“ A Vision for inclusive housing in Africa”

1. Low income housing Gap

2. Vision / Mission

3. Urbanis solution

4. Business Model

5. Service Offering

6. Management Team

7. Operating Model

8. Portfolio / Track Record

Agenda

Africa’s explosive demographic growth

The African population is growing at a rate of 2.4% a year.

It is estimated that by 2030, 50% of Africans will live in cities;

The African workforce will reach 1.1 billion people by 2040 - the largest in the world ( McKinsey);

And by 2050, Africa will be home to 1.9 Billion people.

Africa’s is facing an urban challenge

By 2040 Africa is expected to be the 2nd most urbanized continent after China.

At current urbanization rates, an additional 14 million housing units per annum are needed in order to accommodate the increasing urban demand.

62% of the populations living in Africa’s cities ( 32 million households) live in informal housing where basic services are poor or non-existent.

Africa faces a large gap in low income housing

Region Demand SupplySub- Saharan Africa

32 million households in Sub-Saharan Africa are considered inadequate.

Under current urbanisation rates , an additional 14 million housing units per annum are required

308 million people; 191 million of whom live in inadequate housing.

Kenya 60% of households are considered ‘inadequate’ housing and are located in slums.

150,000 units are required per year

Less than 30,000 units supplied per year The annual deficit is thus more than 120,000

housing units per year

Ghana Ghana’s annual demand for housing currently stands at 120,000 housing units per annum

Current housing supply provides 42,000 units per annum which is only 35% of the demand

Nigeria 33.6 million Nigerians living in urban areas (46% of the urban population) are considered to be living in inadequate housing

The annual deficit is 16 million units 720,000 units need to be created annually to

meet the demand Current supply is however meeting only 3%

of this demand

Tanzania 80% of the entire population is living in unplanned, informal housing.

The housing deficit in urban areas is estimated at 1.2 million units.

The response to the African urban explosion must not be, more unplanned and poorly serviced developments.Africa should learn from the mistakes of many European and American cites that allowed the development of social enclaves, which became the source of insecurity, social tension and frustration for the low income population.The demand for housing should be met through the development of suburban mixed income communities that offer a healthy social environment, and economic opportunities.

Vision for African housing

The vision of Urbanis Africa is to enable the ordinary Africans, most of whom are active in the informal sector, to acquire a house within their financial means and raise their families in a safe, clean, healthy environment with access to world class education and economic opportunities. In so doing, Urbanis achieves social impact, environmental and financial returns.

Urbanis aims to implement its model across the African continent, and will encourage many developers to emulate its model.

The mission of Urbanis Africa is to enable the majority of Africans living in cities to have an opportunity to own a house, work and raise a family, in a clean and family-friendly environment.

The Company’s objectives are as follows:

Develop planned mixed income communities across the continent that implement state of the art, low carbon footprint technology

Mission and Objectives

Provide a ‘one-stop shop’ approach to delivering housing solutions, by building partnerships with all the players in the value chain, including the commercial banks.

Design inclusive solutions to unlock mortgage financing for informal sector borrowers and;

Deliver affordable housing within a profitable business model.

Urbanis Africa contributes to resolving the problem of affordable housing in Africa using the following tools;

Cross subsidization: Achieve affordability through mixed income housing communities, and apply cross subsidization between middle and low income housing units.

Collaboration: Create a network of partners around each project including designers, contractors, bankers, financiers etc

Urbanis Solution

Rapid construction: Accelerate the speed of construction through the use of pre-cast concrete.

Low cost of ownership: Reduce recurring cost to owner by using green technology ( Waste recycling, Solar energy, rain water storage etc..)

Building at the periphery: Urbanis achieves affordability by building integrated housing communities with Residential, Economic and Social amenities at the periphery of large urban centers.

Achieving Socio Economic Value

Urbanis Africa aims to maximize socio economic value ….

Average project IRR of 25%

Minimum Project profit margin of 20%.

Average payback period, 4 years.

Financial Return

Create local Employment Provide low income

housing Create Economic

opportunities Provide better education

Social Return

Risk Management

Environmental Returns

• Economic Benefit for Investors.

• Economic Benefits for home buyers ( affordability)

• Economic Benefits for the community

• Social Benefit for the residents

• Social Benefits for the community

Socio Economic Value

Socio Economic Value Proposition

Create local Employment Provide low income

housing Create Economic

opportunities Provide better education

Solar Powered public areas

Recycled waste water Rain water capture Recycled Solid Waste 40% of property reserved

for green spaces.

Business Model

Urbanis Africa

Architectural Design

Financial Structuring

Project Management

Supply Chain Management

Equity Investment

Operational Management

Construction Technology

Urbanis’ Africa is a real estate developer specialized in bottom-of-the-pyramid residential and commercial projects.

Urbanis sets up a Special Purpose Vehicle (SPV) for each project it initiates and brings to each project a different group of investors and lenders who are exposed exclusively to a single project.

As a developer, Urbanis takes an equity participation in its projects. It is remunerated through developer's fees and sweat equity.

Business Model ( cont)_

Equity InvestorQuasi – Equity

InvestorsFinanciers

(Debt)

URBANIS

SPV (Country Specific)

ContractorLocal Investor

Government

Mortgage Banks

MFI’s

Home Buyer

The company builds alliances and partnerships across the value chain, hence creating a microcosm that addresses the housing problem holistically.

Service Offering

PROJECTORIGINATION

FEASIBILITY STUDY

MASTER PLANNING

ARCHITECTURAL & TECHNICAL

DESIGN

FINANCIAL STRTUCTURING

PROJECT FUNDING

PROJECT MANAGEMENT

PROPERTY MANAGEMENT

Urbanis’ Africa Provides services that span across the entire development value chain.

The company manages projects from inception to post completion management.

Urbanis Africa provides the management services through subsidiaries that it establishes in countries where the projects are located.

Integrated Service Offering

Real Estate Development Financial Structuring Construction Property Management

Urbanis Africa

Project Conceptual Design

Architectural and technical design

Project development Project Execution and

Management Sales and Marketing

Project Financial feasibility

Financial Modeling Financial restructuring Sourcing of Equity and

Debt funding Financial Management

of projects

Rapid construction based on precast concrete and form work.

Estate Management Commercial Assets

Management Utility and Waster

Management Community Projects

Urbanis provides and integrated suite of services that enables the company to manage bottom-of-the-pyramid residential and commercial projects from inception to post delivery across Africa.

Financial Solution Point

The process of buying a home in riddled with complexity and insurmountable obstacles.

Urbanis Africa has launched a service that enables the clients to receive advise on the financing their home and obtain hands on assistance in the mortgage application process.

Urbanis offers a one stop shop solution for acquiring an affordable home in Africa.

Ur-Homes interactive Platform

Urbanis Africa has launched a powerful marketing channel – Ur-Homes.com

The interactive Web Platform enables African seeking to acquire an affordable home from Urbanis Africa to select, purchase and finance the home online.

Ur-Homes.com also includes general information about the real estate market in Africa and about financing options available to Africans.

Competent Management Team

Wagane Diouf ,Chief Executive Officer:•Founder and CEO of Urbanis Africa•12 Years experience in Impact Investing and Private Equity •Bachelor in Computer Science from ESGI (Paris)•Bachelor in Finance from ESG (Paris) •Executive MBA from the Georgia Institute of Technology

Jakoyo Patrick Airo , Chief Operating Officer Kenani:•Chief Operating Officer of Kenani Housing Company•30 Years experience in project finance, large scale project management, real estate and manufacturing.•MBA from University of Nairobi,Bachelor of from Newcastle University, UK

Francis Otieno, Chief Operations Officer•20 years experience in all aspects of property management, construction and valuation.•B.A. Land Economics (Hons) degree from University of Nairobi

Jacob Orioki , Chief Financial Officer•Responsible for group accounting and Finance•27 years practical experience in senior level Management in Accounting and Financial Administration•Certified Public Accountant of Kenya (CPAK) and holds a B.Comm degree in Accounting from the University of Nairobi.

Catherine Warega, Chief Marketing officer•Responsible for group sales and marketing• 10 years experience in residential and commercial real estate in Kenya.• Post Graduate degree in Real Estate Agency and Property Management, University of Nairobi

Jeremy Childress , Financial Analyst•Financial analysis & structuring• Progressive experience in financial analysis & structuring•University of Southern California with Masters degrees in Economics and Corporate Finance

Francisca Wanbua, Corporate Lawyer•Group Corporate Legal Officer•Advocate of the High Court•Extensive litigation and Corporate law practice in the field of conveyancy

Governance/Ownership Structure

Urbanis Sweden(Stockholm)

Urbanis Africa(Nairobi)

Jamii Bora Makao(SPV)

Kenani Housing Co.(SPV)

Executive Management

EquityEquity

Equity +Management Contract

Management contract

SPV SPV

Equity +Management Contract

Operating Company: Jamii Bora Makao.

Location: Kaputiei within Kisaju Town off Namanga Road, 60 Kms from Nairobi CBD.

Description: Mixed income community targeting 2,000 residential units and 2,000 and 1,164 commercial units.

Price range: KShs. 1.2 million ($14,000) to KShs. 5 million ($58,000)

Additional Amenities: Police, Clinic, Primary and secondary schools,

Total project Cost: KShs. 5 Billion

Stage: To date 780 houses have been built and sold.

Portfolio - Kisaju View Park I

Operating Company: Kisaju View Park Limited

Location: Located on the Pipeline Road near the Isigna junction. 50 Kms from Nairobi CBD.

Description: Mixed income community targeting 1,000 residential units and 200 commercial units.

Price range: KShs. 1.5 million ($15,000) to KShs. 5 million ($58,000)

Additional Amenities:

Total project Cost: Project is at design stage

Stage: Closing December 2012 – Ground Breaking

Portfolio - Kisaju View Park II

Portfolio – Kenani Housing Company

Operating Company: Kenani Housing Company Ltd.

Location: Lukenya, near Athi River, located 37 kilometers south east of Nairobi CBD, on a 230 acres plot of land.

Description: Mixed income community targeting 2,400 residential units ( apartments and Maisonettes) and 1,000 commercial units in Phase I.

Price range: KShs. 1.6 million ($16,000) to KShs. 7.0 million ($82,000)

Additional Amenities: Police, Clinic, Primary and secondary schools,

Total project Cost: KShs. l 6 Billion

Stage: Financial closing projected in December 2012. Ground breaking April 2013.

Portfolio – Lukenya Housing Company

Operating Company: Lukenya Housing Company Ltd

Location: Lukenya, near Athi River, located 37 kilometers south east of Nairobi CBD, on a 100 acres plot of land.

Description: Mixed income community targeting 2,400 residential units ( apartments and Maisonettes) and Retail area.

Price range: KShs. 1.6 million ($16,000) to KShs. 6.0 million ($82,000)

Additional Amenities:

Total project Cost: Project is at design phase.

Stage: Financial closing projected in March 2013. Ground breaking June 2013.

Portfolio – Kisaju Shopping Mall

Operating Company: Kisaju Mall ltd

Location: Kisaju ( 10k from Kitengela) on the Namaga Road.

Description: 20 Acres Commercial Complex including shopping mall, Amusement Park, Hotel and office space.

Price range: The project is at design stage. Prices will be established shortly.

Additional Amenities: Police, Clinic, Primary and secondary schools,

Total project Cost: TBD

Stage: Financial closing projected in April 2013. Ground breaking June 2013.

Urbanis Africa Limited.5th Floor, Contrust HouseMoi AvenueP.O. Box 57618-00200NAIROBI

Tel: Email: info@urbanisafrica.com

www.urbanisafrica.com