Leonita Mhishi
A PROPERTY developer in Harare can point to a rising skyline, a modern shopping complex or a new gated community and make a convincing case that Zimbabwe has room for real estate investment.
Yet, thousands of kilometres away, an international investor may be asking a less glamorous question: if I put millions of dollars into this property, can I protect my capital, earn a predictable return and take my profits home?
That question lies at the heart of Zimbabwe’s challenge in attracting global property capital. The country has land, entrepreneurial talent, a sizeable diaspora, growing demand for quality accommodation and opportunities in commercial, industrial and residential development. What it must demonstrate more convincingly is that investing here can be as commercially disciplined, transparent and legally secure as the opportunities being considered elsewhere.
From Wall Street to Johannesburg, London and Dubai, serious investors do not buy property simply because a city is expanding. They examine the numbers behind the promise. Zimbabwe must therefore move beyond selling potential and start selling credibility.
Consider a Zimbabwean family living in the United Kingdom that wants to invest its savings in a residential development in Harare. The family sees relatives struggling to find affordable accommodation and believes a well-managed apartment block could generate rental income while meeting a genuine social need. The developer presents attractive architectural drawings, projected rental returns and assurances that property values will appreciate.
But before committing its money, the family needs answers. Is the land legally available for development? Are the title deeds or other tenure documents valid? Have the necessary planning approvals been obtained? Is the developer financially sound? Can the project be completed on time, and will rental income remain attractive after maintenance, taxes, vacancies and management costs?
These are not merely questions for cautious families. They are the same fundamentals that institutional investors, pension funds, property companies and international lenders examine before approving transactions worth millions of dollars.
The US Department of State’s investment climate assessment for Zimbabwe acknowledges that residential and commercial property rights in urban areas are generally enforced, while identifying more serious concerns surrounding agricultural land, regulatory predictability and the broader investment environment. It also highlights difficulties businesses encounter in accessing foreign currency and repatriating profits. These distinctions matter: an urban apartment, an industrial warehouse and an agricultural estate do not necessarily carry the same legal or investment risks.
For international investors, the first attraction is return. But return without a reliable assessment of risk is speculation.
Zimbabwe’s property market offers several investment possibilities. Harare and Bulawayo need quality housing across different income groups. Industrial operators require warehouses, logistics facilities and modern production space. Retailers need viable shopping centres, while tourism presents opportunities for hospitality developments and serviced accommodation. Purpose-built student housing, medical facilities and professionally managed rental apartments could also attract investors prepared to take a long-term view.
However, demand must not be confused with guaranteed profitability. A housing shortage does not automatically mean every apartment will find a tenant at the advertised rent. A modern shopping centre can struggle if consumers lack purchasing power, transport is inconvenient or occupancy costs become excessive. An industrial property may remain vacant if power supplies, roads and other essential infrastructure are unreliable.
Developers should therefore present investors with credible feasibility studies, independently supported valuations and realistic cash-flow projections. They must explain who will occupy the property, what tenants can afford, how construction costs will be controlled and what happens if interest rates, exchange rates or demand move against expectations.
In international finance, transparency is not a favour extended to investors; it is a condition of doing business.
Zimbabwe must also confront the question of governance. An investor considering a property development wants to know who owns the project company, who makes its decisions, how money is spent and whether financial statements can be independently verified. Where a project involves public land, municipal approvals or a public-private partnership, the process should be particularly clear.
A developer with an attractive building and weak governance is a risk. So is a project whose success depends on personal connections rather than published rules and enforceable agreements.
This is where Zimbabwe can make practical progress without waiting for a complete economic transformation. Property developers can publish audited financial statements, disclose beneficial ownership, use independent boards and appoint reputable project managers. Investors’ money can be placed in appropriately structured project accounts, with payments released against independently verified construction milestones. Contracts should clearly define delivery dates, penalties for non-performance, dispute-resolution procedures and the responsibilities of each party.
Such measures would protect local buyers as much as foreign investors. Zimbabweans have too often had to navigate property transactions in which impressive marketing material is easier to obtain than definitive answers about land ownership, construction progress or delivery timelines. Better governance would help distinguish legitimate developers from those whose business models depend on selling promises.
Due diligence is equally important. Before committing funds, investors should obtain independent legal opinions, verify ownership and encumbrances through the relevant official records, confirm planning permissions and inspect the project’s financial position. They should also assess construction quality, contractor credentials, insurance arrangements and the legal rights attached to the property.
The government has an important role in making these checks faster, more accessible and more dependable. The Zimbabwe Investment and Development Agency (ZIDA), established under the Zimbabwe Investment and Development Agency Act of 2020, provides a framework for facilitating investment. Yet an investment agency can only build confidence if the wider institutions investors encounter deliver consistent decisions, accessible information and predictable enforcement.
The International Monetary Fund’s 2025 Article IV assessment identified persistent structural challenges in Zimbabwe, including weaknesses in economic governance, financial openness and bureaucratic procedures. These concerns reach beyond property, but real estate is particularly exposed because projects require substantial upfront capital and take years to generate returns.
Currency risk is another issue Zimbabwe cannot afford to dismiss. Property is a long-term asset, while the currencies used to pay contractors, collect rent, service loans and repatriate returns can change. An investor may achieve an impressive nominal rental yield and still suffer a substantial loss when returns are converted into the currency used to measure the original investment.
Developers should therefore disclose the currency assumptions underpinning their projections and explain how leases, financing arrangements and operating expenses will be managed. Investors need clear information about applicable exchange-control requirements, taxes, transaction costs and the lawful procedures for transferring eligible proceeds abroad. No responsible promoter should promise effortless profit repatriation without accounting for the regulations and availability of foreign currency.
There is, nevertheless, a compelling opportunity in Zimbabwe’s diaspora. Millions of dollars in private savings and remittances represent a potential source of long-term investment, although remittances should not be mistaken for a guaranteed pool of property capital. Many Zimbabweans abroad would welcome professionally managed projects that offer transparent pricing, verifiable construction progress and reliable rental administration.
Developers could help unlock this market by publishing standardised investment prospectuses, providing regular project updates and using independent escrow or other suitable investor-protection arrangements. Rental income and operating expenses should be reported clearly, while property management should be handled by accountable professionals rather than informal intermediaries.
International capital could also support more than luxury housing. Properly structured investment in affordable rental accommodation, industrial parks, student residences and energy-efficient buildings could create employment, improve productivity and expand access to essential services. Such projects become more attractive when they demonstrate both a credible financial return and measurable economic value.
Ultimately, Zimbabwe must understand that global investors compare opportunities across borders. A project in Harare competes not only with another development in Bulawayo, but potentially with investments in Nairobi, Johannesburg or Lusaka. Investors will weigh expected returns against political, legal, currency, construction and liquidity risks. Where uncertainty is higher, they may demand a larger return, stronger contractual protections or simply choose another market.
The country does not need to pretend that these risks have disappeared. It needs to show that they are recognised, measured and being reduced.
That requires consistent land administration, reliable planning approvals, transparent public procurement, credible courts, predictable tax rules and effective action against corruption. It also requires the private sector to abandon the belief that a glossy brochure, a prominent shareholder or a fashionable address is enough to secure serious investment.
Zimbabwe’s real estate future will not be determined by the number of cranes on its skyline or the height of its newest tower. It will be determined by whether investors can verify the land, trust the contracts, understand the risks and account for every dollar committed.
For the family abroad, the pension fund in Johannesburg or the investment company in London, confidence begins long before the first brick is laid. It begins when the evidence stands up to scrutiny.
Zimbabwe has property worth developing and communities worth serving. Its next task is to make trust one of its most valuable assets.
l Mhishi is the Principal Registered Estate Agent at HSP REALTY and can be reached on +263 772 329 569 or via email at leonita@hsp.co.zw