Grit mitigates operational and other risk associated with African real estate through the following:

Currency Risk

Prioritization of assets with USD or USD/Euro denominated leases

Tenancy Risk

Prioritization of long-term leases with blue chip multinational tenants (i.e strength of the counterparty)

Repatriation Risk

Maintaining robust relations with the Central Bank, comprehensive monitoring; hedging policies

Country Risk

Pre-determined selection of target jurisdictions which satisfy key investment criteria¹)

Operational Risk

Selection of reputable, experience in-country partners and property managers

Overexposure Risk

Defined diversification strategy in place²

Political Risk

Political Risk Insurance cover taken out where necessary

Notes:
1 – i.e. stable governance/political maturity, strong USD/FDI inflows, USD-based economies, high growth rates, acceptable sovereign ratings and outlook by ratings agencies, solid economic fundamentals, clear tax regime

2 – i.e. target not more than 25% of the GAV Fund in any single investment; target not more than 25% of the GAV of the Fund in any single country; 

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