The subject lodge is an Eco lodge and campsite in the Chobe region of Botswana, strategically located for visiting the important areas of the park while providing a tranquil atmosphere in the middle of untouched nature.
The lodge sits on 12 hectares surrounded by empty pristine bush.
Currently there are 4 chalets with private kitchens and bathrooms.
In addition, there is a campsite with capacity for around 40 people.
The facility is prepared for expansion with additional safari tents or chalets. The campsite can also be expanded.
In the dry season, the waterhole in front of camp is visited by many elephants daily, while year-round residents include zebra, hyena, giraffe, impala, wildebeest, and prolific birdlife. Wild dogs and lions pass through the area and there are many
interesting smaller residents like honey badger, aardwolf, aardvark, African wild cat and serval.
The lodge is self-catering and appeals to self-drivers, which is a very popular way to explore this region. Clients can stop over at the Lodge on the journey through northern Botswana, or make it their home base while they explore different areas of the region on game drives.
The lodge was started in 2022 and has been gradually built up to its current situation. Even though there has not been much effort put into marketing or bookings until recently, the camp and its facilities are in very good shape and in a beautiful setting, and the business is already running well. So, this represents a property with a lot of future potential which is ready to be taken to the next level by a new management team.
Chalets
The camp consists of 4 rustic-luxury “chalets” which include their own kitchen and bathroom on the ground floor and an elevated floor containing a large room with queen sized bed, glass doors and a spacious balcony overlooking the waterhole. For the self-drivers and campers passing through this region, these chalets offer one of the best price/quality ratios available, as similar accommodations in the region are usually much higher priced. Hot showers are provided by a donkey boiler, and each has its own outdoor shelter with picnic table and braai pit for cooking and enjoying meals outside.
Campsite
The campsite appeals to the budget tourists passing through with their fully equipped 4x4s, usually including a rooftop tent. These customers (which along this road are many) require a safe place to camp at night and access to ablution facilities. The campsite has nice and clean toilet and shower facilities, with hot water showers and a sink for washing dishes. The pitches offer shade and are alive with birdlife. Campers can easily view the waterhole and are offered charging facilities at reception along with WIFI. After experiencing the campsites inside the reserves, which are run down and with limited facilities, these are a welcome upgrade for many travellers.
There is a lookout tower, which is a perfect place to watch wildlife or see the sunset. The reception area provides complimentary WIFI for the camp - for travellers headed through Savuti to Moremi, this is often their last communication until they reach Maun. The reception is constructed with the plan of being utilized as a bar in the future, although that is not yet utilized. There is large communal braai area with running water, a large firepit and a cooking area with a view over the waterhole.
LOCATION AND ACCESS
The lodge setting is 2 hours or less from the 3 principal game drive areas of Chobe National Park – Chobe Riverfront (Serondella), Savuti, and Linyanti. Guests staying at the lodge can access all these areas with day trips and return to their chalet or campsite. It is also close to the main route towards Savuti – the route which is followed by all self-drivers passing through this region.
Our area also has wildlife migrating between the areas of the national park, which visit the waterhole. The fact that we are outside the national park is an advantage for clients because they do not need to pay the daily national park fee unless they decide to go on a game drive.
Access to the camp is provided by tar road from Kasane to the village of Kachikau, 19 kms from the camp. From there, the road is compact dirt and sand and usually does not provide any problems for most 4x4 drivers. There are signs for the camp visitors to follow, and staff is maintaining the road when some problem places or overgrowth do occur. Signs are also visible from Ghoha Gate (Savuti) to the camp. This gives visibility to guests who do not have a reservation and need a camp.
OVERHEAD
One of the advantages of the self-catering facility is the lack of significant supply and overhead costs. The camp can be easily run by 1-2 employees on site, whose job is cleaning, maintenance and welcoming the guests.
Utility costs are minimal. Fuel, firewood, cleaning supplies and maintenance make up the main costs. There are some small yearly costs on the administrative side – accounting, website, etc.
FUTURE DEVELOPMENT POSSIBILIITES
The permit allows for use of up to 50% of the land, and currently less than 20% is used by the existing facilities. There is significant space for adding additional units, campsites and facilities like a bar or restaurant. Adding extra chalets in the area around the existing units or expanding with new chalets or tents in front of the existing campsite area are the two most obvious solutions, as these areas are both ready to be connected to existing septic tank systems.
A bar and common area, in the form of raised viewing platform over the waterhole, will be a great draw for visitors and an additional income stream with bar revenue.
Another possible revenue stream is offering guided activities from camp, including game drives, bird walks, night drives, and day trips to destinations inside the national park. In addition, full-service safaris can be offered by partnering with driver/guides in Kasane or mobile safari operators. This would greatly expand the possible client base.
1. CUSTOMER BASE
The target clients for the lodge are self-drivers. The biggest proportion of these come from Western Europe (Germany, France, UK, Spain) or from South Africa, although guests from many different countries do visit. Most visitors rent a 4x4 either in Maun or Kasane, or in Windhoek/Johannesburg where they include Botswana as part of a larger Southern Africa trip. South Africans may come with their own vehicle overland. The do-it-yourself nature of self-drive tourism means that customers need to plan their trips themselves by gathering information, which is done almost exclusively online.
One main factor that drives bookings, especially in the campsite, is that the main campsites in Savuti and Ihaha (Chobe Riverfront) are nearly always fully booked, often a year advance. Customers who cannot get a booking in these areas are constantly coming to this lodge, which ensures a steady stream of bookings and walk-in clients in the high season.
Facilities
The lodge is fully powered by a modern solar power system that includes power management and battery storage. There is a backup generator in case of failure, which so far has not been used. The camp utilizes ground water from the bore hole, which pumps into several large storage tanks on a tower. The overflow water is pumped to the waterhole. There are two septic tank systems- one for the chalets, and one for the campsite. Thus, the camp is fully self-sufficient and provides year-round water and electricity.
The waterhole has been created and maintained over the course of several years. Water is pumped throughout the day from the bore hole. Elephants are the most frequent visitor to the waterhole, especially in the dry season when they come in large groups. Seeing the elephants drinking and splashing (and at night, hearing them) from a safe distance provides a welcomed thrill and is one of the main attractions for many of the guests. Other frequent visitors include giraffe, zebra, warthog, impala and hyena.
Other facilities and equipment include a reception house with seating area, a staff house with laundry and maintenance facilities, several permanent canvas tents, a Land Cruiser, lawn mower, etc. All of these and all of the furnishings and supplies for the lodge are included in the sale.
LOCATION AND ACCESS
The lodge is 2 hours or less from the 3 principal game drive areas of Chobe National Park – Chobe Riverfront (Serondella), Savuti, and Linyanti. Guests staying at the lodge can access all of these areas with day trips and return to their chalet or campsite. We are close to the main route towards Savuti – the route which is followed by all self-drivers passing through this region.
Our area also has wildlife migrating between the areas of the national park, which visit the waterhole. The fact that we are outside the national park is an advantage for clients because they do not need to pay the daily national park fee unless they decide to go on a game drive.
Access to the camp is provided by tar road from Kasane to the village of Kachikau, 19 kms from the camp. From there, the road is compact dirt and sand and usually does not provide any problems for most 4x4 drivers. There are signs for our camp visitors to follow and staff is maintaining the road when some problem places or overgrowth do occur. Signs are also visible from Ghoha Gate (Savuti) to the camp. This gives visibility to guests who do not have a reservation and need a camp.
FUTURE DEVELOPMENT POSSIBILIITES
The permit allows for use of up to 50% of the land, and currently less than 20% is used by the existing facilities. There is significant space for adding additional units, campsites and facilities like a bar or restaurant. Adding extra chalets in the area around the existing units or expanding with new chalets or tents in front of the existing campsite area are the two most obvious solutions, as these areas are both ready to be connected to existing septic tank systems.
A bar and common area, in the form of raised viewing platform over the waterhole, will be a great draw for visitors and an additional income stream with bar revenue.
Another possible revenue stream is offering guided activities from camp, including game drives, bird walks, night drives, and day trips to destinations inside the national park. In addition, full-service safaris can be offered by partnering with driver/guides in Kasane or mobile safari operators. This would greatly expand the possible client base.
CORPORATE STRUCTURE AND ASSETS
The lodge and all its facilities and assets are owned by a Pty Ltd., which is the company to be acquired. The land is also in the company and measures 12.5 hectares, with 45 years remaining on the land board lease. The developed area is around 2 hectares, with a further 3 maintained hectares (around the water hole and behind the camp).
Physical Assets
4 Chalets, each having: 6 x 4.5m floor space
glass entire front wall, balcony with view to pond
bathrooms at ground level with sink and shower
kitchenette with propane burners and sink
thatched roof braai area, with fireplace and picnic table
Observation tower
Reception house
Staff house and cleaning area with laundry facilities
Ablution block at Campsite – 4 showers, 4 toilets, 4 sinks
Maintenance/storage PVC canvas tent 3m x 6m
Large Metal frame canvas tent – Currently unused
All furnishings in each of these buildings
Speedy Commercial Lawnmower
• Toyota Landcruiser 79 series (older, used for operations)
• Petrol generator
• Tools and Equipment
• Tools and Equipment
• Signage
• Solar powered lights around periphery and campsite
•
Infrastructure
• Sewer - 2 independent septic systems 2 x 5’000L underground septic tanks and soak away for Chalets
• 2 x 5’000L underground septic tanks and soak away for Campground
•
• Electricity solar panels -10x 300W adjustable array
• 2x 5’000Wh lithium- ion batteries with BMS system
• 6’000W hybrid inverter/charge controller
• Electricity to chalets, reception, Staff area, ablutions
•
• Water borehole 24m (main aquifer 13m, secondary aquifer 20m),
• yield 12 m3 / hr minimum
• DC pump 1’100W, max flow 5’500L / hr
• Underground water distribution 700m, 10 water access points
• 500 l sediment tank overflow to 2500 l main distribution tank, gravity pressure
•
SALES OFFER:
Asking Price: USD $ 329’000 (4’500’000 Pula). (± euro 300 000.00) fixed.
The real estate was valued at 3.9 million pula in 2023 (without the business).
Considering that gross income could reach 75’000 USD this year, that indicates a gross sales ratio of only 4.2. Or at only 25% occupancy, a gross sales ratio of only 3.5x. The average hotel occupancy rate in Botswana is over 50%.
Depending on how the camp is run, the Net profit margin can be very high, owing to the low overhead. Taking a very simple calculation, 700’000 pula of revenue and 200’000 of costs per year yields 500’000 of profit, or $37’200. That indicates a yearly net yield of 11.6% on the existing business as it is today, with no improvement.
Those numbers do not take into account the various other revenue streams and additional units mentioned above, for which the camp is already prepared.
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