Tourist Lodge Investment opportunity

Date:January 4, 2016 12:21 am

Tourist Lodge Investment opportunity in Narok

This investment opportunity has two options, a Financing option of Kes 10m with a return of 15-18% per annum, or out right purchase of the land, approvals + developments

This 16.67 Acre piece of land is located at the Tourist development area and is about 3 Kilometres to the gate of Maasai Mara. This property has approved change of user, approved architectural and structural drawings, bills of quantities, approvals by the nearby conservancy which will manage it, and has National Environmental Management Authority (NEMA) approval and is already under construction. The Lodge has an option of joining the nearby conservancy or can pay general management fees at the initial stage (this has been done and letter issued).

Photos of the Tourist Lodge Investment opportunity

It is designed to have 10 Cottages – constructed with natural materials to give high end look and feel.

-          8 standard rooms (1 King size bed or twin bed)

-          1 suite (1 King size bed or twin bed)

-          1 Family house – 2 bedrooms

-          Bar and Restaurant

-          Reception

-          Managers/Directors residence

-          Staff quarters

The land boarders a natural permanent stream and is close to a conservancy. It has a natural water well with clean water which can be bottled and is sufficient to run the Lodge. Hence a great source of clean water for the camp/lodge. Other Lodges/camps have to drill boreholes and run desalination plants using Diesel generators to get clean drinking water.

The sellers are looking for financing, or outright sale.

Has good view of the plains.

Already completed-

-          Change of user of the land has been done from Livestock rearing / agriculture to Hotel, cottages, and related services

-          Architectural and structural drawings completed and approved

-          A potential manager who is experienced in running of lodges in Kenya has been engaged and ready to sign a performance contract

-          Business name has been reserved and registered

-          Bills of Quantities has been developed and signed off by a registered Quantity surveyor

-          NEMA license issued

-          Laying of foundation of cottages and reception block

 

Next steps

-         Continue construction to finishing

 

The land owner is looking at 2 options detailed as below. The development is using natural stones in the Maasai mara area.

The options for the Tourist Lodge Investment opportunity

 

Option 1: Private financier of Kes 10m, interest 15-18%, Repayment in 5 years.

The owners are looking to raise funds to complete the development of the lodge and seeks financing phased as below. The owners are ready to offer the land and the developments of the lodge as the collateral and earnings projections are available.

The lodge will be built on a 16 acre  of land, which the investor will give as a collateral valued over Kes 33m.

- A moratorium period of 1 year is sought, during which the borrower would not pay capital and interest.
- Interest rate of 15-18% per annum on the borrowed funds
- Interest to be on reducing balance
- Payment in 5 years
- Property title deeds, approvals and works to be used as the collateral
- Construction expected to run between 7 - 8 months and breakdown of financing suggested as below

Suggested borrowing per phase

1. Complete foundations - 2 months - Amt - Kes 2.5m
2. Walling - 1 month - Amt - Kes 1.5m
3. Roofing - 2 months - Amt - Kes 2m
4. Fittings - 1 month - Amt - Kes 2m
5. Finishing - 1 month - Amt - Kes 2m

Interested financiers to write for more details

 

See the latest developments as of 31st August 2016

Option 2: Lodge investor can purchase 16.67 acre land @ Kes 2m per acre , total - Kes 33.35m ; If later, after construction commences, the sale price will be Kes 33.35m + cost of developments

The investor can purchase the land, the approvals including NEMA at a cost of Kes 33.5m. The land owner can help in the hand holding the investor to get the lodge operational. He can also provide contractor services and hand holding to get the investor full operational at an extra cost.

 

Write to us for extra details for this real estate investment opportunity in Kenya

Price Kes33,350,000
Property Type For Sale
Category

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