HARARE – Old Mutual Development REIT has unveiled a US$46,2 million property development pipeline spanning a major mixed-use estate in Harare and a luxury hospitality project in Victoria Falls, as Zimbabwe’s property sector increasingly shifts towards institutional investment and income-generating real estate assets.
The developments, sponsored by Old Mutual Life Assurance Company (OMLAC) and managed by Old Mutual Investment Group, are part of a strategy to create long-term value through commercial, residential and tourism-related property investments while providing investors with exposure to hard-currency-linked assets.
The flagship project, The Grange Lifestyle Estate, is a 47-hectare mixed-use development in Harare that has secured freehold title, subdivision approvals and development permits, reducing execution risks for investors. The master-planned estate is designed to integrate retail, office, medical, lifestyle and residential facilities within a single urban development.
The phased project is expected to optimise capital deployment while creating multiple income streams. The first phase, known as Phase 1A, represents an estimated US$11 million investment and will include a supermarket, line shops, a car showroom and a gym, delivering approximately 8 000 square metres of gross lettable area.
Further phases will expand the development into a broader commercial hub, introducing a hardware centre, health and lifestyle retail facilities, entertainment and food outlets, a specialist medical centre and a modern office park. The project is positioned to benefit from its strategic location, road access, growing residential demand and increasing appetite for quality mixed-use developments in Harare.
The REIT expects the development to generate an estimated gross rental yield of 7,1%, with plans to list on the Victoria Falls Stock Exchange (VFEX) in the fourth quarter of 2026. Investor subscriptions are expected to open in the third quarter of 2026, while the full construction programme is projected to take approximately three years.
Beyond Harare, Old Mutual Development REIT is expanding into Zimbabwe’s tourism economy through a proposed international-standard hotel development in Victoria Falls.
The Victoria Falls project, located on Stand 1332 along Parkway Drive, is being developed in partnership with an international hospitality brand and is expected to become a landmark tourism asset in one of Africa’s most recognised destinations.
Situated close to Victoria Falls National Park, major attractions and transport links, the hotel is designed as an upscale safari-inspired destination combining modern architecture with the natural environment. The development will feature approximately 130 premium guest rooms, including standard, deluxe, family and suite categories, with elevated decks offering views of the surrounding landscape.
The proposed hotel will include a full-service restaurant, pool bar, conference facilities capable of hosting between 150 and 200 delegates, a wellness spa, outdoor leisure activities and nature-based experiences such as game drives and bush walks.
Under the investment structure, the REIT will retain ownership of the hotel asset, while operations will be managed by a specialist third-party hotel operator working alongside the international hospitality partner. Development and fit-out are expected to take around 12 months after financial close, with the property targeting a four-star international operating standard.
A feasibility assessment conducted by HTI Consulting projected that hotel occupancy could stabilise at approximately 60% within three to four years of operation, supported by Victoria Falls’ position as a major global tourism destination.
The expansion of Old Mutual’s property portfolio comes as Zimbabwe’s real estate market seeks greater institutional participation, with pension funds, insurers and long-term investors increasingly looking for assets capable of preserving value and generating sustainable income.
Analysts say the combination of commercial property development in Harare and tourism infrastructure in Victoria Falls provides diversification across two strategic sectors of the economy. However, the long-term success of the projects will depend on effective execution, tenant uptake, tourism recovery and the ability to convert developments into stable income-producing assets.
The planned VFEX listing is expected to deepen Zimbabwe’s capital markets by offering investors a new opportunity to participate in institutional-grade property investments while supporting the growth of the country’s real estate sector.
