KCB Set to Relocate Regional Headquarters

For the first time in 35 years KCB will relocate its head office to a new regional headquarters in the expanding Upper Hill commercial district.
The move, which is set for mid-2013 will take place once the ultra-modern complex currently under construction is complete. Kencom House was officially opened on Wednesday 7th December, 1977 by the first President of the Republic of Kenya, the Late Mzee Jomo Kenyatta.
Speaking during the official unveiling of a commemorative plaque, the KCB Group Chairman, Peter W. Muthoka said the significance of the KSh2.1 billion-worth building was not only underpinned by the magnitude of its cost, but by the fact that it is an outstanding symbol of the selfless toil of generations of committed KCB Group Staff who have worked for the bank over the years.
“This building represents the crystallization of the concerted efforts of a great workforce that has seen this bank grow to be largest bank in the East African region, with an asset base Kshs.331 billion,” said the KCB Group Chairman.
The new Head Office presents a number of milestones for the group. KCB is the first bank to invest, through its Pension Schemes, in a ‘Green Building’ with a focus on environmental sustainability and achieving building management operational cost savings.
KCB Group Chairman said that the timing of the move to the new head office was key to realigning the bank’s operations with its robust growth.
“To date we have more than 2 million customers and we expect this figure to rise as our branch and regional expansion program proceeds,” said Muthoka.
Muthoka added that the relocation would also free up space at Kencom to be rented out for additional income for the KCB Pension Schemes. In addition, the relocation will provide easier access for customers and present a better working environment for staff. The Group currently runs two pension schemes; a defined benefit scheme and the other a defined contribution scheme. The two KCB schemes are cumulatively valued at KShs 12.8 billion, the largest in terms of value in Kenya.
“This is a prudent operational move; our corporate customers were experiencing shortage of parking space. The complex will have 450 parking slots that will alleviate this challenge,” he said.
KCB Group will be the anchor tenant and will rent the entire floor space of the KCB Pensions Fund-owned building upon its completion, thus guaranteeing a consistent rental income for the 4,000 pensioners.
The project is part of a number of residential and commercial properties that the pension schemes have recently invested in order to generate returns that will sustain the growing number of retirees.
Muthoka has served as Chairman of the Group Board for the last six years during which he steered the firm to post the highest profitability in the history of Kenya’s banking industry.
“Trustees of the two pension funds will continue to review investment opportunities in market with a view of optimising members’ returns,” said Muthoka.