News / National
NSSA finds investor for Beitbridge hotel
17 Sep 2018 at 06:52hrs | Views
THE National Social Security Authority (NSSA) is finalising an agreement with a leading hotel company that will see its closed Beitbridge hotel facility being re-opened.
The proposed venture is likely to result in a new mixed business model covering accommodation, casino, tertiary education and serviced apartments, close sources say.
The 136 room state-of the art facility was built at a cost of $39 million and was formerly leased by the Rainbow Tourism Group (RTG) before it shut down operations in May 2016 following two years of successive losses.
Our Beitbridge Bureau is reliably informed that the new investor is made up of a mixture of local and regional experts in the hotel industry. NSSA acting chief executive officer, Mr Emerson Mungwariri, said yesterday that it was premature to release the name of the new company.
"We are currently negotiating with a Zimbabwean hotel management company intending to run the hotel on a franchise under a nine-year lease agreement," he said.
"An offer was extended, subject to the potential tenant meeting certain leasing conditions such as proof of project capital for running the hotel business. The potential tenant and its financiers are in the process of carrying out a due diligence assessment on the project, which is expected to satisfy funding requirements," Mr Mungwariri said.
The proposed venture is likely to result in a new mixed business model covering accommodation, casino, tertiary education and serviced apartments, close sources say.
The 136 room state-of the art facility was built at a cost of $39 million and was formerly leased by the Rainbow Tourism Group (RTG) before it shut down operations in May 2016 following two years of successive losses.
Our Beitbridge Bureau is reliably informed that the new investor is made up of a mixture of local and regional experts in the hotel industry. NSSA acting chief executive officer, Mr Emerson Mungwariri, said yesterday that it was premature to release the name of the new company.
"We are currently negotiating with a Zimbabwean hotel management company intending to run the hotel on a franchise under a nine-year lease agreement," he said.
"An offer was extended, subject to the potential tenant meeting certain leasing conditions such as proof of project capital for running the hotel business. The potential tenant and its financiers are in the process of carrying out a due diligence assessment on the project, which is expected to satisfy funding requirements," Mr Mungwariri said.
Source - chronicle
