Boutique Hotel Opportunity in Nuwara Eliya
Few places in the world can offer the traveler such a remarkable combination of stunning landscapes, pristine beaches, captivating cultural heritage and unique experiences within such a compact location. Within a mere area of 65,610 kilo meters lies eight UNESCO World Heritage Sites, 1,330 kilo meters of coastline – much of it pristine beach – 15 national parks showcasing an abundance of wildlife, nearly 500,000 acres of lush tea estates, 250 acres of botanical gardens, 350 waterfalls, 25,000 water bodies, to a culture that extends back to over 2,500 years.
Sri Lanka’s GDP grew by 7.4% for 2014 up from the 7.2% growth recorded the previous year. Expansion in the Industry sector and growth in the Services and Agriculture sectors were the main drivers of GDP growth.
The tourism industry performed well in 2014, exceeding tourist arrival targets set for the year, which was 1.5 million visitors. Tourist arrivals for the year amounted to 1,527,153, a 19.8% increase from the previous year’s 1,274,593 arrivals.
Hospitality Industry Outlook:
Investment in new properties continued in 2014, with international hotel chains such as Shangri-La, Hyatt, Sheraton, Movenpick, RUI, NEXT, Best Western and CENTARA proceeding with construction.
Tourism is booming in the Northern and Eastern provinces of Sri Lanka, as development of those areas go on a pace. These are locations of great potential in diversifying the tourism product of the country. These and other initiatives will aid the country achieve its target of 2.5 million arrivals by the year 2016.
Property for investment:
This proposal seeks to highlight the potential of the tourism and hospitality sector in Sri Lanka and the revenue potential of investing in a Boutique Hotel Project in the salubrious hill country of Nuwara Eliya.
The project needs an overseas party to invest, own and manage the property with the local partner who owns the land extent.
• The land in extent of 10 perches in the proximity of the main city and many holiday retreats generally cater to the Middle Eastern family market segment.
• The project requires an investment of USD 275,000 on a land extent valued at USD 150,000.
• It is expected break-even from the 3rd year of operation with an average 70 percent occupancy level, which is industry standard in the country.
• It has a payback period of ten years with an average ROI of 11% and Net Profit of 15% at accounting rates.
• Upon initial expression of interest, a further project plan with cash flows and related details can be submitted along with a business plan.
• 6 exclusive family rooms with separate kitchen and service facilities.
Detailed investment proposal is with the biz-friendly OSL Team and genuine parties could request for a free consultation on the property proposed.
|SECTOR :||Tourism & Hotels|
|OPPORTUNITY CODE :||VBS/OP/29062016/X-1|