Tanzania Attracts USD 56 Mn Worth Of Spanish Investment In New Deal

A Spanish hotel chain, RIU Hotels & Resorts has expanded its portfolio in Tanzania after acquiring a new hotel in Tanzania at an investment worth USD 56 Mn.

The hotel will be an addition to the already existing Riu Palace Zanzibar which was purchased from the Emerald Hotel Chain.

It will be located on the main island of the Zanzibar at Nungwi beach area and will be marketed as part of the RIU palace brand, the already existing hotel.

The hotel chain is also planning a third hotel on the Zanzibar island and it has completed the acquisition of five hectares of land meant for its construction.

This move reflects the chain’s rapid expansion in the African market, It recently purchased a 25-hectare site in the Pointe Sarène area on the west coast to build at least two new hotels.

The company has highly invested in the Indian Ocean with various resorts in Mauritius and Sri Lanka. In total, it has 93 hotels in 19 countries while in Africa, it has five hotels in Cape Verde, two in Tanzania, in addition to the five in Morocco. 

According to a report by Global Property Guide, Tanzania is experiencing large scale investment and development in real estate projects for residential, industrial and commercial purposes.

In March 2018, Zanzibar offshore property market was opened to foreigners allowing non-Tanzanian residents to invest in property.

Individuals are also allowed to buy property within the luxury community on 99-year leases with the option to extend ownership by 49 years.

Featured Image Courtesy :www.thezhotel.com