According to Knight Frank, demand for modern storage space across the African continent is experiencing strong growth. The occupancy rate of logistics warehouses reached 83% in the first half of 2025, a significant increase compared to 75% recorded the previous year. This growth is primarily driven by high-quality warehouses equipped for complex operations.
Several key factors explain this trend:
The rise of e-commerce: The rapid expansion of the e-commerce market, particularly in Nigeria (estimated at USD 8.5 billion in 2025) and South Africa (potentially USD 75 billion by 2033), is creating a strong demand for storage and distribution infrastructure, including cold storage facilities and hubs connected to delivery networks.
Agro-industrial development: The push to locally process agricultural products, supported by institutions such as the African Development Bank, is also fueling demand for specialized storage and logistics solutions. Projects like the agro-industrial processing zones in Nigeria are a notable example.
Self-sufficiency efforts: Strategic initiatives in the energy sector, such as the expansion of the Dangote refinery, illustrate the ambition to reduce reliance on imports. These projects are generating new regional trade flows and increasing the need for depots and specialized logistics.
While South Africa, Egypt, and Nigeria remain the continent’s main logistics hubs, new markets are rapidly emerging. Countries such as Kenya, Ethiopia, Ghana, Zambia, and Tunisia are developing new clusters, confirming the growing importance of logistics real estate within regional and continental value chains.
