Java House outlet on Kimathi Street in Nairobi. FILE PHOTO | NMG
Summary
- Java House has continued its expansion with Meru, Thika, Athi River and Kiambu towns now in the pipeline.
- The Crystal Rivers Mall and Residences in Athi River, as well as Kiambu Mall branches, are set to open before the festive season kicks in.
- The coffee chain has also indicated it will open more outlets in Nairobi estates.
Local coffee chain Java House plans to open additional outlets
outside Nairobi after opening its first branch in a learning institution
at the United States International University-Africa (USIU-Africa)
premises last month.
The chain has continued its expansion with Meru, Thika, Athi River and Kiambu towns now in the pipeline.
The
Crystal Rivers Mall and Residences in Athi River, as well as Kiambu
Mall branches, are set to open before the festive season kicks in. The
coffee chain has also indicated it will open more outlets in Nairobi
estates.
Early last month, Java opened its 62nd outlet in USIU-A, Nairobi, signalling plans to diversify its locations.
Java’s
change in tack is in line with the firm’s strategy of “setting up a
restaurant where the customer is” and partnering with institutions
including hospitals that “desire quality coffee and food offerings.”
Java invests Sh50 million to set up a new branch, but capital injected into express branches are much lower.
“Java
house invests an average of Sh50 million per branch. The USIU-A branch
is a Java Express which has a lower investment level and a primary focus
on coffee and grab-and-go items,” said Java House chief executive Ken
Kuguru.
“Java House will continue to partner with
innovative and leading institutions looking to deliver world-class
offerings on coffee and food services.”
The USIU-A
outlet, which has been operational since October 11, will officially
open next month. The restaurant’s operations will also be aligned with
the university’s academic calendar.
Investment
in new shops is a strategy that Java’s new owners have committed to
pursue further, with plans to take the brand to new African countries in
the medium-term.
Dubai-based private equity firm Abraaj Group recently fully acquired the coffee chain,
buying stakes held by its founder Kevin Ashley and Washington-based
Emerging Capital Partners in a multi-billion shilling transaction
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