Pain In Hotel Sector As Nairobi Upper Hill Hotel Set To Be Auctioned

Kenya’s hotel industry seems to be going through a difficult time as the number of those closing down and those set to be auctioned continue to grow.

The latest hotel to go under the hammer of the auctioneers will be Nairobi’s Upper Hill Hotel. The hotel is said to have secured a loan from the National Bank of Kenya (NBK), now a subsidiary of the Kenya Commercial Bank (KCB).

Auctioneers by the name Garam Investment Auctioneers has invited bidders to deposit 10 million shillings for the 4-storey property that is said to have a gross monthly income of 5 million shillings.

The hotel is owned by businessman Wahome Muotia and the lease of the land is said to be 76 years. Given that it is located in a prime piece of land, it is likely to attract several bidders.

The number of hotels closing down and those being auctioned has been on the rise with stakeholders continuing to dismiss claims that the sector is ailing.

During the month of January, Nairobi’s iconic Southern Sun Mayfair Hotel closed down and all employees fired as the economic wind continues to blow across the hotel sector in Kenya.