adminTHE National Social Security Authority (NSSA) is pushing ahead with plans to construct the $12 million Chipinge commercial centre despite concerns from some quarters that the selected area may not be viable for a shopping mall.
The national pension scheme, which has been in the headlines for making risky investments particularly in the financial services sector, is currently inviting tenders for contractors that will build the shopping mall.
According to General Notice 307 of 2014 of the Government Gazette published on August 29, a site visit has been arranged for September 11, 2014. Reads part of the tender:
“Bidders must be currently Category “A” contractors in the CIFOZ, ZBCA or Local Government Registers and must attach proof . . . Bidders must be registered companies contributing to NSSA Pension Schemes and must attach a current NSSA contribution clearance letter obtained from any NSSA Regional Manager’s Office nearest to you . . . the closing date is 7th October, 2014.”
The Chipinge project was part of a 10-year development plan undertaken by NSSA. But NSSA has had to set aside the construction of a $15 million 12 storey building which would be a combination of offices and a shopping complex to replace the demolished Ximex Mall after general manager James Matiza claimed they did not have adequate funds. Currently a temporary car park is being set up where the Ximell Mall stood.
Observers says the plans to construct a commercial centre in such an outlying area such as Chipinge could be risky business as the country is facing a critical liquidity crunch and people have no disposable incomes.
An investigation by BH24 around Harare’s CBD show poor uptake of office space.
“The significant increase in portfolio voids is a result of business failures due to viability problems,” said one property analyst.
NSSA could be better off investing in critical productive sectors of the economy, which they have been doing, but perhaps not enough. – BH24
Online Reporter