The Southern Sun Hotel Group has secured a significant victory, winning the 50-year lease for the redevelopment of Durban’s iconic Elangeni & Maharani Hotels, located along the city’s famous Golden Mile. This comes after a lengthy and competitive tender process, with Southern Sun’s existing lease on the properties originally set to expire next year.
The announcement was made by Ethekwini Municipality Mayor, Cyril Xaba, on September 27. According to reports by TimesLive, the lease agreement, coupled with a R1 billion redevelopment project, is expected to serve as a catalyst for further investment, aiding in the recovery and growth of Durban’s business economy.
The redevelopment project extends beyond the Elangeni & Maharani hotels and includes the refurbishment of two other Southern Sun properties—Garden Court South Beach and The Edward hotels. Mayor Xaba expressed optimism about the impact this project will have on the city, particularly along the beachfront. “I am very excited because this will spark further investments along the beachfront, adding more value to our city,” said Xaba.
The Southern Sun Hotel Group has committed to not only retaining its current employees but also creating an additional 200 job opportunities during the 36-month refurbishment period. This is a crucial aspect of the project, as it contributes to job creation and boosts the local economy during the redevelopment phase.
Additionally, R5 million will be allocated to restoring the Sunken Gardens, a municipal beachfront park that holds historical significance for Durban. This move underscores Southern Sun’s dedication to enhancing public spaces and contributing to the city’s beautification efforts.
Speaking on the redevelopment project, Marcel von Aulock, CEO of Southern Sun, emphasized the importance of maintaining and revitalizing Durban’s beachfront, which is a major draw for both tourists and locals. “The issues in Durban are not insurmountable. It is really just the basics… it’s maintenance, keeping it clean, keeping it safe, enforcing the by-laws, no public drinking… nature has blessed you with the setting – just take care of it,” von Aulock stated.
The redevelopment projects, alongside the restoration of public spaces like the Sunken Gardens, are expected to play a critical role in Durban’s inner-city regeneration. With such substantial investments in the beachfront and hotel infrastructure, the city is poised for a revitalized tourism and business economy, making Durban an even more attractive destination for visitors and investors alike.