ZIMSUN Leisure Group’s ongoing regional expansion initiative has resulted in two joint venture and management contracts currently being negotiated in West and southern Africa.
The West African property, which has 130 rooms will be internationally branded and is expected to begin operations by the first quarter of 2005.
On the other hand the 120-roomed southern African property is set to open during the last quarter of 2005. This property will also be internationally branded.
These contracts have been negotiated to run on a 20-year management contract and lease basis. Finance for these initiatives has been sourced through the regional financial partners rather than locally, and the security is from the individual properties.
Other regional initiatives are still being pursued and applications have been lodged with the relevant authorities in different locations and further announcements will be made in due course. When the new management took over the running of the Zimsun Leisure group over a year ago, they set out to accomplish three major objectives which they have successfully achieved. The first objective was to restructure the hotel’s operations to ensure profitability of the group. Within a year the fortunes of the group were turned from a loss situation to the group being a profitable entity within its first year of operation.