via Jere seeks $140m for Hilton Hotel project – DailyNews Live by Kudzai Chawafambira
Reality firm Stream Walk Recreational Arcade (Stream Walk) plans to raise $140 million to finance construction of its Hilton Hotel in Harare (Hilton).
The group, led by logistics tycoon Farai Jere, is in partnership with international hotelier Hilton World Wide to build the multi-million dollar “mixed-use” property in the prime Eastlea area.
Yesterday, he unveiled the ambitious project’s “bankable document” to key stakeholders, which is key in securing the funding.
“Although we cannot disclose our prospective financiers, many locals and foreigners have approached us,” Jere said.
Jere said the project was scheduled for completion by January 2014 with construction due to begin within the next seven months.
“The value of a project of this nature is obviously high but we are confident of raising the funds,” the businessman said, adding that “remember there is a development fee which I am entitled to convert into equity. The value of our land is high, so it is easy to raise the money required for this project.”
The 96 000-square metre property — to run under the internationally-acclaimed Hilton brand — will comprise a five-star 200-room hotel, residential apartments, office blocks and world class retail centres.
Under the partnership, the Zimbabwean-registered Stream Walk is the developer while Hilton will provide management services for the leisure facility and further investment.
International firm AECOM has been appointed as project consultant carrying out quantity surveying and management services while Stauch Voster is handling architectural and other design works for the mega development.
Located at the East 24 area, the hotel will have access to key amenities such as the stone throw away Chapman Golf Course.
The project has not only attracted the interest of several local and international investors, but is also to be built in an area once targeted by other established tourism industry players, including Meikles.
And with the country’s tourism sector on a rebound, the facility is also expected to bring the much-needed relief to Harare in the form of extra beds and at a time the key industry is battling for capacity.
Apart from conferencing and hotel facilities, the upscale development also includes a fitness centre, food court, a night club and other social amenities.
The rise of the Hilton Hotel also comes at a time when a number of competing commercial brands have unveiled plans for other property developments in the capital, including Ken Sharpe’s $100 million Mall of Zimbabwe project.