Property owners in Harare’s central business district (CBD) have raised alarm over the mushrooming of street vendors who are selling similar goods to those offered by formal retailers and tenants operating inside their buildings. The trend, they warn, is driving businesses away from the CBD, leaving behind a trail of empty office spaces and plunging rental returns.
The concerns came to the fore during the City of Harare 2026–2030 Strategic Planning stakeholder consultative meeting held at Golden Conifer Conference Centre on Monday. The meeting, attended by council officials, property owners, and other stakeholders, provided a platform for frank discussions about challenges facing the capital.
Property owners lamented that unregulated vending outside shops and office buildings was suffocating the very businesses that pay rent and rates to the city.
“We are in a vicious cycle,” one property owner said. “The council wants us to pay rates, but at the same time, our businesses and those of our tenants are being crippled by vendors right at our doorsteps. When our tenants cannot make sales, they move out. When they move out, we are left with vacant spaces but still expected to pay full rates.”
Another property owner highlighted that, over the years, property taxes had steadily increased, yet occupancy rates in many office buildings had plummeted. “Most of the office buildings are empty or half empty, but the tax bill does not reduce. It keeps rising, while revenues from rentals continue to shrink,” she said.
Harare Property Owners Cry Foul Over Vendor Surge in CBD
The gathering also heard that the rise of suburban shopping malls and commercial centers was exacerbating the CBD’s decline. With vendors flooding pavements in central Harare, formal tenants increasingly prefer relocating to outlying suburbs such as Borrowdale, Avondale, and Msasa, where cleaner, vendor-free shopping complexes are sprouting.
“One of the biggest challenges we face is tenant flight,” another property owner said. “New shopping centers outside the CBD provide tenants with a better environment — secure, orderly, and without the constant competition from vendors on the pavements. That means tenants who used to lease our spaces downtown are now moving out.”
The ripple effect, they explained, was that landlords in the CBD are now forced to lower rental charges in a bid to retain tenants. This, in turn, reduces income streams for property owners, many of whom are pension funds.
“Most CBD properties are owned by pension funds,” one stakeholder reminded the meeting. “If these properties underperform, pensioners also suffer because their funds shrink. It’s not just a business issue; it’s a social one too.”
While property owners acknowledged that vendors have become a fixture of Harare’s economy due to unemployment and poverty, they stressed the need for structured solutions.
“We need designated vending areas in the CBD where traders can operate legally and also pay rates,” said a participant. “That way, council can collect revenue, tenants can operate without obstruction, and vendors can earn their livelihood in dignity.”
The proposal echoes earlier recommendations by urban planners that the city should develop properly serviced vending malls or arcades within the CBD to accommodate informal traders. However, many of these initiatives have stalled due to limited funding, poor enforcement, and political sensitivities surrounding informal trade.
For the City of Harare, the issue presents a governance dilemma. On one hand, the council depends on rates from property owners to fund service delivery. On the other, it faces pressure to tolerate informal traders who represent a large section of the electorate and a vital survival mechanism in Zimbabwe’s struggling economy.
During the meeting, some officials admitted that previous attempts to remove vendors from pavements often resulted in clashes and accusations of heavy-handedness. “It’s a sensitive issue,” one council representative said. “We cannot ignore the plight of vendors, but we must also ensure that formal businesses survive. Both sectors are important to the city’s economy.”
Urban experts say Harare’s situation reflects a broader challenge across many African cities, where high unemployment and economic hardship push thousands into the informal economy. Vendors often sell goods at cheaper prices, directly undercutting formal retailers who must contend with rent, taxes, and utility bills.
Unless a balance is struck, analysts warn that the CBD risks becoming a “ghost town” dominated by informal markets while formal businesses relocate to cleaner, more controlled environments. This would erode municipal revenues even further, worsening service delivery challenges already plaguing the capital.
As the strategic planning process for 2026–2030 continues, property owners are urging the City of Harare to prioritize the issue of vending in its plans. They insist that dialogue between council, property owners, tenants, and vendors is the only way forward.
“Harare cannot thrive if property owners are collapsing, vendors are harassed, and council is broke,” said one participant. “We need a sustainable plan that recognizes everyone’s role. The CBD must be orderly, but it must also be inclusive.”
The council is expected to consolidate feedback from the consultations before finalizing its strategic plan, which will guide urban development for the next five years. Whether the concerns of property owners will translate into concrete action, however, remains to be seen.
Source- Herald
