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since 2009
Monday, November 2, 2026

Tanzania Africa

Arusha City Centre Rebuild Costs US$24M

By · November 2, 2026 · 5 min read
Arusha city centre seen from above with Mount Meru rising behind it under a cloudy blue sky
File photo. Arusha city with Mount Meru behind it, northern Tanzania. Photo: Halidtz / Wikimedia Commons (CC BY-SA 4.0).
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TANZANIA · ARUSHA

Key Facts

  • —The country Tanzania, in East Africa, is led by President Samia Suluhu Hassan.
  • —What happened The National Housing Corporation said on 1 November it will rebuild part of Arusha city centre.
  • —The cost The project is worth Sh64.5 billion (about US$24.4 million), with construction costing Sh24.5 billion (US$9.3 million).
  • —The timeline Building takes 18 months once work starts; no start date has been given.
  • —The football The Africa Cup of Nations opens on Saturday 19 June 2027, with Arusha among Tanzania’s host cities.

Tanzania’s state housing company plans a Sh64.5 billion (about US$24.4 million) rebuild of Arusha city centre, the safari gateway of the north. The National Housing Corporation (NHC) said on Sunday 1 November that building will take 18 months.

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Many American visitors begin their Serengeti trips in Arusha, which will also host matches at the Africa Cup of Nations in 2027. Our fan guide to the tournament explains the schedule and the three host countries.

In Plain English, Who Is Who

The National Housing Corporation (NHC) is Tanzania’s state-owned property company, which owns and rents out buildings across the country. Yahya Charahani is its information and public relations manager, and Nistas Mvungi runs its Arusha region office.

The Africa Cup of Nations (AFCON) is the continent’s top national-team football tournament, organised by the Confederation of African Football (CAF). The 2027 edition is the first shared by three countries, Kenya, Tanzania and Uganda.

What the Arusha City Centre Project Includes

The project, called Sokoine Square, will replace old NHC buildings on Masai, Swahili, Azimio and Sokoine streets with multi-storey blocks of shops and homes. Charahani said the blocks follow the city’s new master plan, which bars buildings under six storeys in the Arusha city centre.

The corporation said the rebuilt site will hold 350 units, 250 commercial and 100 residential, up from 43 tenants before. It expects its yearly income from the site to rise from Sh266 million (about US$101,000) to Sh4.8 billion (about US$1.8 million).

Construction will cost an estimated Sh24.5 billion (about US$9.3 million), while the total project value is Sh64.5 billion (about US$24.4 million). The corporation did not say what makes up the difference between the two figures.

Two-storey shopfronts and parked cars along a quiet street in central Arusha under a cloudy sky
File photo, March 2019. A street of low-rise shops in central Arusha. Photo: Roman Boed / Wikimedia Commons (CC BY 2.0).

What Happens to the Old Tenants

The 43 earlier tenants have already left the Arusha city centre buildings. The corporation said it gave the legal 30 days’ notice and then 90 more days, though tenants had asked for 180.

Mvungi said all former tenants will get priority when the new spaces open, and can inspect the approved designs first. The corporation said it is still talking to tenant representatives about whether they will return under the new rents.

Why the Africa Cup of Nations Matters Here

CAF set the opening match for Saturday 19 June 2027 and the final for Saturday 17 July 2027. Arusha is one of Tanzania’s host cities, and it is getting a new stadium for the tournament.

The corporation said it wants the shop section finished as early as possible so businesses can profit from tournament crowds. Our Arusha events guide and Tanzania country guide cover the city in more detail.

What It Means for US Readers

Americans heading to northern Tanzania usually pass through Arusha, so its centre will look different by the 2027 safari season. Expect building sites near the affected streets, and check hotel and tour operator advice before you book.

The Arusha city centre rebuild also shows where Tanzania expects football visitors to spend money, which matters to investors in property and tourism. Foreign buyers can read our guide to living in Tanzania and our explainer on who holds power.

What Is Not Known

The corporation has given no start date for construction. Eighteen months from a start in the coming months would run past the July 2027 final, so which parts open in time is not stated.

The corporation did not say who the contractor is or how the project is financed. It also did not say what rents the new shops and flats will charge.

Frequently Asked Questions

What is the Sokoine Square project in Arusha?

It is a rebuild of old National Housing Corporation buildings on four central streets into multi-storey shops and flats. The corporation values it at Sh64.5 billion (about US$24.4 million).

Is the Tanzanian government paying for the Arusha rebuild?

The corporation, which is state-owned, announced the plan and its costs. It did not say how the project is financed.

When will the Arusha rebuild be finished?

The corporation says construction takes 18 months once work starts, with no start date given. It wants the shop section ready as early as possible for the 2027 tournament.

When is the Africa Cup of Nations 2027?

CAF has set the opening match for Saturday 19 June 2027 and the final for Saturday 17 July 2027. Kenya, Tanzania and Uganda share hosting.

Does this affect tourists visiting Arusha?

Visitors may see building work in the city centre in 2027. Safari trips to the Serengeti and Ngorongoro start from Arusha.

Sources: National Housing Corporation (NHC) of Tanzania: statements by Yahya Charahani (1 November 2026) and Nistas Mvungi (20 October 2026) on the Sokoine Square redevelopment, 1 November 2026; Confederation of African Football (CAF): announcement of kick-off and final dates, TotalEnergies CAF Africa Cup of Nations PAMOJA 2027, 2 May 2026.


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