The 100 percent citizen-owned mall financed through Stanbic bank and the National Development Bank is targeting the Small, Medium and Micro Enterprises (SMMEs) and has said it is prepared to slash its rentals by as much as 35 percent from the current market value.
The move is a windfall to the SMMEs which are short of money and have a high rate of defaults. The SMMEs are presently struggling to get office space of P3 000 or less despite a rash of property development within the city.
The P2 million Mogo project comes at the height of the mushrooming of shopping malls in Gaborone and its environs. This has led to the over supply of medium and high ladder of office accommodation.
Steve Robins, spokesman for Letso Farming, the syndicate of farmers behind Mogo Mall said: “We expect an important service to be provided and a reasonable rental would be provided, which is way below the average market price. The citizen owned companies would be able to take up units.
“We encourage citizen owned businesses to get space and at the moment 90 percent of the tenants are citizens.”
He said the company is taking a long-shot on the profit side saying their target is to start making profits 10 years from now.
Mogo Mall, comes at the tail end of the property market development that started nearly five years ago, leading to the sprouting of malls, such as RiverWalk, Game City and Molapo to power the sleek lifestyle of the city.
The move has seen a general drift of big business from the congested city centre to the more posh and modern buildings- preferably with parking space.
Trade and Industry Minister, Jacob Nkate praised the development saying that it will save residents of Metsimotlhabe, Mmopane and Kopong long distances which they used to travel to Gaborone to do shopping.
Nkate said that the opening of the mall will rapidly transform Mogoditshane village into a town as evidenced by the other bigger projects that were opened in the area.
Last month, President Festus Mogae launched the Big Five Lodge in the village. “It is important that the private sector in the country plays a leading role in the development of the economy,” Nkate said.
“Every Motswana should engage in some sustainable productive activities that would not only benefit them, but would contribute to economic independence,” he added.
