adminInnocent Ruwende Senior Reporter
Harare City Council has approved a proposal by CBZ Holdings to develop an $11 million state-of-the-art mall in Graniteside to cater for small to medium enterprises (SMEs) and vendors on a build, operate and transfer (BOT) basis. CBZ will also build bus terminus infrastructure at the corner of Seke and Dieppe roads at a cost of $11 388 300.
According to minutes of the recent Joint Finance, Development and Environment Management Committee, council also approved the sale of one hectare of land at corner Dieppe and Seke roads for the construction of a service centre.
“The committee resolved to recommend that council authorises CBZ Holdings to manage the project and collect revenue on behalf of City of Harare to maximise revenue collection,” reads the minutes.
“That it be noted that CBZ Holdings indicated it is prioritising construction of market infrastructure at corner Dieppe Road and Seke roads before embarking on development of Glen View 8 Home industry.”
According to the arrangement, CBZ will factor in 30 percent mark-up, that is $3 416 490, to the total cost of the project.
Acting town clerk Engineer Hosiah Chisango told councillors that they expected monthly revenue inflows of $182 804 basing on current tariff charges and anchor tenants for supermarkets have already been identified such as Pick n Pay or OK Zimbabwe, who have both expressed interest.
“Provision for a service centre was critical in that the SMEs centre would then be a complete one-stop-shop and people would therefore not be required to either go into the CBD or anywhere else for any other services,” he said.
Housing and Social Development director Mr Edmore Nhekairo further advised that during the 25-year life of the agreement, CBZ would retain 80 percent of the revenue collected to service the loan, while 20 percent will be channelled towards the city’s revenue.
According to the minutes, the works will comprise 300 wholesale fruit and vegetable stalls, 320 farmers’ market stalls, 465 fleamarket stalls, 100 overnight cloakrooms, 165 electrical and hardware stalls and 370 parking bays.
It will also include 280 clothing bale stalls, 165 electrical and hardware shops and a service centre.
The bus terminus will accommodate 120 long distance buses and 150 commuter omnibuses.
The development will enable HCC to manage vendors, as well as de-congest Mbare Musika, Mbare Bus Terminus and Harare’s central business district.
Council authorised the two partners to sign a Memorandum of Agreement before development commences.
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