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Hill Boutique Hotel secures funding from NEF to boost local economy

by Moipone Malefane
October 17, 2024
in Business
Reading Time: 3 mins read
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By Sizakele Nduli

Koleka Cele, the CEO and founder of The Hill Boutique Hotel which is 100% black-owned, is committed to creating a space that embodies comfort and excellence while providing local employment to residents in the Mtlontlo Municipality. “The Hill Boutique Hotel represents not just a business opportunity, but a chance to contribute to the economic upliftment of our community,” Cele said.

The hotel is located on the N2 highway linking the Eastern Cape and KwaZulu-Natal. It secured funding from the National Empowerment Fund (NEF) amounting to R14.1 million. The funding was provided to assist with construction, furnishing, fittings, the acquisition of two vehicles and working capital. Cele also invested R1-million of her own funds into acquiring the land.

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The hotel offers 25 fully equipped rooms, with two executive rooms, four junior executive rooms, two universal rooms for the physically challenged and 17 standard rooms. It also has a spa, mini gym, bar and restaurant, and offers a shuttle service for guest transfers. Phakamile Madonsela, the NEF Rural, Township and Community Development Fund Manager, told Vutivi News that the decision to support the hotel was influenced by a number of factors. “The hotel is led by a woman entrepreneur, which aligns with our commitment to empowering women in business.

“The business is located in a rural area and had the potential to unlock and stimulate the local economy. By supporting this project, we aim to foster economic activity and create jobs in the region,” Madonsela explained. Madonsela added that the hospitality industry provided significant employment opportunities throughout the country.

“The multiplier effect of tourism can create jobs across various related sectors. Additionally, historically, the tourism sector has been predominantly white owned with limited participation from black entrepreneurs and black women in particular. “By supporting The Hill Boutique Hotel, we are working to transform this landscape by developing top-tier tourism products that are black-owned and led,” added Madonsela. This project has created 20 permanent jobs at the hotel, with at least 70% of the positions filled by women, along with 100 temporary jobs during the 12-month construction phase.

The hotel has also partnered with the local tourism organisation, the municipality and the Eastern Cape Parks and Tourism Agency. “There are places of attractions like Tsitsa Falls, Mnga Falls [and] Tsitsa bridge… [these partnerships] will help ensure that these tourist attractions are revived,” Cele said. Prior to establishing the hotel, Cele ran four petrol stations in the Eastern Cape.

Tags: Cele hotelKoleka CeleThe Hill Boutique Hotel
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