News / National
Chiyangwa in Masvingo land wrangle
30 May 2019 at 07:52hrs | Views
THE Masvingo City Council has repossessed a 1,9 hectare piece of land from Harare businessman and Zvimba South legislator Philip Chiyangwa after he allegedly violated terms of the agreement by failing to build a proposed hotel within 18 months.
Chiyangwa, through his Pinnacle Properties company, bought the commercial stand in 2008 for ZW$150 billion.
The matter has, however, since spilled into the High Court after Chiyangwa challenged the repossession of the land.
According to the agreement of sale, seen by NewsDay, Chiyangwa was supposed to build a hotel in an 18-month period failure which the local authority would give him 10% of his purchase price and repossess the land.
A recent full council meeting resolved that council repossesses the land because Chiyangwa had failed to honour the agreement.
Sources at the local authority said they feared Chiyangwa was holding onto the land for speculative purposes and could resell it, prejudicing council of thousands of dollars after he bought it during the hyper-inflationary era.
They said he had reneged on the agreement of sale conditions and, thus, the council saw it fit to repossess the land.
Masvingo mayor, Collen Maboke, a lawyer by profession, refused to comment on the matter, saying it was sub judice.
He, however, said council was re-evaluating the cost of the commercial stand.
But the flamboyant businessman, who has other land he is developing in Harare, has since challenged the move.
The case is set to be heard at a later date.
Chiyangwa, through his Pinnacle Properties company, bought the commercial stand in 2008 for ZW$150 billion.
The matter has, however, since spilled into the High Court after Chiyangwa challenged the repossession of the land.
According to the agreement of sale, seen by NewsDay, Chiyangwa was supposed to build a hotel in an 18-month period failure which the local authority would give him 10% of his purchase price and repossess the land.
A recent full council meeting resolved that council repossesses the land because Chiyangwa had failed to honour the agreement.
Sources at the local authority said they feared Chiyangwa was holding onto the land for speculative purposes and could resell it, prejudicing council of thousands of dollars after he bought it during the hyper-inflationary era.
They said he had reneged on the agreement of sale conditions and, thus, the council saw it fit to repossess the land.
Masvingo mayor, Collen Maboke, a lawyer by profession, refused to comment on the matter, saying it was sub judice.
He, however, said council was re-evaluating the cost of the commercial stand.
But the flamboyant businessman, who has other land he is developing in Harare, has since challenged the move.
The case is set to be heard at a later date.
Source - newsday
