The iconic Grand Hotel in Port Elizabeth has closed its doors after more than a century in business.
Hotel owner, Mark Stemmett, said lack of support from the Nelson Mandela Bay Municipality played a huge part in the closure of the business.
Speaking to Algoa Fm News on Friday, Stemmett said the Municipality has not been looking after the area for the last 18 months and it had also poorly handled the Covid-19 pandemic crises when it came to supporting businesses in the Bay.
"The Municipality does not give you any assistance, you continue paying rates, taxes and levies but with no income," he said.
He said the Grand Hotel has had to survive with no income and while it only operated for two months last year,. It had to continue paying rates and taxes to the municipality.
Stemmett added that no business could survive that and that there had also been no governance in the Metro.
"Streetlights are not working, you have people sleeping on the pavements and broken down cars parked on the side of the road," Stemmett said.
He said 30 employees have lost their income which includes permanent and supporting staff.
Stemmett said the business was provided with no leg to stand on during the Covid-19 lockdown such as a payment agreement with the Metro.
"Officials continue to be paid the same amount of money whether they go to work or not and so do politicians and they don't even have council meetings" he added.
Stemmett said the Municipality had ruined businesses in the area and the Grand Hotel isn't the only one.
The Grand Hotel, which is the only historic hotel left in Port Elizabeth, was refurbished several times and now has 42 guestrooms with a spectacular view of Algoa Bay.
The Hotel, with its unique architectural design, was built as a house in 1867 and eventually opened up as a hotel in 1889 with 24 rooms available.
In December of 1996, the Hotel was engulfed in flames but luckily no fatalities were reported and the building was restored to its former glory.
Port Elizabeth residents took to social media, calling the news tragic, sad and absolutely devastating.
Commenting on the closure of the hotel, Nelson Mandela Bay Executive Mayor Nqaba Bhanga said it was heartbreaking seeing one of the most beautiful sites in Central close down.
Bhanga also agreed with Stemmett that the Metro had let businesses down - adding that the city is "broken".
He said Council had agreed to free up about R12 million to kick start a business rescue plan.
He said the Municipality would be working with the Nelson Mandela Bay Business Chamber to try to rescue businesses in the Bay.
The mayor said the hard lockdown had destroyed businesses and people had lost their jobs.
Bhanga also agreed that the maintenance of the City had not been up to standard which was why the newly formed DA-led coalition was working to revive Nelson Mandela Bay again.
