Tourism Sector Projects
ESTABLISHMENT OF INTEGRATED CABLE CAR RESORT ON MOUNT MULANJE - Public Private Project
Promoter
The Principal Secretary, Department Of Tourism, Private Bag 326, Lilongwe 3
Tel: +265 (0) 1 775 499 • Fax: +265 (0) 1 770 650
Project Location
Mount Mulanje in Zomba.
Project Description
The Mulanje Massif, also known as Mount Mulanje, is a large monadnock in southern Malawi only 94 km east of Blantyre, rising sharply from the surrounding plains of Chiradzulu, and the tea growing Mulanje district. It mea¬sures approximately 13x16 miles (22x26 kilometres) and has a maximum elevation of 3,002 metres at its highest point, Sapitwa Peak. The Massif is popular for hiking and climbing, and has several mountain huts scattered across it which are maintained by the Malawi Mountain Club and the Malawi Forestry Department. Sapitwa peak was first climbed in 1894, and is now the most popular climb on the plateau. In 2014 the site was nominated for World Heritage Status.
The project proposes development of a world-class tourism destination based on fantasy and adventure. Underpinned by a Cable Car facility, the project will include luge & skyride, Segway fun rides, health spa and wellness centre, living museum story-telling, eco-lodge, eco-adventure activities and a variety of themed restaurants. Nearby tea and coffee plantations are additions to the development.
Current Status/ Stage of Project
Non-operational
Actions Required/ Implementation Arrangements/ Contract Type
The project invites promoters to undertake the project under a public-private framework.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
Feasibility study will be undertaken by interested partner
Estimated Cost of the Project
Project is estimated at US$150 million (estimate based on similar projects elsewhere)
The Principal Secretary, Department Of Tourism, Private Bag 326, Lilongwe 3
Tel: +265 (0) 1 775 499 • Fax: +265 (0) 1 770 650
Project Location
Mount Mulanje in Zomba.
Project Description
The Mulanje Massif, also known as Mount Mulanje, is a large monadnock in southern Malawi only 94 km east of Blantyre, rising sharply from the surrounding plains of Chiradzulu, and the tea growing Mulanje district. It mea¬sures approximately 13x16 miles (22x26 kilometres) and has a maximum elevation of 3,002 metres at its highest point, Sapitwa Peak. The Massif is popular for hiking and climbing, and has several mountain huts scattered across it which are maintained by the Malawi Mountain Club and the Malawi Forestry Department. Sapitwa peak was first climbed in 1894, and is now the most popular climb on the plateau. In 2014 the site was nominated for World Heritage Status.
The project proposes development of a world-class tourism destination based on fantasy and adventure. Underpinned by a Cable Car facility, the project will include luge & skyride, Segway fun rides, health spa and wellness centre, living museum story-telling, eco-lodge, eco-adventure activities and a variety of themed restaurants. Nearby tea and coffee plantations are additions to the development.
Current Status/ Stage of Project
Non-operational
Actions Required/ Implementation Arrangements/ Contract Type
The project invites promoters to undertake the project under a public-private framework.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
Feasibility study will be undertaken by interested partner
Estimated Cost of the Project
Project is estimated at US$150 million (estimate based on similar projects elsewhere)
CAPE MACLEAR RESORT - Private Project
Promoter
CAPE MACLEAR HOTEL AND GOLF RESORT
P O Box 350, Blantyre • Mobile: +265 (0) 998 733 060 • Email:
bmalopa@hotmail.com.
Sector/Industry
Tourism
Project Location
The project will be located at Cape Maclear along Lake Malawi. Cape Maclear offers the most prime beaches and crystal-clear waters on Lake Malawi.
Project Description
Cape Maclear Hotel and Golf Resort Limited acquired a 99-year leasehold of 101 hectares along the premier beach of Lake Malawi near the Lake Malawi National Park, a UNESCO World heritage site
The project is an initiative consisting of three projects conceived and pursued by Cape Maclear Hotel and Golf Resort Limited and AE7 Group of Companies (together called the “Cape Maclear Consortium”). The initiative is being developed on a combined plot exceeding 4 square kilometers
The project consists of the following three components:
1. Cape Maclear Resort
A touristic, leisure and residential project featuring 5 hotels, serviced residences, a signature golf club and golf course, an aqua park, an aquarium, a cultural village and a major events arena. The resort will be developed over a 275 hectares plot by Lake Malawi, near Lake Malawi National park
2. Cape Maclear International Airport
An international airport and logistics center project proposed to be located on a Government-owned 4 square kilometer site within 15 kilometers-40 kilometers of the resort site. The airport will feature a 3.5-kilometer runway capable of landing wide-bodies planes. In addition, the airport will feature a regional logistics and processing free zone. A feasibility study on the airport is presently underway.
3.Cape Maclear Business Hub
A smart economic city anchored around the following proposed two key free zones:
• Regional business and trading free zone; and
• Regional banking and finance (regulated) free zone.
Current Status/ Stage of Project
Discussions and negotiations underway. Incentives are already granted and airport concession under discussion.
Actions Required/ Implementation Arrangements/ Contract Type
The project has so far secured 60% of the project equity/debt financing and is seeking equity and debt off-takers for the remaining 40% stake.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
Feasibility study underway. However, initial concept paper available.
Estimated Cost of the Project
Project is estimated at US$3.8 Billion
CAPE MACLEAR HOTEL AND GOLF RESORT
P O Box 350, Blantyre • Mobile: +265 (0) 998 733 060 • Email:
bmalopa@hotmail.com.
Sector/Industry
Tourism
Project Location
The project will be located at Cape Maclear along Lake Malawi. Cape Maclear offers the most prime beaches and crystal-clear waters on Lake Malawi.
Project Description
Cape Maclear Hotel and Golf Resort Limited acquired a 99-year leasehold of 101 hectares along the premier beach of Lake Malawi near the Lake Malawi National Park, a UNESCO World heritage site
The project is an initiative consisting of three projects conceived and pursued by Cape Maclear Hotel and Golf Resort Limited and AE7 Group of Companies (together called the “Cape Maclear Consortium”). The initiative is being developed on a combined plot exceeding 4 square kilometers
The project consists of the following three components:
1. Cape Maclear Resort
A touristic, leisure and residential project featuring 5 hotels, serviced residences, a signature golf club and golf course, an aqua park, an aquarium, a cultural village and a major events arena. The resort will be developed over a 275 hectares plot by Lake Malawi, near Lake Malawi National park
2. Cape Maclear International Airport
An international airport and logistics center project proposed to be located on a Government-owned 4 square kilometer site within 15 kilometers-40 kilometers of the resort site. The airport will feature a 3.5-kilometer runway capable of landing wide-bodies planes. In addition, the airport will feature a regional logistics and processing free zone. A feasibility study on the airport is presently underway.
3.Cape Maclear Business Hub
A smart economic city anchored around the following proposed two key free zones:
• Regional business and trading free zone; and
• Regional banking and finance (regulated) free zone.
Current Status/ Stage of Project
Discussions and negotiations underway. Incentives are already granted and airport concession under discussion.
Actions Required/ Implementation Arrangements/ Contract Type
The project has so far secured 60% of the project equity/debt financing and is seeking equity and debt off-takers for the remaining 40% stake.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
Feasibility study underway. However, initial concept paper available.
Estimated Cost of the Project
Project is estimated at US$3.8 Billion
UMODZI PARK DEVELOPMENT- Public Private Project
Promoter
The Chief Executive Officer, Malawi Investment and Trade Center, Private Bag 302, Lilongwe 3.
Tel: +265 771 315 Fax: 265 781 781 Email: ceo@mitc.mw
Sector/Industry
Tourism
Project Location
City Center, Lilongwe, where Peermont Hotel and Bingu International Conference Center are located
Project Description
Government has noticed that many large international conferences that should have been hosted by The Government of Malawi had sometimes been shifted to other countries due to lack of suitable conference facilities, thereby losing out revenues and job creation that comes with such activity. It is against this background that The Government of Malawi constructed an International Conference Centre, a Hotel and Presidential Villas at the City Centre in Lilongwe, the Capital City of Malawi.
The Bingu International Conference Centre and Business Hotel Project is an operational investment and comprises of a 1500 seat conference centre, a partitioned banquet hall with a seating capacity of 1000, a 130-room hotel and 14 presidential villas.
The Malawi Government established and incorporated Umodzi Holdings Limited, a limited liability company that is delegated to own and manage the infrastructure, and to ensure that the operations are commercially run.
The Convention a Centre and the Hotel sit on 37.4464 hectares of land at Plot No.31/7 named Umodzi Park whilst The Presidential Village situated on Plot No. 34.4 along The Presidential Drive is occupying an area of17.190 hectares on the Presidential Drive.
Out of the 37.4 available hectares of land at Umodzi Park, only 11,800sq meters is developed representing a building density of 2.82%. Planned activities for this area are as follows:
• Budget hotel and/or Apartments 350-400 rooms;
• Entertainment Center entertainment with up-market bars, themed restaurants, casino, movie theatre house and exclusive discotheque;
• Exclusive restaurants, cafes and designers’ shops, & food courts;
• Office block;
• Fitness and wellness Center;
• Underground or multi-storey purposely built Parking Spaces
Current Status/ Stage of Project
Partially developed - hotel and international conference center.
Actions Required/ Implementation Arrangements/ Contract Type
Expressions of Interest from prospective investors are welcome for all or selected investment components above.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
A concept paper is available. Feasibility study will be undertaken with interested proponent under agreed terms.
Estimated Cost of the Project
Not determined.
The Chief Executive Officer, Malawi Investment and Trade Center, Private Bag 302, Lilongwe 3.
Tel: +265 771 315 Fax: 265 781 781 Email: ceo@mitc.mw
Sector/Industry
Tourism
Project Location
City Center, Lilongwe, where Peermont Hotel and Bingu International Conference Center are located
Project Description
Government has noticed that many large international conferences that should have been hosted by The Government of Malawi had sometimes been shifted to other countries due to lack of suitable conference facilities, thereby losing out revenues and job creation that comes with such activity. It is against this background that The Government of Malawi constructed an International Conference Centre, a Hotel and Presidential Villas at the City Centre in Lilongwe, the Capital City of Malawi.
The Bingu International Conference Centre and Business Hotel Project is an operational investment and comprises of a 1500 seat conference centre, a partitioned banquet hall with a seating capacity of 1000, a 130-room hotel and 14 presidential villas.
The Malawi Government established and incorporated Umodzi Holdings Limited, a limited liability company that is delegated to own and manage the infrastructure, and to ensure that the operations are commercially run.
The Convention a Centre and the Hotel sit on 37.4464 hectares of land at Plot No.31/7 named Umodzi Park whilst The Presidential Village situated on Plot No. 34.4 along The Presidential Drive is occupying an area of17.190 hectares on the Presidential Drive.
Out of the 37.4 available hectares of land at Umodzi Park, only 11,800sq meters is developed representing a building density of 2.82%. Planned activities for this area are as follows:
• Budget hotel and/or Apartments 350-400 rooms;
• Entertainment Center entertainment with up-market bars, themed restaurants, casino, movie theatre house and exclusive discotheque;
• Exclusive restaurants, cafes and designers’ shops, & food courts;
• Office block;
• Fitness and wellness Center;
• Underground or multi-storey purposely built Parking Spaces
Current Status/ Stage of Project
Partially developed - hotel and international conference center.
Actions Required/ Implementation Arrangements/ Contract Type
Expressions of Interest from prospective investors are welcome for all or selected investment components above.
Availability of Pre-Feasibility Studies, Feasibility Studies, and other Studies
A concept paper is available. Feasibility study will be undertaken with interested proponent under agreed terms.
Estimated Cost of the Project
Not determined.
DEVELOPMENT OF AN INTEGRATED RESORT IN SALIMA - Private Project
Promoter:
The Director, Mr. Isaac Katopola, Department of Tourism, Private Bag 326, Lilongwe 3. Tel: +265 (0) 994625626. Email: katopolaisaac@gmail.com. Website: www.visitmalawi.mw
Project Location:
The project has two probable sites at Senga Bay and Chipoka, both in Salima Central Lakeshore district.
Project Description:
The project comprises of the construction of 200 room up-market hotels, a 1500-seater international conference centre, sporting complex, marina, entertainment complex golf course and an underground aquarium and wildlife sanctuary, casino.
Current Status/Stage of Project:
Non - operational
Actions Required/Implementation Arrangements/Contract Type:
An equity or financial partner in a component(s) of the project or in the entire project. The details of the partnership structure can be discussed between the parties.
Availability of Pre-feasibility Studies, Feasibility studies, and Other Studies:
A feasibility study has not been done.
Estimated Cost of Project:
Considering similar project done elsewhere, the Salima integrated Project will cost USD$ 150 million. The amount includes all the fittings, furnishings and working capital to operationalize the facilities
SUNBIRD CAPITAL MIX USE DEVELOPMENT PROJECT - Private Project
Sunbird Capital is one of the hotels operated by Sunbird, located in Lilongwe, Malawi’s capital city. It is situated in the tranquil parkland near Capital Hill-Government Headquarters and also close to up market suburb/residential areas. The existing hotel is a four star and is a market leader in terms of product offering and service delivery. Sunbird Capital is the flagship of Sunbird Hotels, and serves both local and international clientele.
The product
To construct a mix use development on the idle eleven acre piece of land, adjacent to Sunbird Capital hotel. The components of this mix use development may include the following:
- Extended stay serviced apartment,
- Shopping complex,
- Restaurants, Bar & Lounges,
- Wellness centre,
- Penthouse.
FINANCING: JOINT VENTURE PROPOSAL
Sunbird has looked at various options of financing the Sunbird Capital Mix Use Development project and the viable option that is available for discussion is a joint arrangement.
Sunbird is looking for serious investors to discuss the financing arrangements of this proposed project.
Promoter
Chief Executive Officer
Sunbird Tourism Limited
28 Glyn Jones Road
P.O. BOX 376
Blantyre
Malawi.
Tel: +265 (0) 1 820 815
Fax: +265 (0) 1 820 124
Cell: +265 (0) 888 965 030
Email: Y.Olela@sunbirdmalawi.com
Website: http://www.sunbirdmalawi.com
PASSENGER LEISURE VESSELS ON LAKE MALAWI - Private Project
Project Description:
The proposed investment entails construction of a passenger leisure vessel of 32 metres overall length, 12 metres in breadth and an overall height of 13 metres. The vessel will be propelled by two propulsion machinery, will have two diesel generator sets and equipped with emergency lighting from batteries. She will have three decks, be able to carry14 passengers and will be manned by 2 officers and 12 crew.
The Government of Malawi identifies the tourism sector as a key driver for sustainable economic growth and development in the country. The department of Tourism within the Ministry of Industry, Trade and Tourism is tasked with ensuring that tourism is developed and promoted in a manner that brings economic benefits to the people of the Malawi. Tourism being one of the priority investment sectors for Malawi, the project has potential of flourishing and bring more returns to the investors.
Investment Overview
i. Proposed Market Opportunity
The passenger leisure vessels are targeted for locals and foreign tourist who will be visiting the country. In the long run the foreign visitors would bring in foreign exchange to the country through their visits. Apart from that the passenger vessels will also be part of tourism marketing facility for Malawi to other countries.
ii. Investment Opportunity
Technology envisaged for the Project.
The technology envisaged for the project is that of Naval Architecture coupled with Marine Engineering since these two fields complement each other. Mechanical Engineering and Electrical Engineering Technologies are some of the major components of Marine Engineering carrying the same emphasis as Shipboard Safety in particular, covering Life Saving Appliances and Fire Fighting Equipment and Systems, and Maritime Safety Administration in general. Navigational Safety and Watchkeeping procedures are also key components in the operation of vessels. The Protection of the Marine Environment from Shipping Activities receives consideration and attention just as good as Shipboard Safety.
Nature and Availability of Raw Materials.
The nature of the raw materials for this project are typically of shipbuilding: high tensile steel, mild steel and/or aluminium plates for shell plating, sub-division bulkheads and their associated components. There are many different components and machinery that make up a passenger vessel. The availability of these raw materials is usually from traditional maritime countries from where the shipbuilding company usually comes from. In practice, from the past history, a vessel was procured and constructed in the home country of the shipbuilding company. The vessel was later broken down into transportable sections. This is because our country, Malawi, is landlocked. The transported sections were later re-assembled on the slipway at the shipyard at Monkey Bay in Mangochi District.
The percentage of these raw materials already used up either by other industry and approximately available for uptake by this project is very difficult to estimate because shipbuilding is a one-off undertaking in Malawi. The potential to develop capacity is there since our young men from the Marine Training College do not see adequate outlet as graduates. Capacity building would be there during construction of the vessels and during operation. Marine Engineering graduates would fit in construction and later sail as Engineer Officers just like Navigation graduates would be useful in the navigation of the vessels.
Location of the Project.
There is only one shipbuilding yard on Lake Malawi that can be described as a project location. It is at Monkey Bay and is currently owned and operated by the Malawi Shipping Company, a subsidiary of Mota-Engil Group, under a concession.
Anticipated Challenges of Project Location and their Mitigation Measures.
The success of this project is dependent on shipbuilding capability in Malawi. The biggest challenge is the fact that Malawi is landlocked. The cost of ordering a vessel gets to more than 1.7 times the actual cost. The vessel has to be built in the country of the shipbuilding company. Upon satisfaction of the construction it has to be broken down and re-assembled at Monkey Bay shipyard.
The mitigation measures would be to negotiate with the shipbuilding company to get materials straight to Malawi and start by laying the keel of the vessel right at Monkey Bay shipyard. This would depend on whether it would be cost effective. On the part of time, it would take a lot of time to complete the project.
Source of Labour (Communities)
The slipway for the re-assembly of vessels was constructed in 1974. There was an up-grade of the power grid in 1980 (a power transformer installed within the shipyard) to enable the re-assembly of relatively larger vessels. The source of skilled labour is usually from Malawi Shipping Company, then under Malawi Government statutory company. They are not many, of course. Some of them are within the locality of Monkey Bay. Construction of a berth at a site convenient to be the headquarters of operations of the business would be considered as a future development.
With an example of M.V. Chilembwe, a vessel that was procured by Malawi Shipping Company two years after Mota-Engil took over the ownership and operation of the then Malawi Lake Services, it may be stated that the project/investment presently exists. It is, however, not certain because the company’s investment plans in this area are not known.
Project Location
The project will be along the shores of lake Malawi
Business Model
i. Project Cost
The investment is estimated at the cost of US$1.5-US$2.5 million.
ii. Proposed Partnership structure
The project promoter is seeking a project sponsor who can support the implementation of the project. Prior to identification of the sponsor, there will be need to form a consortia of investors to come up with a budget and a plan of action
Benefits
The Project will offer the following benefits;
• employment to local citizens of Malawi,
• high or improved tax collection base for Malawi Revenue Authority,
• growth of the tourism industry in Malawi, and
• generation of foreign exchange from the visits of foreign tourists
Investment Requirements (Road-map)
The project feasibility study for the will be carried out once the investors have agreed on the location of the project. The project requires the investor to acquire all relevant licenses i.e. application of investment certificate by applying through MITC
Details of Project Promoter
Waddingham Makonyola
Ministry of Industry and Trade
Private Bag 30366
LILONGWE 3
Malawi
Email: teddiemakonyola@yahoo.com
Phone: +265 888 351 456
The proposed investment entails construction of a passenger leisure vessel of 32 metres overall length, 12 metres in breadth and an overall height of 13 metres. The vessel will be propelled by two propulsion machinery, will have two diesel generator sets and equipped with emergency lighting from batteries. She will have three decks, be able to carry14 passengers and will be manned by 2 officers and 12 crew.
The Government of Malawi identifies the tourism sector as a key driver for sustainable economic growth and development in the country. The department of Tourism within the Ministry of Industry, Trade and Tourism is tasked with ensuring that tourism is developed and promoted in a manner that brings economic benefits to the people of the Malawi. Tourism being one of the priority investment sectors for Malawi, the project has potential of flourishing and bring more returns to the investors.
Investment Overview
i. Proposed Market Opportunity
The passenger leisure vessels are targeted for locals and foreign tourist who will be visiting the country. In the long run the foreign visitors would bring in foreign exchange to the country through their visits. Apart from that the passenger vessels will also be part of tourism marketing facility for Malawi to other countries.
ii. Investment Opportunity
Technology envisaged for the Project.
The technology envisaged for the project is that of Naval Architecture coupled with Marine Engineering since these two fields complement each other. Mechanical Engineering and Electrical Engineering Technologies are some of the major components of Marine Engineering carrying the same emphasis as Shipboard Safety in particular, covering Life Saving Appliances and Fire Fighting Equipment and Systems, and Maritime Safety Administration in general. Navigational Safety and Watchkeeping procedures are also key components in the operation of vessels. The Protection of the Marine Environment from Shipping Activities receives consideration and attention just as good as Shipboard Safety.
Nature and Availability of Raw Materials.
The nature of the raw materials for this project are typically of shipbuilding: high tensile steel, mild steel and/or aluminium plates for shell plating, sub-division bulkheads and their associated components. There are many different components and machinery that make up a passenger vessel. The availability of these raw materials is usually from traditional maritime countries from where the shipbuilding company usually comes from. In practice, from the past history, a vessel was procured and constructed in the home country of the shipbuilding company. The vessel was later broken down into transportable sections. This is because our country, Malawi, is landlocked. The transported sections were later re-assembled on the slipway at the shipyard at Monkey Bay in Mangochi District.
The percentage of these raw materials already used up either by other industry and approximately available for uptake by this project is very difficult to estimate because shipbuilding is a one-off undertaking in Malawi. The potential to develop capacity is there since our young men from the Marine Training College do not see adequate outlet as graduates. Capacity building would be there during construction of the vessels and during operation. Marine Engineering graduates would fit in construction and later sail as Engineer Officers just like Navigation graduates would be useful in the navigation of the vessels.
Location of the Project.
There is only one shipbuilding yard on Lake Malawi that can be described as a project location. It is at Monkey Bay and is currently owned and operated by the Malawi Shipping Company, a subsidiary of Mota-Engil Group, under a concession.
Anticipated Challenges of Project Location and their Mitigation Measures.
The success of this project is dependent on shipbuilding capability in Malawi. The biggest challenge is the fact that Malawi is landlocked. The cost of ordering a vessel gets to more than 1.7 times the actual cost. The vessel has to be built in the country of the shipbuilding company. Upon satisfaction of the construction it has to be broken down and re-assembled at Monkey Bay shipyard.
The mitigation measures would be to negotiate with the shipbuilding company to get materials straight to Malawi and start by laying the keel of the vessel right at Monkey Bay shipyard. This would depend on whether it would be cost effective. On the part of time, it would take a lot of time to complete the project.
Source of Labour (Communities)
The slipway for the re-assembly of vessels was constructed in 1974. There was an up-grade of the power grid in 1980 (a power transformer installed within the shipyard) to enable the re-assembly of relatively larger vessels. The source of skilled labour is usually from Malawi Shipping Company, then under Malawi Government statutory company. They are not many, of course. Some of them are within the locality of Monkey Bay. Construction of a berth at a site convenient to be the headquarters of operations of the business would be considered as a future development.
With an example of M.V. Chilembwe, a vessel that was procured by Malawi Shipping Company two years after Mota-Engil took over the ownership and operation of the then Malawi Lake Services, it may be stated that the project/investment presently exists. It is, however, not certain because the company’s investment plans in this area are not known.
Project Location
The project will be along the shores of lake Malawi
Business Model
i. Project Cost
The investment is estimated at the cost of US$1.5-US$2.5 million.
ii. Proposed Partnership structure
The project promoter is seeking a project sponsor who can support the implementation of the project. Prior to identification of the sponsor, there will be need to form a consortia of investors to come up with a budget and a plan of action
Benefits
The Project will offer the following benefits;
• employment to local citizens of Malawi,
• high or improved tax collection base for Malawi Revenue Authority,
• growth of the tourism industry in Malawi, and
• generation of foreign exchange from the visits of foreign tourists
Investment Requirements (Road-map)
The project feasibility study for the will be carried out once the investors have agreed on the location of the project. The project requires the investor to acquire all relevant licenses i.e. application of investment certificate by applying through MITC
Details of Project Promoter
Waddingham Makonyola
Ministry of Industry and Trade
Private Bag 30366
LILONGWE 3
Malawi
Email: teddiemakonyola@yahoo.com
Phone: +265 888 351 456