By Luyolo Mkentane

The historical and dilapidated Seaview Hotel on its prime coastal site – which has had both a colourful and troubled background – is to be redeveloped into a major leisure resort at a cost of R300-million.

The complete overhaul is being undertaken by the new owners, the Kat Leisure hotel group, which operates a number of hotels and leisure and entertainment establishments in the Eastern and Southern Cape.

Kat Leisure chief executive Avril Kaschula, of Knysna, who purchased the landmark hotel for R15,4-million at a public auction, said the R300-million development plan was a “very big project” which should take about two years to complete.

He said their site development plan, which they submitted to the Nelson Mandela Bay municipality last year, was “approved in principle”.

“We are at the stage now where we have started working. We are securing the site to prevent any further vandalism that has taken place at the site since we bought it,” said Kaschula.

The Kat Leisure group also operates the Simola Golf Estate in Knysna, the Osner and Kennaway hotels in East London, and the Garden Route Casino and Hotel. The group also recently won a licence to operate a casino in Queenstown.

When Weekend Post visited the hotel earlier this week, workmen were busy fencing off the site, burning rubble and carrying out demolitions.

However, Kaschula said that with the current downturn in the property market, the timing of the project was quite an issue.

“It‘s not a very good time for us to be out there starting a R300-million project when the market is down.

“In fact, we wanted to start as soon as possible but were advised to hold back until signs were there that the property market is improving. But development should start early next year,” Kaschula said.

“We are looking for final planning approval at this stage and once we have that, it‘s all systems go!”

Since the hotel is over 70 years old, Kaschula said they had been granted permission by the municipality to demolish portions of the building because “we bought the hotel to ultimately develop it and other apartments”.

Among other features, the development will include a five- star hotel, a health spa, a gymnasium with indoor and outdoor swimming pool facilities, and about 100 apartments “all in a secure environment”, Kaschula said.

He said they would keep the hotel element but also introduce a residential aspect “so that should make it a very desirable place to live in or invest”.

The historical aspect of the hotel would also be kept but would be integrated into the new development.

Source: Weekend Post