Trust Freddy
THE country’s changing economic landscape is increasingly visible in its property market, where high-end residential developments, shopping malls, hotels and commercial buildings are transforming urban centres and smaller towns, signalling growing investor confidence and the emergence of new sources of domestic wealth.
Estate Agents Council of Zimbabwe chairperson Mr Desire Dube said the spread of developments across the country demonstrated the growing depth of economic activity and the emergence of new markets.
“A lot of development is happening in Gwanda in commercial real estate. If you go to Maphisa, you know it is a rural area, but you will find four-storey new commercial buildings being built. In Zvishavane, small as the town is, it has three fast food outlets (set up by one company).
“That signifies a high level of economic activity,” he said.
Mr Dube said the entry of established retail brands into smaller towns, alongside the rapid expansion of fuel service stations, reflected growing consumer purchasing power and changing spending patterns.
From multimillion-dollar developments in Harare and Mt Hampden to modern commercial buildings in Gwanda, Maphisa, Zvishavane and Bindura, the construction boom is pointing to an expanding investment appetite beyond the country’s traditional economic centres.
The proliferation of shopping centres, international retail brands and fuel service stations is also reflecting increased demand for goods and services, with economists and property industry experts attributing the developments to improved economic activity, growing indigenous investment and greater confidence in the country’s long-term prospects.
The Zimbabwe Investment and Development Agency (ZIDA) recorded US$2 billion in real estate investment commitments in the first quarter of 2026 alone, while foreign direct investment increased to US$965 million in 2024, from US$597 million in 2023.
The property market’s performance is also reflected in the results of listed companies.
Eagle Real Estate Investment Trust (Eagle REIT) recorded a profit of US$213 936 in the first quarter of 2026, compared with US$17 828 during the same period last year, representing growth of approximately 1 100 percent.
Revenue increased by 144 percent to US$662 574, supported by the performance of Mazowe Walk Mall, which achieved 93 percent occupancy during its first operational quarter.
Harare continues to attract some of the country’s biggest property investments, including the expansion of Highland Park Precinct along ED Mnangagwa Road into a 200 000-square-metre mixed-use development.
Other landmark projects include the US$100 million Afreximbank Africa Trade Centre, Millennium Heights, the Mall of Zimbabwe, the 140-room Hilton Hotel and the proposed US$500 million smart city in Mt Hampden.
However, property industry players say the significance of the current construction wave extends beyond major urban centres, with smaller towns and previously underserved communities increasingly attracting commercial investment.
“Previously, there was no big furniture shop in Gwanda, but now it is there. You may dismiss it as small, but its clientele is middle to high-income.
“Service stations are mushrooming because vehicle movement and spending have increased,” he said.
Mr Dube attributed much of the investment to wealth generated through mining and agriculture, saying the growth of indigenous participation in the two sectors was creating new investors and expanding the domestic market.
“The mining and agricultural revolutions have resulted in more players — more local players. If you look at tobacco, the number of growers now compared to before the land reform programme, and the number of people in mining, some of the development comes from those proceeds. Government formalised artisanal miners and it is now bearing fruit,” he said.
The relationship between infrastructure development and private investment is particularly evident along the Harare-Mazowe-Bindura corridor, where road improvements are opening up opportunities for commercial and residential developments.
The Ministry of Transport and Infrastructural Development is upgrading sections of the highway into a dual carriageway, with sections beyond Christon Bank already opened to traffic to ease congestion and improve connectivity.
The improved road infrastructure is helping unlock investment in Mazowe, where Phase One of Mazowe Walk Shopping Mall has been completed, incorporating modern retail facilities, a top fuel station and landscaped surroundings.
Baradzanwa, a luxury resort, is also under development in the area, further illustrating the growing interest in tourism and hospitality investments outside major cities.
Economist Dr Michael Pasara said property investment was an important forward indicator of economic confidence because it involved substantial capital commitments based on expectations of future returns.
“Property investment signifies a significant increase in investor confidence. What we have observed is not only improved currency stability, but also economic growth,” he said.
Another Economist Mr Titus Mukove said the developments were strategic long-term investments rather than speculative ventures, with established businesses positioning themselves to benefit from Zimbabwe’s expanding economy and regional integration opportunities.
“The surge is a vote of confidence in the economy. These are long-term investments anchored by reputable brands that have done due diligence.
“The (Afreximbank’s) Africa Trade Centre will support intra-Africa trade under AfCFTA, while the Mall of Zimbabwe and Hilton (Hotel) will boost tourism and retail,” he said.
The emerging investment pattern is also visible in Bindura, where modern residential properties and high-end homes are increasingly becoming part of the town’s changing landscape.
Small-scale and artisanal miners are among those investing their earnings in permanent assets, with proceeds from mining increasingly finding their way into residential construction and improvements in living standards.
The developments illustrate how economic activity in primary sectors such as mining and agriculture can stimulate growth in construction, retail, hospitality and other service industries.
Economic researcher Mr Evans Kanomwe said the proliferation of service stations should also be considered in the context of expanding economic activity.
“While there has been public concern over the mushrooming of fuel service stations, high consumption of fuel directly translates to high economic activity.
“You find that within a radius of 100 metres there will be three service stations, and all will be running smoothly and making a profit,” he said.
The property boom is unfolding against a backdrop of improving economic growth projections.
Government and the International Monetary Fund have projected economic growth of around 5 percent this year, while the World Bank removed Zimbabwe from its Fragile and Conflict-Affected Situations list in July.
Mining analyst Mr Kundai Chidamba commended the Second Republic for prioritising mining infrastructure.
‘’Our Government has taken Infrastructure as a bellwether for potential economic growth. The Government is also encouraging the private sector to spend more on infrastructure to give themselves the best chance to succeed, while underinvestment restrains inclusive economic prosperity. Mining is directly impacted by infrastructure and the ability to move mine product, key equipment, materials, and goods from source to market,’’ he said.
Analysts say continued investment in mineral exploitation, including chrome operations in Kadoma, Chegutu, Mutorashanga and Mvurwi, as well as lithium development, could sustain demand for commercial and residential property.
They also point to investment in modern infrastructure, green developments and smart cities as important components of the country’s long-term economic transformation agenda under Vision 2030.
However, they caution that sustaining the investment momentum will depend on maintaining macroeconomic stability, improving the ease of doing business and ensuring that infrastructure development keeps pace with the growth of new commercial and residential centres.
Ultimately, the growing geographical spread of property investment suggests that Zimbabwe’s economic opportunities are increasingly extending beyond established business districts, with mining, agriculture and other productive sectors helping to create new pools of domestic investment capital.
