move to revitalise the coffee sector with initiatives such as the cherry fund. Mr Arora said sustainability has become pivotal in all the developer's projects which has now necessitated venturing into agriculture. "We are focusing a lot on sustainability. Every home that you buy from Superior Homes now comes with a full solar and battery backup that can last for 12 to 18 hours. That focus on sustainability will set us apart," he said. He said a lot of real estate development in the country also means that land that was previously being used for agriculture ultimately gets repurposed and houses put up. "We have taken the decision that we are going to be replacing every acre of housing with agricultural farmland," he said. "We are exploring a really big 300-acre parcel of land that we can start to slowly farm." "It is not going to make us any money," said Mr Arora. "But as long as it doesn't lose any (money) and continues to replace the areas that we have put houses and previously employed people through agriculture then that will support this economy." Agriculture, together with forestry and fishing recorded the most growth in 2023 at 6.5 per cent recovering from a contraction of 1.5 per cent in 2022. Real estate recorded a growth of 7.3 per cent in the same period. Real estate's share of the country's Gross Domestic Product (GDP) is 8.4 per cent while agriculture stands at 21.8 per cent. Superior Homes Managing Director and Founder Ian Henderson venturing into agribusiness is in line with where the world is going in terms of sustainability. "I haven't heard of any developer doing the same. Maybe it is a world's first," he said. He said the plan is to develop 10 acres of land that was previously not productive agricultural land for every 10 acres of housing units. Mr Henderson said this is meant to send a signal and be a talking point as well among real estate players in the country on how sustainability can be approached. He said they seek to get best practices from business partners as they seek to stimulate some commercial viability of the venture. "We probably won't make any money but we are not a humanitarian organisation either. If we do not make any money, then how do we pay salaries? We do not want to lose any money; that's for sure," he said.

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