Kasada, an independent hospitality investment platform, in agreement with the government of Rwanda, has acquired Umubano Hotel.
The Kasada hotels are operated under the banner of Accor's wide range of internationally renowned brands, with investments dedicated in Sub-Saharan Africa.
Umubano hotel, located in Kacyiru, Rwanda, will be rebranded and redeveloped into a 100-key Mövenpick hotel in accordance with international standards, set to open in 2025.
The Mövenpick hotel brand is represented in more than 30 countries in Asia, Europe, Africa and the Middle East.
Clare Akamanzi, CEO of Rwanda Development Board, said in a statement: "We are pleased to attract the largest hospitality platform to Kigali to rejuvenate this hotel with its long and storied history.
She added that Kasada, backed by Qatar Investment Authority, stood out with its combination of sector expertise, financial scale, and design proposal.
"We look forward to supporting them in the re-development of this iconic asset."
In August 2020, RDB announced the sale of Umubano Hotel, as part of the government's plan to divest state-owned assets and companies to the private sector.
Although Kasada intends to retain the flagship architectural aspects of the hotel, the renovation programme will ensure the building meets the highest international hospitality and ESG standards (EDGE and Safehotels certification).
Olivier Granet, CEO and Managing Partner, Kasada, said in the statement that they consider Rwanda to be among the most promising for investments as a fast-growing international destination.
"This is an ambitious and exciting project to transform this unique place into a landmark, perfectly connected to the local environment, for the benefit of international visitors while becoming the 'place to be' for local residents," he noted.
David Damiba, Kasada's Managing Partner and Chief Investment Officer, said Kasada is looking forward to deploy its capital and financial expertise to contribute to the Foreign Direct Investments flows in Rwanda.
"This transaction exemplifies Kasada's ability to transact with private and sovereign owners across the continent."
The rebranding of the hotel into a Mövenpick hotel, with the addition of health and spa facilities and co-working spaces, is anticipated to create a unique and iconic destination in Kigali for both international and domestic guests.
Sign up for free AllAfrica Newsletters
Get the latest in African news delivered straight to your inbox
Prior the announcement to sell Umubano hotel by RDB in 2020, the hotel had been acquired by Madhvani Group at a tune of $13 million (about Rwf11 billion) in April 2017 after years of liquidation.
It's not publicly clear when and why Madhvani Group, a Ugandan-based conglomerate, exited Umubano but the main issue even with previous investors, has always been failure to make the requisite investment to expand the hotel.
The hotel has been in the hands of several other investors, including the Libyan government-affiliated LAP Investments which operated it under Laico Hotels brand before the announcement to put it on sale in 2011.
It has also previously been managed by global hotel brands including Novotel, Meridian and Accord.
