The University of Rwanda (UR) has announced plans to develop a new hotel in Huye, including a five-star facility, as part of efforts to expand investment in the district’s hospitality sector and respond to growing demand for accommodation from lecturers, researchers, students and other visitors.
The proposed hotel is expected to be developed on land owned by the University of Rwanda in Itaba, where the institution sees an opportunity to make better use of its property while addressing the growing need for quality accommodation.
The project was highlighted during the Huye Investment Forum held on September 30, 2026, which brought together investors and other stakeholders to discuss investment opportunities in the district, challenges facing investors and measures that could help attract more private capital.
Education and related services emerged as some of the areas with significant investment potential in Huye. The district is home to four higher learning institutions with more than 18,000 students, in addition to lecturers, researchers and other employees who create demand for accommodation, restaurants and other services.
Huye also attracts people for tourism, entertainment and sporting activities, further increasing demand for hospitality facilities.
The University of Rwanda is one of the institutions seeking to turn this demand into investment opportunities. Its Huye campus has more than 13,000 students and over 600 staff members.
The university’s Vice Chancellor, Prof. Didas Kayihura Muganga, said the proposed hotel could offer three-, four- and five-star accommodation, giving visitors different options depending on their needs and budgets.
“It is meant to complement the existing facilities by making use of our land while also meeting our needs. Our lecturers and researchers, as well as international academics we bring in to teach here, need accommodation,” Prof. Kayihura said.
He explained that the university regularly hosts lecturers, researchers and foreign academics, creating a consistent need for quality accommodation.
“We envisioned a hotel with different categories—three, four and five stars—so that a visitor looking for a five-star hotel can stay there, while someone looking for a three-star option can also find accommodation,” he said.
Huye already has two four-star hotels, but the district does not currently have a five-star hotel, according to the university’s presentation at the investment forum.
Once completed, the hotel is expected to be handed over to a professional management company to operate it. The university expects the project to generate income for the institution while also contributing to the wider economy.
Student housing seen as another major opportunity
The University of Rwanda also identified student accommodation as another area where investors could find substantial opportunities in Huye.
Despite having more than 13,000 students at its Huye campus, the university currently has capacity to accommodate only about 4,000 students in its own residences.
This means thousands of students have to find accommodation elsewhere, often renting rooms or houses in surrounding communities.
Prof. Kayihura said this gap presents an opportunity for investors to develop modern and properly equipped student housing facilities.
“The rest have to find accommodation outside the university, often in houses that do not meet the required standards. Anyone considering investing in student accommodation has a clear business opportunity,” he said.
The university has land that could be made available to investors through partnerships. Under one possible arrangement, an investor could use university land to construct and operate student accommodation, with the university contributing the land while the investor provides the capital for construction.
Another option would be a joint investment arrangement in which the university and the investor agree on their respective contributions and responsibilities.
“An investor with a good project that meets the university’s objectives can approach us and we can discuss the partnership. We could provide the land as our contribution while the investor develops the project, or agree on another arrangement that allows us to implement it together,” Prof. Kayihura said.
The proposed student accommodation would not only provide housing but could also include additional services designed to meet students’ daily needs.
These could include entertainment facilities, retail outlets, laundry services, food outlets and other commercial and recreational services, creating additional revenue streams for investors and improving the living environment for students.
University seeks to expand its investment role
The University of Rwanda’s proposals form part of its broader efforts to participate in investment and income-generating activities beyond its traditional academic functions.
The institution already has two investment entities, UR Holding and UR Engineering, through which it participates in commercial and technical activities.
The university sees its large land holdings and substantial student and staff population as assets that can support additional investment projects while addressing infrastructure and service gaps in Huye.
The proposed hotel and student housing projects could therefore create opportunities for private investors while supporting the district’s broader ambition to attract investment and strengthen its hospitality, education and service sectors.
The Huye Investment Forum provided a platform for the university to present these opportunities to potential investors and explore partnerships that could turn its land and existing demand into new infrastructure and business ventures.
