By Tabelo Timse

A multi-million rand development which includes a five-star hotel is in the pipeline for Port Elizabeth‘s Beachview resort, joining several other hotel developments earmarked for the city.

The Nelson Mandela Bay municipality is considering a proposal and report by the developers, Port Elizabeth‘s Isimilo Investments and Stag Holdings from Cape Town.

The development proposal includes a hotel and residential units.

Municipal spokesman Lourens Schoeman could not comment on the development as the municipality was awaiting an environmental impact assessment report.

Last week, councillor Elizabeth Trent said although the DA welcomed the development, it questioned if the municipality could change its current lease with the developers to incorporate the planned development.

She also asked whether the development would comply with laws that prohibit building within 200 metres from the coastline.

Isimilo and the municipality entered into a long-term lease on a portion of Beachview in 2004.

However, the deal had been plagued by controversy after Isimilo applied to the council for a grant of about R900 000, saying the renovation had left insufficient funds to run the resort. Isimilo was given R600 000 by the municipality.

One of the conditions of the agreement between the municipality and Isimilo was that Isimilo should submit an environmental assessment report before the upgrading. This was not done. Isimilo could not be reached for comment.

Other developments planned for Port Elizabeth include the five-star Radisson Hotel under construction on the corner of Ninth Avenue, Summerstrand, and Marine Drive, which will have 14 floors.

Last month, the Beach Hotel in Summerstrand, part of the Port Elizabeth Hotels Group, announced it plans for a revamp in which the hotel would grow to 19 floors.

The developers have applied for the rezoning of the land to permit the redevelopment of the existing hotel, which will include licensed restaurants, conference facilities and a 19-storey residential building consisting of three parking levels, 14 apartment levels and two levels of penthouse units.

A boutique hotel in Walmer is also in the pipeline and the municipality has advertised a rezoning notice for the construction.

Other plans for hotels include a Mantis Collection boutique hotel in Summerstrand and the Blue Water Beach boutique hotel, planned for Bluewater Bay.