Company Fumes as Kano Govt Demolishes Structure

LAMASH Properties Limited, a property company says it will challenge the demolition of Daula Hotel by Kano State Government.

The governor, Abba Kabir Yusuf, had on Friday night, led some officials to the demolition of some buildings he believed were illegally allocated to cronies of his predecessor, Abdullahi Umar Ganduje.

Earlier yesterday, the government also demolished Daula Hotel, over accusation of illegal acquisition, according to Solacebase, a Kano-based paper.

demanding for N10bn investment in the project.

Reacting, the owners of the hotel demanded N10 billion investment in the project.

They said the Kano government invited them alongside other companies sometimes in the late 2020 to bid for the redevelopment of the old Daula Hotel under a Public Private Partnership (PPP).

A statement by the company read: “We submitted a bid of three components that include Residential – to comprise 25 luxury apartments, Commercial Hub , Various sizes of lettable commercial space and Daula Boutique Hotel – A 90-room five star hotel.

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“Our bid like every other bids submitted, went through all the processes including going before the State Executive Council after which we won the bid. We were issued the letter of award and we signed a PPP contract agreement with the Kano state government after which we began work on the project.

“The organization in the statement said the value of the land being the equity contribution of the Kano State Government into the project plus the agreed profit share of the state government all in the sum of two billion two hundred and ninety seven million sixteen thousand six hundred and twenty two naira Eighty Nine Kobo (N2,297,016,622.89) only was converted into the Hotel and its ownership was given to the Kano State Government as its share into the project under the PPP arrangement.

“On May 27, 2023, the immediate past governor of the state, Dr. Abdullahi Umar Ganduje performed commissioning ceremony of the hotel and it was handed over to the state government as its share in the project.”

It read further: “To our utmost surprise, we received a call around 2am on Sunday June 4, 2023 that officials of the state government led by the new governor Abba Kabir Yusuf have mobilized to the site of the project with bulldozers and were tearing down all the buildings on the land including the already completed 90-room 5-star Daula Boutique Hotel, the 90% completed commercial area (malls) as well as the ongoing residential apartments.

“It was to say the least a development most appalling that in this era of paucity of funds available to government and high rate of unemployment in the country, the state government under whatever guise, decided to demolish a property (the Daula Boutique Hotel) that belongs to it and was supposed to bring in huge revenue to the government and also help reduce unemployment in the state, among others.

“We appeal to the general public in Kano state and beyond to not only understand the nature of our business as against what is being erroneously portrayed but also to know that the action of the new state government on investors that invested hugely in the state under the previous administration is going to affect the perception of other potential investors coming to put their money into Kano state economy. It will also affect employment generation, wealth circulation and urban development of the state. For us, we are resolute in seeking redress in the court of law and we are optimistic that justice would be served.”

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