ABOUT 30 small-to-medium scale Gwanda entrepreneurs may soon be forced out of business following rental hikes of up to 100% at a business complex that was recently bought by a company owned by Transport and Infrastructural Development minister Obert Mpofu.
ALBERT NCUBE OWN CORRESPONDENT
Mpofu’s company Trebo-&-Khays, which recently acquired the Forbes and Thompson complex in the Gwanda central business district, effected a rent increase this month forcing some businesses operating from the premises to relocate as they could no longer afford the new rentals.
One of the notable businesses to relocate from Mpofu’s building is Stride Guest House owned by Zanu PF Gwanda Central MP Edson Gumbo.
The guest house moved out of the complex after Trebo-&-Khays issued a notice that it would increase rentals from the beginning of this month.
A notice on the locked front door of the former guest house reads: “Stride Guest House has now moved to number 26 1st Avenue.”
Gumbo, who also runs Stride Restaurant and Bar at the same complex, said the increase in rentals had forced him out of the building.
“The rentals are unsustainable and that is why we have moved out of the complex,” he said.
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“The restaurant will also be relocating. Thank you for highlighting the problems besetting people in my constituency, but you can talk to the tenants there because I have moved out,” Gumbo told Southern Eye.
According to information gathered by Southern Eye, some rentals have been increased from $500 to $2 500 and some from $1 000 to $1 500 while others will now be required to fork out $2 000 up from $1 000.
Forbes and Thompson complex also houses McInn Supermarket, one of the leading retail outlets in Gwanda, and the Zimbabwe Revenue Authority while the remaining occupants include hairdressers, cellphone technicians, tailors and tyre menders.
Although the value of the complex could not be immediately ascertained, sources said Mpofu had acquired the building at a bargain and the new rentals would enable his company to recover the costs within a year.
Tenants, who spoke to the Southern Eye on condition of anonymity for fear of being evicted, accused Mpofu of profiteering and being worse than the former white owners.
“Obviously you do not expect an increase in rentals of this magnitude, especially from Mpofu whose party forced local authorities to writeoff debts owed by ratepayers by blaming sanctions for the current depressed economy,” one tenant said.
“Zanu PF has been calling for black economic empowerment and indigenisation, but this is unachievable if we have property owners of Mpofu’s mentality.
“I believe it’s a polite way of evicting us without notice.”
Other tenants said the increases in rentals were illegal considering that they will now have to move out if they fail to pay the new rentals.
“We should have been given a notice of three months prior to the rent increase or alternatively be allowed to pay the old rentals for the next three months, but now it’s either you pay or you are chucked out,” another tenant said.
Some tenants accused a local councillor of spearheading the rent hikes in a bid to take over some of the premises.
“We know the person responsible for all this and it’s sad that leaders we elected to represent us are now giving us problems,” a tenant said.
The tenants said they would seek to engage Mpofu to have the rentals revised.
Mpofu has of late been targetting properties in the mining town of Gwanda having bought another building which now houses his Allied Bank.
Scores of people have lost their jobs in the process as businesses were forced to shut down. However, Mpofu yesterday dismissed the claims as nonsense.
“That is nonsense,” Mpofu said. “Should I not buy businesses? We were renting that building for the bank and bought it. What is wrong with that?” he asked.
