Britam Holdings has posted the first profit from its property investments in the last four years after the occupancy of its 32-storey tower in Upper Hill hit 94 percent.
The group’s latest annual report covering the financial year ended December 2022 shows Britam’s net profit from investment property hit Sh643 million compared with a Sh206 loss in the previous year.
The Sh643 million profit, the first since Sh507.2 million in 2018, came in the period Britam Tower’s occupancy levels rose from 86 percent to 94 percent as economic activities continued to recover from Covid-19 disruptions.
“Net profit from investment property— which comprises rental income and fair value movements in investment properties recorded a gain of Sh643 million in the year on the background of growth in occupancy levels and improved property market,” said Britam in the annual report.
The rise in occupancy levels for Britam Towers to 94 percent is a sharp contrast with 47 percent occupancy rate in 2020 when the Covid-19 pandemic hit office occupancy rates, pushing Britam into a Sh1.5 billion investment property loss.
Located in the upmarket Upper Hill area, the ultra-modern tower has a total lettable space of 350,000 square feet with 1,000 parking bays and targets clients such as diplomatic missions, multinationals, private companies and financial institutions.
