Eko Hotels, Federal Palace, others jittery over revival of National Theatre

...as Bankers Committee unveils the new national edifice

Top hotels and events centres in Lagos State providing events services to rich individuals and corporations are now faced with a threat of huge market encroachment and revenue loss with the expected commencement of operations of the newly refurbished Banquet Hall of the National Arts Theatre, Iganmu, Lagos, Business Hallmark can report.

The Bankers’ Committee, an exclusive forum for the chief executives of Nigerian banks and the directors of the different departments of the Central Bank of Nigeria (CBN), with the CBN governor as chairman, on Wednesday, August 28, 2024, announced the completion of the renovation and upgrading of facilities at the National Theatre.

The once rundown edifice, it would be recalled, was handed over to the Bankers Committee on February 14, 2021 for renovation and management, at a Memorandum of Understanding (MOU) and contract award signing ceremony between representatives of the Federal Government, Lagos State government and the Bankers Committee.

New look National Theatre hall

To unlock its potential in the entertainment and creative sectors, renovation works on the facility’s 4,000-seater main bowl, 3,000-seater banquet hall, exhibition halls, cinemas, VIP spaces, actors’ changing rooms, industrial kitchen, 300 new toilet cubicles, roof repairs, clinic, fire station, and lobbies within the four entrances of the theatre commenced in July 2021.

The representatives of the Bankers’ Committee, Chief Executive Officer of Sterling Bank Group, Mr. Abubakar Suleiman, and Managing Director of Lotus Bank Ltd, Mrs. Kafilat Araoye, while speaking during a media tour of the revamped facility last week, said the committee was shocked at the scale of the work needed to be done when they first moved in.

“We were shocked at the scale of the work that needed to be done, but we were also impressed by the possibilities that it represented. This is one of the largest scaled projects of its kind anywhere on the continent.

“The renovation of the National Theatre by the Bankers Committee showcases what is possible with the power of patriotism and collective responsibility on the part of the private sector in partnering with the Federal and Lagos State governments, to reignite hope and revive some of our national monuments and assets”, Suleiman stated.

National Theatre

BH findings revealed that repair works at the facility, including the replacement of the entire heating, ventilation, and air conditioning system; the upgrade of the fire safety standards, and power, replacement of the water supply and sewage systems, and the upgrading of interior design with the installations of the audio-video lighting world stage engineering system, 17 passenger lifts, were done to the best standards in the world.

Apart from these interventions, a new solar power plant that will supply off-grid electricity to the theatre was installed; an industrial kitchen that will cater to the needs of guests was built, new furniture for spaces, as well as restoration of artworks, including those on the internal wall panels and the building facade put in place.

Other works done in the theatre include the total renovation of the three entrance gatehouses, construction of four themed landscapes, a car park block that can accommodate 250 cars, the ring road, as well as the installation of external street lighting and CCTV cameras.

While many Nigerians, including the Managing Director of Lotus Bank, who spoke during the completion of works announcement have continued to applaud the restoration of the theatre.

However, with the rebirth of this national treasure and restoration of the nation’s culture and heritage, top-notch hotels and events centers reputed for hosting major events in their facilities, our correspondent gathered, are currently jittery over the attendant loss or decline in patronage expected to be triggered by the coming on board of the National Theatre’s ultramodern 3,000 capacity banquet hall.

National Theatre

Prior to the completion of renovation works on the national theatre, some top hotels and event centers with grand venues and multipurpose facilities like the Eko Hotels and Suites owned Grand Ballroom and Convention Centre, Balmoral Hall, Civic Centre, Oriental Ballroom, Landmark Centre and Harbour Point Event Centre, amongst many others located in the heart of Victoria Island, Lagos, are a popular destination for big events, including conferences, weddings, exhibitions, concerts, and other social gatherings.

These prominent events and hospitality centres are owned by well-oiled individuals and corporate establishments.

For instance, the Grand Ballroom, and Eko Convention and Exhibition Centre managed by Eko Hotels and Suites are owned by Nigerian-Lebanese businessmen, Ronald and Gilbert Chagoury, while Balmoral Hall belongs to the Federal Palace Hotel.

Likewise, the Oriental Ballroom in Oniru, Victoria Island, is owned by the Lagos Oriental Hotel; Civic Centre and Civic Towers are owned by billionaire businessman and Chairman of Zenith Bank Plc., Jim Ovia; Landmark Centre by Landmak Africa and Harbour Point Hall, owned by Harbor Point Limited (HPL).

National Theatre

According to BH findings, almost every significant event in the last 10 years like the Zik Prize in Leadership Awards; UBA’s Annual CEO Awards; GTCO’s annual Food and Drink Festival; Fidelity Bank’s annual end-of-year party; Multichoice’s Africa Magic Viewers’ Choice Awards (AMVCA); Lagos Ehingbeti Economic Summit; Headies Awards and All Africa Music Awards (AFRIMA) have taken place in these high-end facilities owned by powerful Nigerians and popular international hotel chains.

Top staffers of some of the hotels and events centres, who spoke to BH at the weekend on the possible decline in the booking of their halls, admitted that some of their customers, especially financial institutions, will divert their activities to the National Theatre, which they now partly owned.

“What do you expect? They now own the theatre in which they have pumped billions of naira into in order to bring it to international standard. Like all investors, they are after profits. They will want to recoup their money within the time limit the concession agreement stipulated.

“I don’t expect any other approach different from that from them (banks). It’s like one expecting the Chagoury’s, with their banquet and events halls, which are probably the best in the country, or Jim Ovia to abandon Eko Hotels and Civic Towers/Civic Centre for their competitor’s facilities.

“We are prepared for the worse case scenario, which is losing the patronage of banks and the Lagos government, one of the project partners.

“In fact, they are our best customers. They are always holding one event or the other in the facilities. When they are not hosting an event of their own, they are sponsoring events, whose original organizers wouldn’t have been able to stage on their own.

“Own greatest fear is not even the fear of losing banks’ and Lagos government’s highly profitable patronage, but the bandwagon effect that we expect will follow.

“We are in a clime where people like to copy others. The moment traffic starts to draw towards National Theatre, copycats, who just ‘want to belong’ will follow suit by joining the rat race.

“I just pray that the honeymoon will not last”, declared a booking manager with one of the top hospitality firms in Lagos.

National Theatre

Speaking last Wednesday in Lagos on the historic completion of construction works on the theatre, the state Governor, Mr. Babajide Sanwo-Olu, alluded to the fact that the facility will not cater to arts, tourism, and culture alone, but is going to reshape the hospitality industry by providing a venue for the local and international community to hold conferences and world-class performances.

Expected to be mostly affected by the expected exodus is Eko Convention and Exhibition Centre’s five different sections and the banquet hall.

The Expo centre, which is the largest multipurpose conference in Nigeria (can accommodate 270 exhibition stands and performances for up to 6,000 people) and the banquet hall, Grand Ballroom, which sits 350 people for dinner, available data revealed, host more than 60% of all high-value events in the country. The going rate for the Grand Ballroom is about N10 million. The package includes meals and drinks (soft) for the guests, built-in sound systems, and professional lighting.

National Theatre

With the envisaged fall in hall bookings by banks and the Lagos State government, which account for about 45% to 50% of its clientele, sources in the industry informed BH, that the hotel will no doubt be affected by the looming customer loss.

Multiple sources confirmed to this writer that the banquet hall of Eko Hotels have been fully booked for the months of October and November, with the exception of November 8 which is still available for booking as of August 19, 2024.

Other hotels and halls like Balmoral, Oriental Ballroom, and Civic Tower are expected to suffer the same fate.

The construction of the National Arts Theatre, it would be recalled, was started by the military regime of General Yakubu Gowon and completed in 1976 by the Olusegun Obasanjo administration for the hosting of the 2nd World Black and African Festival of Arts and Culture (FESTAC), which held in Lagos from 15 January 1977 to 12 February 1977.

National Theatre