Umubano hotel up for sale

m_Umubano hotel up for sale

One of Rwanda’s oldest and famous hotels, Hotel Meridien Umubano will in three months be up for sale to investors, officials of SOPROTEL one of the hotel’s shareholders have revealed.

The move comes after several months of disagreements between the hotel management which has resulted to the liquidation of the enterprise, said Emmanuel Butare, the legal representative of Soprotel Company during a press briefing on February 13, 2014.

The Libyan government owns 60 percent of the shares in the hotel and the government of Rwanda has been in court with the owners of the hotel on grounds that the Libyan government has not fulfilled its obligation of renovating the hotel, now ten years down the line.

After the death of Libyan leader Muahmah Gaddafi, the government of Rwanda has previously had to sell of the hotel shares to other companies under the same circumstances of failure to manage and upgrade the hotel to the required standards.

Butare says that the next process is to value the hotel property and come up with an exact price tag for the hotel so that it is sold to the public, with 60 percent of the Libyian shares to be refunded therein.

After the dissolution and sell of all shares, the bidding will be open to all parties including Rwanda and the Libyan government, and the bidding dates will be announced soon, according to Butare.

In the meantime, the hotel operations will continue normally and in the due course of evaluating the cost of the property, the hotel administration has been asked to clear all its standing debts and loans with its business partners.

Hotel Meridien Umubano was inaugurated in 1979..

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Olive Ndaka is the Junior Editor for RwandaEye. An investor and young entrepreneur, she is a quick learner and has contributed many articles for RwandaEye in Kinyarwanda.

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