Old Mutual reverses rent hike

Herald Reporter
Old Mutual yesterday reportedly scraped its proposed 30 percent rental increment and the six month advance payment requirement for tenants leasing the firm’s properties.
In a statement yesterday, Zimbabwe Indigenous Economic Empowerment Organisation president Mr Paddington Japajapa said Old Mutual had made concessions on rentals.
“Old Mutual had increased rentals by more than 30 percent on the current charges and we have since asked them to suspend the increases with immediate effect, which Old Mutual has accepted.
“Our investigations from previous occupiers of shops and offices belonging to Old Mutual have revealed that they were complaining about exorbitant rentals, payment of rentals and deposits six months in advance and non availability of customers in places for away from city centres, like High Glen, Nkulumane, Sakubva and Westgate.”
Mr Japajapa conceded that Old Mutual’s rentals were generally affordable but sub-letting had seen monthly billing going up.
“Another development was that Old Mutual will not renew licenses belonging to foreigners occupying  their shops and offices,  as this is against the Indigenisation and Economic Empowerment Act (Chapter 14:33, Third Schedule, Section 21) of the General Regulations.
“This stipulates that 14 economic sectors — retail included, are reserved against foreign investments,” he said.
l  (See Page B1 for Old Mutual’s view)