Kisumu County Governments’ bid to re-develop Sunset Hotel Kisumu has suffered a major setback, after the County’s efforts were dismissed by the Tourism Finance Corporation (TFC).

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According to a statement by TFC, the Corporation is a major stakeholder in the hotel and it should therefore have a major say in its re-development plans.

“We wish to clarify that Sunset Hotel is owned and operated by Sunset Hotel Limited, the shareholders being Tourism Finance Corporation holding 95.42 percent shares and the county government of Kisumu holding 4.58 percent shares,” reads part of TFC’s statement.

“As such, the County Government of Kisumu is neither a contracting authority nor the owner of Sunset Hotel Property,” adds the statement.

Last week, Governo Anyang Nyong’o led Kisumu County placed an advertisement in local dailies calling for an expression of interest in a public-private partnership to redevelop the hotel.

TFC statement has however warned interested members of the public against expressing their interest in the advert, promising to take appropriate legal measures to safeguard the public property.

Sunset Hotel Limited’s management says the call for partnership in re-developing the hotel has not been approved by its Board of Directors.

It states that it has not mandated any entity or anyone to undertake any procurement process on its behalf and members of the public should disregard the Kisumu County government’s actions.