Opt out of the Rat Race and relocate to the stunning surroundings of mountain and trout streams near Dullstroom (a Covid-19 Best Value Hospitality Property)! for sale

Hospitality Project

Opt out of the Rat Race and relocate to the stunning surroundings of mountain and trout streams near Dullstroom (a Covid-19 Best Value Hospitality Property)!

Lydenburg - Dullstroom, Mpumalanga, South Africa

NEGOTIABLE

19 500 000 ZAR

16 500 000 ZAR

Agent: Cliff Jacobs - Managing Principal Estate Agent & CEO (Nat.Dpl.Hotel Man (UJ). M.P.R.E.)
Agent Cellphone: +27 (0) 84 413 1071 / +27 (0) 61 716 6951
Agent Office Number: +27 (0) 21 554 0283
Agent Email Address: cliff@exquisitehotelconsultants.com
Type: Hospitality Project
Bedrooms: 12
Bathrooms: 12
Showers: 12
Parking: 30
Yield: Not Disclosed
TGCSA Rating: 4 Star

MOTIVATION: LIFESTYLE INVESTOR OR OWNER/MANAGER/DEVELOPER

This Lodge is a profitable business which enjoys an excellent reputation and a high profile in the hospitality industry along with a good occupancy rate, thanks to extensive marketing for the past 20 years. There is steady midweek conference and accommodation business thanks to the proximity of Eastern Platinum mines and the Lodge is a popular weekend destination for Gauteng visitors. Added to this is the business generated by Travel Agents who book international guests en-route from OR Tambo to game parks in Mpumalanga and Limpopo.

The Lodge business could be further maximised by growing the business – a bigger conference centre and wedding venue, additional houses and the opening of the restaurant to the general public would all generate greater revenue. Notwithstanding these improvements the Lodge is in pristine condition and not a cent needs be spent by a new owner operator. The current owners can offer a take-over period if required and trained staff are in place to continue daily operations.

The cherry on the top is the development opportunity: 24 additional stands to be developed and sold to free-hold title buyers. Estate levies would generate an additional source of income and on completion the estate would be a sound investment for the future. The rights are in place, electricity and water have been secured and the development could commence immediately. So either retain and expand the lodge OR convert the existing 7 improved stands into houses for a quick sale and develop the additional stands.

It is envisaged that besides second home buyers in the leisure market, there is a ready-made market in Lydenburg. Crumbling infrastructure and a bankrupt municipality makes purchase in a nearby secure estate off the municipal grid an attractive proposition for home owners. This Eco-Estate offers secure and affordable country life close to Lydenburg in idyllic surroundings!

GOING AWAY FOR R&R. LOOK NO FURTHER!

Bring your loved one or your family to a country venue where every detail has been anticipated.

Cobbles studios are ideal for couples seeking romance in self-catering king-bedded studios. Fling open the wooden shutters onto you deck and barbeque on gas units by the light of a hanging lantern or stroll across the lawns to the romantic candle-lit elegance of Stone Manor where a chef presents an exquisite 3-course meal.

Stone Cottage is ideal for a family of four – master bedroom en-suite, second bathroom and sleeper facilities for up to 3 children in the lounge. Open-plan luxury living with well-equipped kitchen, high rafted ceiling and fireplace. Stunning views and 2 private barbeque patios.

Trout House is available for bigger groups with 3 bedrooms en-suite sleeping 7. This charming stone double-story house offers luxury open-plan living with fireplace and a great kitchen area. The fabulous setting in absolute privacy overlooking the dams make this the ultimate family get away and includes a thatch boma next to the house with barbeque.

Browse in Dullstroom during the day, soaking up the quaint village atmosphere with its many restaurants and pubs, from craft beer to whiskey tasting. Or explore the Panorama route, winding through mountain passes with dramatic, stunning views.

Return to elegant dining, or self-cater or opt for a gourmet braai basket to be delivered - all the side dishes, including desserts are prepared for you!

Breakfast is available at Stone Manor: on summer days sit on the deck built out over the pond where water lilies float, an idyllic setting for romance, or on chilly mornings the roaring log fire will beckon you!

You really won’t want to go home, so why not take advantage of our special offer

Contact agent

Key features

INVESTMENT PROPERTY IN SOUTH AFRICA

Dullstroom / Lydenburg area, Mpumalanga, South Africa

Includes a well-established 24 bed Trout Lodge (4 Star)

63 hectare property with approved development rights for an Eco-Estate, so no implementation delays.
31 free hold title stands of which 7 are developed and serviced for the existing lodge business and the remaining 24 full title stands are available for development.
Great fishing from 2 dams and 3 kms of river.
200Kva of Electricity has already been installed on the property.
Water rights approved for borehole and abstraction from Dorps River.
Existing successful and well-maintained 24 bed trout lodge.
Excellent birding and hiking and Fly-fishing.
The property has access off the R540 (1km gravel road) No 4x4 necessary.
Great position- 3 hrs from Gauteng and 2 hrs to Orpen Gate, Pabeni Gate, Paul Kruger Gate in KNP (Kruger National Park)
Panorama route including Long Tom Pass, God’s Window, Blyde River Canyon, The Pot Holes, Mac-Mac falls and Pilgrims Rest are all an easy day-trip from the lodge.

Business opportunities are extremely realistic and ROI should be realized quickly once the undeveloped stands are serviced and sold.

Zoning: Eco-Estate (no longer an agricultural property and has NO land claims)

A profitable LODGE over 7 developed stands in an area of +- 6 hectares (all buildings are on freehold title stands).
An additional 24 undeveloped freehold title stands of between 1000-1500 sqm.
Portion 71 which is the remainder of the farm, 57,6855 hectares, the common area.

LODGE: A well-established trout lodge (since 2002) sleeping 24 people in total, with various accommodation options. The lodge enjoys an excellent reputation and is highly rated by Trip Advisor, Booking.com etc. and offers excellent accommodation, meals and service. Consistent marketing has ensured good occupancy rates. Primarily a weekend destination, there is regular midweek occupancy owing to the proximity of local mines and this has recently seen a huge increase due to mining expansion in the area. International visitors and travel agents find the lodge an ideal stop-over en-route to the game parks and regular conferencing is a valued source of income.

Income from the lodge covers the costs of both the lodge business and upkeep.

(Common Area)

200sq metres building comprising 2 staff rooms (overnight stays when necessary for the lodge operation), staff kitchen, ablutions, fully equipped laundry, furniture store and workshop. There is under-cover parking for tractors, fire trailer and other farm equipment.
2 010 metres of electric fencing surrounds the designated residential area with 4 gates allowing access to the river and common area.

Strengths

The Lodge has a strong brand and is a leader in the hospitality industry in this area, through ongoing strong marketing. (SA Grading 4 Star, 92% positive feedback from Booking.com and Trip Advisor)
Closeness to mines (within a 60km radius) has brought in mid-week business and regular day conferencing - occupation has been close to 60%. Platinum mining in the area is rapidly expanding. A new Anglo mine has just opened and Booysendal mine has undertaken huge expansion, currently building a mining estate of 316 houses in Lydenburg. This resurgence brings consistent overnight business to Stonecutters as the Lydenburg B&B’s are below par. Group and conference bookings for those companies involved with supplying mining equipment have also increased.
The Estate is completely independent of municipal services with regard to water, electricity and sewerage. The local municipality is facing bankruptcy and failing infrastructure in Lydenburg would attract buyers from the town (only 15 mins away,) for stands at our Estate.
The established lodge business (20 years) makes the sale of stands an attractive proposition to city dwellers wanting to either live in the countryside or invest to lease back to the Lodge business.
The (Pty) Ltd business is profitable and well run with annual audited financials. The company is VAT registered.
Well- trained staff.
No land claims.
Closeness to the R540 (1 km) suits most guests and high clearance/4x4 is not necessary.
Strong perennial river (Dorps).
The property is very secure within an area of little crime.
Both the buildings and the lands are beautifully maintained.
The lodge accommodation offers fully catered stays and also has self-catering options in all of the houses.
Not in a Malaria area.

Opportunities

An owner/operator could escape the rat-race for an idyllic life-style, overseeing the lodge operation (and possible expansion) while developing the unimproved stands.
Alternatively an investor could enjoy income from the lodge while developing the stands.
The running costs of the farm would ultimately be covered through levies being paid on the stands. The lodge business would then not carry the costs of the farm and be highly profitable.
Owners of cottages could rent back to the lodge and earn income from their investment.
Increasing the number of rooms in the lodge would attract larger conferences.
The business could be expanded to include weddings and the restaurant could be opened to locals.
The lodge business could be terminated and the existing houses sold off along with the stands.
A purchaser could sell off the lodge business and concentrate on the development, or continue the lodge business and sell the development.

Threats

No direct threats

Available documentation

Google map with stands overlaid on the map.
Approved drawings showing sub-division plans.
Title deeds.
Valuation Certificate (existing buildings and land, but excluding a value on the business and loose assets).
Certificate confirming that there are no land claims.
Vat, Grading and B-Bee Certificates.
Comprehensive descriptions of the lodge buildings as well as the undeveloped stands.
Gallery slide show.

URGENT SALE

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