The government will inject at least Ksh5.9 billion in flagship Ronald Ngala Utalii College to build the hotel through a public-private partnership.
According to the Tourism Fund, the “Crab Hotel” that will sit on a 59-acre piece of land in Kilifi will serve as a training centre ancient to the Kenya Utalii College.
The hotel alone will take 20 acres along the Indian Ocean in Vipingo, Kilifi County, according to the Fund.
“The fund already hired consultants for the hotel component; however commissioning is yet to be done. Tourism Fund is committed to obtaining a solid public-private partnership before commissioning to avoid interests and penalties,” said Tourism Fund board of Trustees chairman Alphonse Kioko.
The Ronald Ngala Utalii College was an idea mooted in 2007 by the Cabinet chaired by then-President, Mwai Kibaki. The cost of construction for the premier tourism training institution was Ksh1.9 billion, which has now more than doubled.
“Based on the cash flow presented by the consortium on sectional completion, the funds required to complete Phase I of I of the project is currently at Kshh1,625,225,000,” David Mwangi, acting chief executive.
Ksh1,135,753,151 is required to complete actual physical work on Phase II of I, with the Tourism Fund and the Tourism Promotion Fund jointly pledging Ksh1.5 billion.
The project, which is 60 percent complete, will be commissioned in July 2022 by President Uhuru Kenyatta with an initial intake slated for September 2022 for 250 students.