Co-op Bank Boosts Youth-Led Ruiru Development with KSh 110 Million Financing

Co-operative Bank of Kenya has extended a KSh 110 million financing package to Eboss Investments Company Ltd, a firm led by young real estate developers, to facilitate the expansion of their mixed-use development in Ruiru, northeast of Nairobi. The funding primarily supports the construction of Seven Oaks School, a new British-curriculum institution, and accelerates the fit-out and finishing of residential townhouses within the 143 Brookview Membley project.

The financing comprises an KSh 80 million mortgage facility specifically for the school's construction and a KSh 30 million revolving term loan to fund the phased development and completion of housing units. The groundbreaking for Seven Oaks School marks the commencement of Phase 4 of the development, which is designed to integrate residential housing, commercial spaces, recreational amenities, and social infrastructure.

Context of Youth Empowerment and Real Estate

This partnership underscores Co-op Bank's commitment to supporting youth-led initiatives and contributing to Kenya's economic development. Vincent Kihara, Head of Mortgage Finance at Co-operative Bank, stated that the decision to back Eboss Investments was based on a rigorous assessment of the project and the team's proven track record. Eboss Investments has successfully delivered Phases 1 to 3 of the project since 2018, utilising a combination of family resources and buyers' deposits. This track record was crucial in securing the bank's financing for the subsequent stages.

Kenya faces a significant youth unemployment challenge, with young people aged 15-34, who constitute 35% of the population, experiencing an unemployment rate as high as 67%. Initiatives like this financing by Co-op Bank aim to foster entrepreneurship and create employment opportunities within the real estate sector, which is a significant contributor to the country's Gross Domestic Product (GDP). The real estate sector contributed 6.7% to Kenya's GDP in 2025, up from 4.1% in 2020.

Law and Policy Framework

The Kenyan government has been actively promoting policies to attract investment and create jobs, particularly for the youth. Trade Cabinet Secretary Lee Kinyanjui recently highlighted increased interest from international companies in sectors like energy, data centres, and business process outsourcing, which are expected to generate thousands of jobs. While the immediate context of this financing is a private sector initiative, it aligns with broader national goals of economic growth and youth empowerment.

Stakeholder Perspectives

Geoffrey Gitaka, Director at Eboss Investments Company Ltd, lauded the partnership with Co-op Bank, emphasising that it has been instrumental in transforming their vision into reality. He noted that the collaboration extends beyond mere financing, signifying a strong partnership for the long term. Co-op Bank has a history of supporting co-operatives and small and micro-entrepreneurs, with past initiatives including a KSh 300 million partnership with the Laikipia County Government to provide affordable financing and training to 7,000 entrepreneurs.

Evidence and Data

• Total Financing: KSh 110 million
• Mortgage Facility for School: KSh 80 million
• Revolving Term Loan for Housing: KSh 30 million
• Project Location: Ruiru, Brookview Membley community
• Developer: Eboss Investments Company Ltd (youth-led)
• Project Phases Completed by Eboss: 1-3 (since 2018)
• Youth Unemployment Rate (15-34 years): 67% (as of 2025)
• Real Estate Contribution to GDP: 6.7% (as of 2025)

Risks and Implications

While the financing is a positive step, successful execution hinges on timely project completion and market absorption of the residential units. Delays in construction or shifts in market demand could impact the project's profitability and the ability to repay the loan. However, Co-op Bank's phased financing approach, tied to demonstrated delivery, mitigates some of these risks. The development of integrated communities with educational facilities can enhance property values and attract families, contributing to sustainable urban growth in satellite towns around Nairobi.

Unknowns

Specific timelines for the completion of Seven Oaks School and the remaining residential units in Phase 4 have not been publicly disclosed. The exact number of jobs expected to be created directly by this phase of the project also remains unknown.

Timeline

• 2018: Eboss Investments begins Phases 1-3 of the Brookview Membley project.
• October 1, 2025: Co-op Bank announces KSh 110 million financing for Eboss Investments.
• October 1, 2025: Groundbreaking for Seven Oaks School (Phase 4 of the project).

What to Watch

Observers will be keen to follow the progress of the Seven Oaks School construction and the subsequent impact on the Brookview Membley community. The success of this youth-led real estate venture could serve as a model for future collaborations between financial institutions and young entrepreneurs in addressing Kenya's housing and employment challenges. Further announcements regarding project milestones and the broader economic impact are anticipated.

Related

Co-op Bank has consistently supported various sectors, including SMEs, through tailored financial solutions and digital transformation initiatives. The bank also engages in youth empowerment programs through the Co-operative Bank Foundation, focusing on career training, mentorship, entrepreneurship, and financial inclusion. Kenya's tech sector has also seen significant growth and foreign direct investment, with Nairobi emerging as a key innovation hub.