Roberto joined STANLIB in April 2013, bringing 19 years’ experience in project finance, acquisition finance and private equity, almost all of which has been focused on Africa, essentially in energy and infrastructure assets.

He has a proven track record in raising debt and equity capital for investment projects throughout Africa, and considerable experience in senior general, financial and asset management positions.

He recently sat down with Ruth Obih (CEO 3Invest) at the Africa Property Investment Summit (APIS) in South Africa for a frank discussion on matters relating to investment on real estate in Africa:

Good morning Mr. Roberto, and welcome to real estate on air. Today am going to be talking to you about the event and we talk about the real estate investment in Africa.

Ruth: Welcome to Real Estate On Air live at the API Summit, So tell us why you here today?

Roberto: Well, I represent the Standard African direct property development fund. It’s targeted to invest in countries like Nigeria; it’s definitely one of our focus countries we are looking at investing in Ghana and in the East. East Africa, Kenya and Uganda those are target countries for a number of reasons the group, the standard bank group which STANLIB is part of is well represented in these markets and we think from a development fund point of view it is very important to have a presence on the ground to establish the relationships, it is headquarter in Johannesburg but we often fly in and have personnel in the respective markets as well.

Ruth: What do you think attending an event like APIS can do for your Institution?

Roberto: Well, I think it is the good and the great of property in Africa are represented here and it’s very much an opportunity to give profile to the fund to give profile to liberty and STANLIB and just let everyone know we are open for business in these markets. We are looking at development opportunities not just acquiring assets but actually developing assets, in fact we are not allowed to acquire assets we are looking only at Greenfield and Brownfield developments in these focused markets.

Ruth: What are your plans for Nigeria specifically?

Roberto: Well, I think there are more opportunities than there is cash available at this stage. Our fund is targeted at 150million, we are busy fund raising at the moment, we have significant commitments at this stage and we may move that target up to perhaps 250million, we are still accessing that. But we find that the opportunities in Nigeria for property especially commercial property, retail space and office developments there is massive demand and a short fund supply. I think it is a common understanding amongst all property players that this is a screaming opportunity.

Ruth: What advice can you proffer a foreign investor coming into Nigeria, with the apparent perception and low transparency issues?

Roberto: Well, I think you are spot on about the perception. There are some real risks we need to manage and there are some obviously perceived risks that are not entirely fair on the country. I think from an international investor perspective we would like to give them the comfort that we have the experience in risk mitigation in relationship management in the markets, we have a presence on the ground, we are fully committed to these markets and we know how to engage in these markets. I come from 19 years of operating in Africa, liberty and stanlib bank group have an immense presence in Africa as well. So we lean on the institution quite heavily to support us in the management of these investments and that’s the sort of comfort I would like to convey to an international investor.

Ruth: so what will you be speaking on today?

Roberto: Well, just basically how do you invest in commercial property in Africa, you know our expectations being met, and how do we balance risk and reward? You know those kinds of questions!

Ruth: and what do you want to take away from this event today?

Roberto: I think, understanding some of the western certainly some U.S representatives, their views on Africa about what their market, how they perceive the markets here and what’s still to be done?

It collaborates a lot of our thinking about how they view us and what’s required to get them comfortable, so that alone has been very informative and just for that alone it’s been worthwhile coming here.

Thanks Roberto for stopping bye

2013-09-17