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KONZA TECHNO CITY, KENYA CATHERINE ADEYA-WEYA, PHD AG. CHIEF EXECUTIVE OFFICER KONZA TECHNOPOLIS DEVELOPMENT AUTHORITY (KOTDA) OCTOBER, 2014
Konza & Vision 2030 Konza is a Vision 2030 flagship project to position Kenya as a leading ICT destination by leveraging KONZA and expanding Kenya’s technology focused industries. 2
Vision Statement
KONZA VISION
Konza Techno City will be a sustainable, world-class technology hub and a major economic driver for the nation, with a vibrant mix of businesses, workers, residents, and urban amenities. 3
Konza is 60km from Nairobi
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At 5,000 acres, Konza is comparable to other world-class cities
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Konza will be positioned as a middensity urban environment
Invest in the Silicon Savannah
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Konza’s value proposition: A self‐sustaining city anchored by a cluster of knowledge industries Vision City elements Vision Retail
Residential
Implementation Catalyst program Office: ITO/BPO/Telecom Life sciences: Lab/Hospital
Services
Vibrant public realm
Activating elements Creative Industries Cluster
University Ancillary program Public services
Hotel
Retail
Residential
Investment Opportunities Data Centres Educational institutions e.g. Universities, Smart Schools, Research Centres World class Hospitals Commercial office space Hotels and Convention Centres Real Estate residential properties Large scale shopping malls e.g. Mall of Africa Recreation and entertainment venues e.g. Sports Stadium, Film and Media Centre Financial District Community support services e.g. green spaces, houses of worship etc. Infrastructure i.e. Roads, Railway, Energy World class ICT infrastructure. 8
Phase 1 Investment Opportunities: Worker Housing • Provision for construction workers on site during infrastructure construction • Potential to support the Mombasa rail reconstruction • Potential for conversion to housing stock or student dorms
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Phase 1 Investment Opportunities: Solar Farm
• Single Infrastructure project • Produces revenue to fund the Konza development • Does not require development of water, wastewater, streets, etc. 10
Phase 1 Investment Opportunities: Data Centers • Tier 3 secure clean redundant power • Liquid cooled equipment • Heat reuse for low PUE
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OBJECTIVE OF KTC Create 16,675 jobs in BPO-ITES by
Economic & Social Benefits
2018. Growth in GDP (Contribution of approximately 1% by 2018). World class infrastructure and technology to facilitate research, education and business. Enhance local R&D, Entrepreneurship and IT enterprise formation culture 12
Project Profile
Profile
• International Finance Corporation (IFC) engaged as the Transaction Advisor. • IFC hired Master Delivery Partner 1 (MDP1) in August 2012. • Konza Technopolis Devolopment Authority (KOTDA) institutionalized. • MDP2 hired in June 2014. 13
Master Delivery Partner 1 (MDP1)
MDP1 Hired Aug. 2012
to prepare a detailed economic development Strategy and Physical Masterplan for Phase 1 (2014-2018) 14
MDP1 was a multidisciplinary team
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Sample projects of MDP1
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Botswana Innovation Hub
Towards a Great Future…
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Towards a Great Future…
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Towards a Great Future…
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Towards a Great Future…
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WHERE WE ARE MDP1 Complete MDP1 Assignment Complete (Aug 2012‐Feb 2013)
Vision & Mission
Sector Strategy Real Estate Strategy
In progress
Business and Governance Financial Strategy
Master Action Plan + Plan Design
GoK Implementation
Local Physical Development Plan (LPDP) 21
MDP1 Deliverables
MDP1
• Anchor Tenant Strategy • Local Physical Development Plan (LPDP) • Physical Master Plan • Infrastructure Financing Plan • Business and Cash-Flow Plan • Governance plan for the Konza Technopolis Development Authority (KOTDA) 22
MDP1 conducted intensive sector strategy & tenant outreach
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Vision of Phase 1
Total development: 1.5M m2 Total workers: ~17,000 24 Total residents: 30,000
Phase 1 on 400 acres Mixed Use 89 acres University 39 acres Residential 26 acres Life Science 26 acres Office 11 acres Retail 8 acres Cultural/Community 1 acre Vertical Development Subtotal 201 acres Parks 79 acres Transportation and Other Public Space 130 acres TOTAL 410 acres 1 acre = 0.404 hectare
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Phase I program will be distributed throughout the “Stitch” on specialized “bands” connected by a mixed‐use “bar.” BAND
Life Science
BAND
Office
BAND
Residential BAND
University
BAR
Mixed Use
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Phase 1 with catalysts in place, will entail 1.5M m2 of total vertical development. Office: 81,000m2
Upper income housing: 240,000m2
Civic and Flex: 14,000 m2
Studio–1 bedroom: 420 units 2–4 bedrooms: 1,050 units
Lab: 35,000m2 2 Middle income housing: 660,000m Hospital: Studio–1 bedroom: 1,720 units 50,000m2
2–4 bedrooms: 4,400 units
University: 194,000m2 Lower income housing: 100,000m2 Retail: 65,000m2 School: 44,000m2
Studio–1 bed: 510 units 2–4 bedrooms 1,300 units Hotel: 6,000 m2 27
Phase 1 Entry Plaza
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Phase 1 Office Band
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Phase 1 Science & Research Band
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Phase 1 Residential Band
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Phase 1 University Band
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Successful execution of Phase 1 will provide economic benefits
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Konza’s macroeconomic impacts will be a source of value for Kenya
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Master Delivery Partner 2 (MDP2)
MDP2 Hired
Tetra Tech, Inc. of Denver, Colorado (USA) hired on 30th June 2014 to oversee the implementation of Phase 1 (2014 – 2018). Tetra Tech is the lead firm of the MDP2 consortium comprising 10 other firms drawn from the USA, Germany, Netherlands, UAE and Kenya. www.tetratech.com
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Brand & Market Konza Land leases Building Parcel Guidelines
Public Realm Guidelines
MDP2 ROLE
Capacity building & Organization Development for KOTDA Design Management
Financial Analysis
Construction Management
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Role of MDP2 MDP2 will supplement the capacity of KOTDA: 1.Creation of Branding and Marketing Campaign for KTC 2.Public Realm Guidelines and Building Parcel Guidelines 3.Land Lease Negotiations with Parcel Developers 4.Project Financial Analysis and Summary 5.Capacity Building and Organization Development for KOTDA 6.Design Management for Public Infrastructure 7.Construction Management for Public Infrastructure 42
Infrastructure will be financed by different entities, requiring key partnerships.
Infrastructure $1,060M
On-site $750M
Project Finance
KOTDA GoK
Off-site $310M In 2013 Dollars Financing Entities 43
Substantial Economic Benefits from Public Investment.
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ACHIEVEMENTS 7 boreholes drilled for initial construction
Dec 2012
Operationalization of Konza Technopolis Development Authority (KOTDA)
Jan 2013
Local Physical Development Plan (LPDP) Approved
Feb 2013
MDP1 implementation Plan and Strategy for Phase 1
Feb 2013
National Environment Management Authority (NEMA) approval of Strategic Environmental Assessment (SEAs) report
Feb 2014
KOTDA Bill submitted to the Cabinet
May 2014
Cadastral Survey ground work completed
May 2014
Initial power supply
June 2014
Signing of MDP2 Contract
June 2014
Launch of MDP2 Work
Sep 2014
Contract signed with Kenya Urban Roads Authority (KURA) to construct Phase 1 access roads
Oct 2014 45
Roads, Water, & Electrical efforts • 7 Boreholes completed • Temporary Overhead Electrical runs to Boreholes • Temporary Roadway Grading starting in November, 2014
What next?
Phase 1 Infrastructure
• Commissioning of roads • Phase 1 Power line survey & design • Water/sewerage system • Construction of Sales Pavilion • Design for ICT connectivity (Dependent on roads) 47
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CONTACT US: Konza Technopolis Development Authority (KOTDA) Capital West Business Centre, 5th Floor P.O. Box 30519-00100 Nairobi, Kenya +254(0)204343013/4 +254(0)706 356 905
[email protected] Website: www.konzacity.go.ke
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