Project description
On April 18, 2024, the Multilateral Investment Guarantee Agency (MIGA), a member of the World Bank Group issued a guarantee totaling €17.5 million to Flamingo Kite ABJ Limited, a subsidiary of Kasada Hospitality Fund LP (Kasada) of Mauritius, for its equity investment into the greenfield development and operation of a midscale dual branded hotel complex in Abidjan, Côte d’Ivoire (an IDA country), against the risks of Expropriation, Transfer Restriction and War and Civil Disturbance for a period of up to 15 years.
Kasada’s investment consists of the greenfield development and operation of the Cosmos hotel complex which will include a 100-key Ibis Styles hotel and a 70-key Adagio extended stay combination hotel, a 400-person conference and events venue and a 300-square meter co-working space, located in Angré Djibi Nord, in the district of Cocody in Abidjan. The hotel complex will be located adjacent to a new mixed-use retail shopping center and office development built which is expected to create positive synergies for the hotel guests.
This MIGA guarantee is the 16th guarantee executed under the master contract signed with Kasada in June 2021, now covering 13 hotels in Sub Saharan Africa, including 5 hotels in Côte d’Ivoire.
Kasada is a private equity fund dedicated to investing in the Sub-Saharan Africa hospitality sector. The fund is owned by the Qatar Investment Authority, Qatar’s sovereign wealth fund, and Accor, a French multinational company and the sixth largest hotel management company in the world, as limited partners. Kasada expects to establish a portfolio of more than 20 hotels (about 4,000 hotel keys) requiring a total investment of US$1 billion.
Environmental Categorization
The project is Category B under MIGA’s Policy on Environmental and Social Sustainability. Click here for the project’s Environmental and Social Review Summary and Environmental and Social Action Plan.
Development impact
As a midscale hotel located outside of Abidjan’s central business district, the project contributes to establishing a business and hospitality hub and raising the sustainability standards in a node consisting of unbranded hotels. As a future EDGE Advanced (Zero Carbon Ready) certified hotel, the project is considered climate mitigation finance with a climate finance share of 90% and is also expected to be consistent with the low-carbon and climate resilient development goals of the Paris Agreement. The project’s key benefits include a high expected level of female employment, supported by a gender action plan focused on increasing women’s participation in management, and providing training on gender diversity and inclusion.
