Property upgrades transforming Bulawayo's economy

BULAWAYO is experiencing growth in corporates and property owners who are renovating old business premises and opening new facilities in a bid to align their operations with the latest business trends.

The city has recently recorded an increase in new business ventures being opened ranging from fast-food outlets, clothing retailers, agriculture and hardware suppliers, grocery shops and technology service providers who now occupy some of the disused properties.

One of the new business entities recently opened in the city is a fast-food outlet and a bakery trading under the name ‘Chef on Call', which saw  renovation of old premises. Its owner Mr Felix Gwenhure said he chose to open a new business in Bulawayo to contribute to the economic growth.

"I chose to do business in Bulawayo to promote its growth through employment creation as well as contributing to economic growth," he said.
"We have 30 people employed and I'm hoping that if things go well, we want to diversify into both livestock and crop farming, which will supply our butcheries and our fast-food outlets."

Other business entities that have recently expanded their footprint by opening new branches include Power Sales, Fleak Hardware, Halsteds and TV Sales and Home, to mention a few.

With the ballooning of small to medium-scale enterprises (SMEs) in the city, has necessitated the demand for proper working space and warehouses.

However, most SMEs cannot occupy large offices and warehouses. This has compelled some property owners to partition their premises into sizeable apartments that accommodate several small businesses and the model seems to be working perfectly well.

Central Business District

Business analysts view this as a progressive move for the City of Bulawayo, which suffered de-industrialisation in the past years, which saw many offices space in the Central Business District lying idle while several companies also closed.

In an interview City of Bulawayo's economic development officer, Mr Kholisani Moyo said the ongoing property upgrades were critical in transforming the city and enhancing its productivity. He said the trend also buttresses Bulawayo's drive towards a smart city status by 2024.

"The renovation of old premises brings a new look to the city and as a council, we are anticipating an increase in the city's Gross Domestic Product,'' said Mr Moyo.

"This helps the city move towards the attainment of its vision of becoming a smart transformative city by the year 2024. We are on the right track of achieving the national vision of becoming an upper-middle economy by 2030."

Commenting, Bulawayo-based economist, Mr Morris Mpala, said the expansion of businesses is a sign that entrepreneurship is thriving. He said people are identifying gaps and offering solutions to the market by putting their capital at risk for a good return on their investments.

"Opening of new businesses augurs well for real estate owners and managers. It is creating employment in the city and bringing much-needed business," he said.

"It's also good for the city as it boosts commerce and income to local authorities.

The mere sign of shops opening up is a good omen and we hope these shops have more local products so that we don't import jobs these companies need a very conducive environment to sustain their operations in the long term."

According to ZimStats, Bulawayo's GDP in 2020 was $155 billion with wholesale and retail trade contributing 30,5 percent and manufacturing contributing 21, 7 percent, finance and insurance contributing 9,4 percent, information and communication adding 6,9 percent and construction with 4,5 percent.