Rising demand drives Africa’s logistics property boom

Expanding e-commerce, rising manufacturing and supply-chain demands are driving investment in modern warehouses and logistics parks across Africa, as developers race to bridge the continent’s widening infrastructure gap, writes ANOZIE EGOLE

Lagos-based real estate advisory firm, Fortren & Company, has noted in a recent report that logistics and industrial real estate is playing an increasingly vital role in Africa’s economic infrastructure.

The report attributed the growing demand for purpose-built, institutional-grade warehouses and storage facilities, which outstrips supply, to expanding e-commerce, rising local manufacturing and government incentives.

It stated that growing demand from manufacturers, retailers, logistics operators and multinational firms for improved supply-chain infrastructure is shifting the market away from informal warehouses and scattered industrial estates towards modern logistics parks, distribution centres, free zones and integrated industrial hubs.

“Over the past few years, several institutional developers have been actively investing in providing the storage infrastructure that is powering the industrial expansion across key African cities,” the report read.

It highlighted top developers/players based on their scale, specialist exposure, development pipeline, geographic footprint and strategic importance to Africa’s industrial and logistics infrastructure.

Improvon Group

In the report, Fortren & Company described Improvon Group as a specialist real estate investment and development company established in 1995, with a focus on A-grade warehousing, distribution and logistics facilities across sub-Saharan Africa.

It stated that the company has developed and tenanted more than 1.2 million sqm of logistics property over its operating history, while providing an integrated turnkey model covering development, construction, leasing, and asset and property management.

Its current footprint covers South Africa, Kenya and Zambia, with notable developments including Nairobi Gate Industrial Park, Dakota Precinct and York Commercial Park in Lusaka. Actis became an investor in Improvon in 2017, supporting its expansion across Africa’s major logistics and warehousing hubs.

Agility Logistics Parks

The report described Agility Logistics Parks as one of the largest private developers and operators of industrial real estate across the Middle East, Africa and South Asia, specialising in modern warehousing and light-industrial parks.

Its African platform has acquired more than 1.5 million sqm of land for warehouse-park development and currently operates in Ghana, Ivory Coast, Mozambique and Egypt, with Nigeria in the pipeline.

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The company is targeting a broader pan-African network covering markets such as Morocco, Kenya, Tanzania, Angola, the DRC and Ethiopia. Its strategy focuses on long-term ownership and expansion of logistics parks serving manufacturers, distributors and multinational occupiers.

Fortren & Company identified Africa Logistics Properties as a specialised developer and investor concentrating on institutional-grade logistics and industrial properties across East Africa.

Established in 2016, ALP has developed approximately 70,000 sqm of modern warehouse space across two flagship facilities in Kenya: the 50,000 sqm ALP North at Tatu City and the 20,000 sqm ALP West at Tilisi.

Its facilities are built to international standards and serve manufacturers, distributors, and logistics operators. In 2026, ALP further strengthened its institutional profile by listing its USD-denominated Industrial REIT on the NSE, giving investors direct exposure to East Africa’s logistics property market.

Fortress REIT

Fortress is one of the largest logistics and industrial players on the continent. It is a South African-listed real estate investment company with a strong focus on logistics and retail property.

Its logistics portfolio spans South Africa and Central and Eastern Europe, comprising 97 logistics assets and approximately 2.9 million sqm of total portfolio GLA as of FY2025. Its logistics properties were valued at R21.1bn, while key developments include Eastport Logistics Park near OR Tambo International Airport and Clairwood Logistics Park in Durban.

Equities Property Fund

As noted in an earlier article by Fortren & Company on leading listed real estate firms, Equities Property Fund is a South African-based REIT listed on the JSE, specialising in prime logistics and industrial properties across South Africa and the United Kingdom.

It comprises more than 50 properties valued at $1.7bn as of FY2025 and approximately 1.6 million sqm of GLA, making it one of the biggest industrial and logistics players on the continent, with Centurion I-A in Gauteng as its largest property currently.

Fortren & Company is a Lagos-based, privately held African real estate research and advisory firm focused on providing market intelligence and strategic advisory services to organisations involved in real estate and construction across Africa.

The firm also positions itself as an independent provider of real estate intelligence, leveraging market data, field research, analytics and advisory services to support informed investment and property development decisions.