Abia Government Revokes C of O, Reclaims Popular Abia Hotels After 12 Years Of Failed Redevelopment

The Abia State government says it has moved to reclaim one of the state’s key assets (Abia Hotels), located at Finbarrs road, Umuahia, the state capital.

According to the Chief Press Secretary to Gov. Alex Otti, Mr. Ukoha Njoku who confirmed the decision of the state government said that their decision was coming after 12 years of consistent failure by Investment Guarantee Limited to honor its redevelopment obligations.

“In 2013, the company entered into a 25-year Development Lease Agreement with a bold promise: transform Abia Hotels into a 3-Star Protea-standard facility and manage it on behalf of the State.

“More than a decade later, the Government says not only was the hotel not upgraded, but several core terms of the agreement were completely neglected.”

Ukoha disclosed that the state had exercised patience for years, issued reminders, and provided opportunities for compliance, but the company “persistently failed to deliver,” leaving the once-promising project abandoned and far below agreed standards.

“This prompted the State to revoke the Certificate of Occupancy and take back possession of the property.

It was gathered that the government still offered and paid compensation to Investment Guarantee Limited to cover verified costs incurred during the stalled redevelopment.

According to officials, this aligns with the administration’s investment-friendly posture, even when enforcing accountability.

The recovery of Abia Hotels is being viewed as part of a broader shake-up aimed at ending the era of investors securing State assets only to leave them underutilized or abandoned for years.

The Abia State government insists that while it welcomes genuine investors, it will no longer tolerate deals that deprive citizens of critical infrastructure or tie down public property without tangible progress.