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Chinese firm to rebuild Nginyo Kariuki’s Lenana Mount hotel

hotel

More than five hotels have come up in the city in the last one year, all seeking to meet the projected demand. PHOTO | FILE

Businessman Nginyo Kariuki’s family has picked a Chinese contractor to demolish and build afresh the Lenana Mount Hotel in Nairobi.

The family has hired China Zhongxian Investment to build a modern hotel on the plot located along Ralph Bunche Road in Milimani.

James Antony Kairuki, a son of Mr Nginyo Kariuki who is also a director of Nginyo Investments, said they are putting up a 150-room modern hotel “to keep up with the market trends.”

He said the upcoming hotel is an upgrade of the previous one, which had only 50 rooms.

Nginyo Investments Ltd, an investment vehicle for the hotel, said the new hotel will be targeting both corporate clientele and leisure travellers is in the city.

“Business meetings and conferencing is a business we have been involved in all along. We will continue with this but we will put up additional rooms to cater for the demand,” said Mr Kariuki.

Demand for Meeting, Incentives and Conferences and Exhibition (MICE) facilities has seen increased investments in the hospitality sector.

More than five hotels have come up in the city in the last one year, all seeking to meet the projected demand.

READ: Nairobi tops in African hotel investments

Nginyo Investment Ltd said the new hotel will be five star-rated and will charge a premium price for accommodation compared to the previous investment.

The firm expects the hotel to open its doors to the public in June next year. It will have a large basement parking and swimming pool at the roof top, among other amenities.

Its business model will be purely hotel. Mr Kariuki, however, declined to mention the value of the investment but said it will be self-funded.
But it is likely the family might also take up debt given the size of investment it is undertaking.

Going by what other hoteliers have invested in expansion, the Nginyos investment could be in the range of billions of shillings.

Ole Sereni Hotel’s expansion on Mombasa road cost Sh2.5 billion for 154 rooms while American Hotel Chain Nairobi franchise investment, Radission Blu’s value is Sh7 billion for the 271 bed-hotel.