By Malungelo Booi

A multi-million rand deal to develop a holiday resort in Mkambati on the Wild Coast was signed last week after half a decade of tense negotiations.

The area falls within the Mkambati Nature Reserve, which has been the centre of a land dispute between authorities and local communities for more than a century.

According to a public-private partnership deal signed last week between Mantis Mkambati (Pty) Ltd and the Mkambati Land Trust, which represents the community, tourism facilities worth R40million will be developed in the reserve.

Eastern Cape Parks, which facilitated the deal, said 280 job opportunities would be created and a return on the investment of over R150000 per annum was expected, including a 10percent increase in turnover per year.

Within three years, 80percent of employees and 50percent of management – increasing to 80percent within six years – will be recruited from the local communities.

However, there have been mixed reactions over the agreement, with some community members saying they were not properly informed about the development.

Nkosivelile Lila said although details of the deal were not properly communicated to them as residents, they were still pleased with prospects of employment opportunities.

“I am really not aware of any agreement. In fact this is the first time I hear about this,” said Sanele Bikitsha, who is president of the National African Federated Chamber of Commerce and Industry in the Flagstaff region, under which Mkambati falls.

Bikitsha said a tourism industry at Mkambati was important because of high poverty levels in the area.

Eastern Cape Parks chief executive Nokulunga Maswana said the significance of the agreement was that the black economic empowerment shareholders would finally realise benefits from their land.

The chairperson of the Mkambati Land Trust, Thami Vimba, said: “We have gone through difficult times initially, but these have been ironed out. The lessons we have learned and the confidence we have in our partners will ensure the relationship between us is a lasting one.”

The planned development within the Mkambati Nature Reserve will see the establishment of accommodation units with 54 beds, comprising two nine-room units and nine tent camps. There will also be a museum, a coffee and curio shop and a wellness centre.

Already Stewart Cranswick, managing director of the Ibala Investment (which holds 80 percent equity in Mantis Mkambati) has handed over R100000 for the first year’s rent to the Mkambati Land Trust.

Cranswick said building trust within communities was central to the success of the agreement.

The remaining 20 percent of Mantis Mkambati is held by Yem Yem Investments, owned by Bongani Gxilishe and Zilindile Makapela.

Source: Daily Dispatch