The Abia State Government has revoked the Certificate of Occupancy and retaken possession of Abia Hotels, Umuahia, from Investment Guarantee Limited.
The government said the lessee, due to the company’s failure to fulfill the terms and conditions of the Development Lease Agreement signed with the State Government in 2013.
In the development lease agreement, Investment Guarantee Limited committed to upgrade and redevelop the Hotel to a 3-Star Protea Standard Hotel and manage it for 25 years.
However, the company has failed to upgrade and redevelop the Hotel to the agreed standards after 12 years and are in breach of other terms and conditions of the development lease agreement with Abia State Government, prompting the State Government to revoke the agreement.
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.
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This was contained in a statement issued on Sunday by governor Alex Otti’s Chief press Secretary, Ukoha Njoku Ukoha and made available to journalists in Umuahia.
The gesture was aimed at supporting the investor and to enable the State Government to utilize 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.
