Kenya Railways courts investors

May 5, 2009
Shares

, NAIROBI, Kenya, May 5 – Potential investors for the proposed golf city in Nairobi are being advised to make contingency bids for the contentious 65 acre plot on the railway golf course awaiting the outcome of a pending court case.

Speaking during a Bidders Conference in Nairobi, Kenya Railways Managing Director, Nduva Muli said the bid will allow investors to carry on with development, should the land be awarded to Kenya Railways Corporation.

“The contingent bid is in place so that if Kenya Railways is unsuccessful the bid will fall away and the winning bidder can continue with other aspects of development,” Mr Muli said.

“However, should Kenya Railways be successful, the developer will have to make good their bid and also develop that land,” he added.

The land in question within the Central Business District stretches from the Coca Cola National Stadium to the Haille Selassie roundabout and hosts the nine-hole Railways Golf Course.

Kenya Railways Corporation is tied in a legal tussle with members of the Kenya Railways Golf Club (KRGC) who went to court claiming the property, which is estimated to be worth Sh13 billion, belonged to them.

“With the prolonged nature of the case, we decided to take out the plot from the equation so that we could concentrate on the other two parcels of land that had no issue,” Mr Muli clarified.

The corporation also said the project had attracted a good number of bidders.

He said: “We’ve received a lot of interest for this project with over 44 different bidders both locally and internationally with countries like South Africa, china and the U.S showing keen interest.”

The investor who wins the tender, either a local or international investor, would be required to put up a five-star hotel with 100 rooms, a four-star hotel with 600 rooms, numerous cottages, a nine-hole golf course, a golf club house, a modern gym, a shopping complex, lots of parking space and the first IMAX theatre in Africa.

The Golf City is expected to be inter-linked with the Jomo Kenyatta International Airport and the rest of the City with a new metropolitan railway line. According to the development timetable, the investor must commence work one year after winning the tender and the project must be completed within six years. The lease will span a period of 60 years.

Shares

Latest Articles

Stock Market

Most Viewed