KenGen purchases staff pension scheme plazas for Sh1.9bn
The Kenya Electricity Generating Company (KenGen) has purchased two office buildings from its staff pension scheme for Sh1.92 billion. This move allows the pension fund to rebalance its portfolio and comply with regulatory investment limits on property exposure.
Why it matters
This transaction illustrates corporate pension fund management and the necessity of maintaining liquidity to meet long-term benefit obligations.
The Kenya Electricity Generating Company (KenGen) has acquired two office properties from its staff pension scheme for Sh1.92 billion, helping the fund meet prescribed investment thresholds.
Disclosures from the KenGen Staff Retirement Benefits Scheme show that KenGen, which sponsors the fund, acquired the eight-storey Pension Plaza 1 and 12-storey Pension Plaza 2 in the year ended December 2025. The two are on Kolobot Road, opposite Stima Plaza, in Parklands, Nairobi.
The disposal of the buildings helped the pension fund cut its allocation to property to 20.39 percent from 42.4 percent the previous year, making it compliant with investment regulations and boosting its liquidity.
The reduction means the scheme is now in compliance with the Retirement Benefits Authority (RBA) investment guidelines, which caps exposure to immovable property at 30 percent of total assets.
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