daniel chigunwe
Oliver Kazunga
THE Central Mechanical Equipment Department (Private) Limited is seeking strategic investors under a Public-Private Partnership (PPP) for the development of a US$14,5 million hotel with a three-star rating in Kariba.
CMED, a parastatal under the purview of the Ministry of Transport and Infrastructural Development owns 4,8-hectare piece of prime land in the resort.
In its latest World Tourism Market investment prospectus, the Zimbabwe Investment and Development Agency (ZIDA) said CMED was in the process of conducting a feasibility study for the proposed project.
“CMED, a Government-owned parastatal is looking for investors to provide US$14,5 million for the construction of a three-star hotel and conference centre in the resort town of Kariba.
“CMED owns a 4,8-hectare of prime land and overlooking the Lake Kariba and is looking for an investor who will provide funding for the construction of the hotel under a PPP arrangement,” said the agency.
The proposed hotel has the following specifications: 116 standard rooms, three executive suites, two diplomatic suites, one presidential suite, lakeside bars, two restaurants, a 300 pax conference room, VVIP lounge and a business centre as well as other supporting amenities.
It is hoped that the US$14,5 million investment in debt and/or equity will finance pre-construction costs amounting to US$74 000.
“These include the cost of feasibility assessments, acquisition of permits and other legal requirements — the hotel construction costs amounting to US$13,3 million and this covers site preparation, acquisition of materials, supplies, labour and equipment cost, among others as well as contingency cost and reserves amounting to US$1,2 million,” said ZIDA.
It said the value proposition for the investment was on the back is “serious” shortage of accommodation and conference facilities in Kariba which has stunted growth of tourism in the town.
“There is serious shortage of accommodation and conference facilities in Kariba whose scenic beauty, situated on the shores of Lake Kariba and surrounded by pristine wilderness filled with wildlife, makes it an attractive destination for leisure travelers, adventure seekers, and nature enthusiasts,” said ZIDA.
Bongani Ndlovu