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SA Firm City Lodge to Build Sh2bn Hotel in Nairobi

The 170-room City Lodge Hotel will be situated within Two Rivers Mall on Limuru Road.

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City Lodge Hotel Nairobi
An impression of the City Lodge Hotel. PHOTO | FILE

City Lodge Hotel Group, a Johannesburg Stock Exchange-listed hotel company, has announced plans to build a Sh2 billion hotel at Centum’s Two Rivers development in Runda, Nairobi.

The 170-room City Lodge Hotel, whose groundbreaking is set for January, will be located within Two Rivers, a mixed-use development under construction in Runda.

City Lodge Hotel Group, which owns Fairview Hotel, has acquired land for the hotel on a 99-year lease basis and will design, develop and operate the facility that is due for completion in October 2016.

“This will be the first time that we are developing a green-field hotel in the region, also illustrating our optimism about the prospects for the Two Rivers development and the high profile status and draw-card potential it will have in Nairobi,” said CEO Clifford Ross.

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The Two Rivers Mall is part of a Sh17 billion mixed-use real estate development that is being undertaken by Centum on a parcel of land that was acquired from the Koinange family in a transaction estimated to be at least Sh1 billion.

The Two Rivers development, once completed, will comprise 850,000 square metres of medium-density residential homes, a five-star hotel, office blocks and a shopping centre.

Runda has recently attracted deep-pocketed investors seeking to establish high-end hotels and restaurants catering for business travellers.

Former attorney-general Charles Njonjo is reportedly planning to build a Sh1 billion hotel and retail centre in Runda. The proposed facility, which will be adjacent to Mae Ridge homes, will include a 200-bed hotel, a retail centre and an office block.

Hellen Ndaiga, a graduate of Daystar University with a degree in Communications, is an accomplished reporter experienced in covering construction news. She offers a unique perspective to our coverage.