Abia Govt Retakes Ownership of Abia Hotels

The Abia State Government has announced the revocation of the Certificate of Occupancy as well as taken over of Abia Hotels, Umuahia, from the current lessee, Investment Guarantee Limited.

The Government action attributed to the company’s failure to fulfill the terms and conditions of the Development Lease Agreement signed with the Abia State Government in 2013.

A government statement endorsed by the Chief Press Secretary to the State Governor, Ukoha Njoku Ukoha, said Investment Guarantee Limited had in a lease agreement, committed to upgrade and redevelop the Hotel to a 3-Star Protea Standard Hotel and manage it for 25 years.

It regretted that, years later, the company has failed to upgrade and redevelop the Hotel to the agreed standards, and also breaching other terms and conditions of the development lease agreement with the Abia State Government.

“In line with its investment-friendly policies, the Abia State Government offered and paid compensation to Investment Guarantee Limited to cover costs incurred in the development of the hotel complex.”

It pointed out that the gesture was aimed at supporting the investor and to enable the State Government utilise the facility for its intended purpose.

“The Abia State Government remains committed to creating a conducive environment for businesses to thrive while ensuring that the assets of the State are utilized in the best interest of its citizens,” the statement concluded.