Big 5 Game Lodge
Private Nature Reserve
1. Business Description 3
1.1 Background 3
1.2 Core activities of proposed business 3
1.3 Location 4
1.4 Service description 6
1.5 Suppliers 7
1.6 Ownership structure 8
2. Opportunity 9
2.1 Customer description 9
2.2 Geographical area where the product or service will be offered 9
2.3 Total customer potential 10
2.4 Competition 10
2.5 Competitive advantage 11
2.6 SWOT 11
3. Marketing 12
3.1 Costing and pricing 12
3.2 Sales projections 12
3.3 Marketing plan 13
4. Operations 13
4.1 Key operational functions 13
5. Finance Projections 14
6. Big 5 Lodge 16
7. Contact details 17
1. Business Description
• To establish and provide world-class accommodation on a Big 5 game reserve with a
proudly South African feel and promote investment in the hospitality sector within the
Zulu Kingdom - Kwa Zulu Natal.
• Promote global awareness of South Africa’s diverse cultures, incredible natural
beauty as well as to showcase South Africa as being the financial hub of Africa.
• To create job opportunities where none existed by creating a platform for local
entrepreneurs and tour operators to offer their services.
• To establish 5 star accommodations at half the rates of the established 5 Star Big 5
Phinda Private Game Reserve bordering this piece of Africa. www.phinda.co.za
• To drop fences between this property and Phinda Game Reserve and become part of
the Big 5 Phinda Corridor.
• By developing a “C” class Mercedes next to the “S” class Mercedes Phinda Game
Reserve and by doing this attracting 500% more tourists to the more affordable Big 5
• The lodge developments will be 100% on the same standard as our successful
1.2 Core activities of proposed business
1. The 1st activity would involve acquiring a well stocked and well maintained game
reserve within Kwa-Zulu Natal that will be managed by a resident game ranger.
2. Immediate lodge investment recovery by developing 12 African feel chalets of 250 sq/
m units with braai, boma and Jacuzzi and which would be sold off plan to local and
3. Promote and encourage day trips for game drives.
4. Development of the lodge comprising of 20 Room Guest Accommodation in a Big 5
environment by dropping fences with Phinda Private Game Reserve.
5. The 5 Star 20 room Lodge will be developed with the profit from selling the 12 mini
6. Establish a restaurant and pub, convenience shop / pharmacy, wedding / conference
facilities, a gym & health spa and a farmyard with petting zoo.
7. Promotion of the lodges threw a number of tourism organisations.
8. Having a positive and workable relationship with our neighbour.
This private game lodge is situated on a 245 ha private nature reserve in KwaZulu Natal. The
lodge borders the 5 star Phinda game reserve for about 4 km, along the Msinene river which
is home to permanent hippos and crocks. The river has large dams that always had water
even during the worst drought. It is close to the Hluhluwe Umfolozi Game Park and the
Greater St Lucia Wetlands Park, which is a World Heritage Site.
• Stand 1 = 125ha Develop the 20 bedroom Lodge
• Stands 6 = 20ha Develop 12 x 4 bedroom Lodges
The only restrictions on the 20 ha properties, is that you are only permitted to build 2
dwellings, no size specified, on each 20 ha. It comes down to a dwelling every 10 ha. With 6 x
20 ha you will be permitted to build 12 dwellings and an additional 2 dwellings on the 127ha
property giving you 14 in total.
The 127 ha is very flat to the river and there are only 2 places that you can build, the rest is
The game lodge is a 2.5 hour drive from Durban and a 5.5 hour drive from Johannesburg and
offers visitors the opportunity to relax and unwind amidst magnificent surroundings on prime
Seven distinct habitats shelter an abundance of wildlife including Africa’s Big Five (lion,
leopard, elephant, black and white rhino, buffalo) and over 380 bird species, while the marine
diversity off the nearby coast of Sodwana is said to rival the Great Barrier Reef in Australia.
The park is home to other wildlife such as giraffe, zebra, wildebeest, antelope and a wide
variety of bird species.
The proposed lodge would be tucked away amongst the trees to allow for maximum privacy.
It would afford visitors a stay of comfort and luxury. The lodge will be let out to tourists and
holiday makers and would make a perfect honeymoon get-away or a gentleman’s private
Besides the attractions in the immediate surroundings, there are also a host of eco-tourism
and cultural activities to enjoy close by.
Guests can look forward to exciting game-drives in open 4x4 safari vehicles led by
experienced rangers and Zulu trackers, as well as thrilling optional activities on the water, in
the air and on the beach.
1.4 Service description
The Game Lodge would initially comprise of 12 privately owned sectional title chalets on the 6
x 20ha stands.
All rooms would be spacious and available for single or double occupancy with views of the
African bushveld. All chalets would have TV with various DSTV channels, tea/coffee facilities,
mini bar, air-conditioning and hairdryers. Standard rooms would feature en-suite bathrooms
with spa bath and shower. Deluxe rooms would include a fire place, jacuzzi spa bath and both
indoor and outdoor shower facilities.
The lodge would further develop an additional 20 rooms Guesthouse on the remaining 125ha
stand. This development would include a Clubhouse with restaurant and pub, convenience
shop / pharmacy, wedding / conference facilities, craft market and a farmyard with petting
zoo. A gym & health spa would offer unique health spa packages as a perfect
accompaniment to a day on the game range. All guests would be encouraged to utilise the
spa hydro facilities before, during and after their spa packages. Therapists would structure all
treatment packages according to guests’ specific requirements.
Sport and activity
Big 5 Game drives
Lake St Lucia Kayaking
Fully equipped gym
Amenities and Services:
Conference / Wedding Venue
Day Clinic / Rehab / Resident Doctor
Convenience store / Chemist
Safe deposit box in room
Restaurant and Pub
Bush Air Strip
The safari experience would cover 245 hectares of “Malaria Free“ true African Bushveld. The
lodge is considered a Nature Reserve first and a Game Lodge second. You will not be
disappointed on the Game Drives. Phinda Nature Reserve, is adjacent to the lodge and hosts
“The Big 5“. They will drive you on the reserve where it is very common to encounter
Elephant, Rhino, Hippo, as well as most of the antelope species found throughout Africa.
Your Safari experience through two Reserves will be a memorable one – guaranteed. For the
Bird lovers the game lodge is a bird watcher’s paradise, with in excess of over 150 species of
birds. It just does not get any better.
• A 245ha game farm needs to be secured in KZN.
• Shepstone and Wylie would be the conveyance attorneys responsible for all sectional
• LJP Developers would be the consulting designer and project manager responsible
for all development on the game farm which includes the proposed chalets, petting
farm and stables, the club house (reservations desk & reception, restaurant, pub,
conference and wedding venue, convenience store, chemist, health spa, gym
facilities, clinic and craft market)
• Remax Heritage would have sole mandate but will list the properties with
Pam Golding Properties, Sotheby’s International Realty, Kimberley Klair Estates as
well as Imranne Bux & Associates would be responsible for soliciting investors both
locally and abroad to invest in the 12 sectional title chalets on the game farm.
• And Beyond website and their network of travel agents would be the primary supplier
of patrons to the game lodge.
• Phinda will also be approached as a supplier of overflow guests.
• The present property owner have accepted to give REMAX Heritage a first refusal
• The property owners have assured that no gazetted land claims have been made on
the said property.
• The property is available immediately.
• Expofin could be the accounting firm responsible for all finance and accounting.
• Reaction Unit South Africa can provide 24/7 security on the property as well as be
responsible for disaster management.
• KZN Aviation can operate aerial tours at the game farm and helicopter charter from
• Federal Air could offer charter flights to the game farm from Johannesburg
• Zebu Hydro Spas could manage and operate the health spa and gym.
• Drs Singh & Harilall and partners could operate the day clinic and pharmacy.
• Dr N. Debba could operate the rehab centre.
• Vintage Group of Restaurants could manage and operate the restaurant and pub.
• Khuleni’s 24/7 could be responsible for laundry at the lodge as well as provide
cleaning and maintenance staff.
• Roy’s café could operate the convenience store on a lease.
• City Line Transport could operate their coach on the route between Durban and the
1.6 Ownership structure
• To be secured
o Development module
12 x 4 Bedroom Lodges
1 x 20 Bedroom Lodge
2.1 Customer description
• The game lodge sectional title chalets would cater for multiple customers ranging
from corporate companies to private individual investors with the desire to own a
small piece of land and manage it in an ecologically sustainable way or to merely
utilize as a retreat to combat stress.
• The game lodge sectional title chalets would also be promoted as a platform for
entrepreneurs to establish mini game lodges within a Big 5 game lodge and nature
• The game lodge would cater for business executives on conferences and team
building exercises, institutions like school groups on day trips and other business,
leisure and medical tourists.
2.2 Geographical area where the product or service will be offered
Kwa-Zulu Natal - Greater St Lucia Wetland Park & Elephant Coast
Covering about 240,000ha, with a further 84,000ha in, on or under the sea, this is a large
chunk of sub-tropical paradise stretching 220km along the East Coast from St Lucia to the
As well as a mind-blowing range of natural systems, ranging from dune, swamp and coastal
forests to rocky and sandy shores, coral reefs and submarine canyons, mangroves, savanna
grassland, thickets, woodlands, and the largest protected wetland in southern Africa, it is a
culturally fascinating area and - more importantly - has immense fun potential. Game viewing
opportunities range from self-drive to luxury lodges, and the birding is awesome. You can
paddle on the various lakes, checking out hippos, birds and game on the shore.
The St Lucia site consists of thirteen contiguous protected areas with a total size of 234,566
hectares. The site is the largest estuarine system in Africa and includes the southernmost
extension of coral reefs on the continent. The site contains a combination of on-going fluvial,
marine and aeolian processes that have resulted in a variety of landforms and ecosystems.
Features include wide submarine canyons, sandy beaches, forested dune cordon and a
mosaic of wetlands, grasslands, forests, lakes and savannah. The variety of morphology as
well as major flood and storm events contribute to ongoing evolutionary processes in the
area. Natural phenomena include: shifts from low to hyper-saline states in the Park's lakes;
large numbers of nesting turtles on the beaches; the migration of whales, dolphins and whale-
sharks off-shore; and huge numbers of waterfowl including large breeding colonies of
pelicans, storks, herons and terns. The Park's location between sub-tropical and tropical
Africa as well as its coastal setting has resulted in exceptional biodiversity including some 521
Justification for inscription:
(vii). To contain superlative natural phenomena or areas of exceptional natural beauty and
(ix). To be outstanding examples representing significant on-going ecological and biological
processes in the evolution and development of terrestrial, fresh water, coastal and marine
ecosystems and communities of plants and animals.
(x). To contain the most important and significant natural habitats for in-situ conservation of
biological diversity, including those containing threatened species of outstanding universal
value from the point of view of science or conservation.
2.3 Total customer potential (for purchase of individual sectional title stands)
• Potential customer base
o The potential customer base would include the overseas investor who
capitalizes on the favourable rate of exchange thereby affording them the
opportunity to make large investments locally.
o The potential customer base across South Africa is in excess of 350,000
medium to large enterprise owners.
(Article Information: Title: Managing International Trade: An analysis of South African SME’s. Author: W. Stoonteins)
• Typical spending on product/service
o The typical spending on similar developments hovers in the region of USD
1,500,000 to USD 2,500,000 million (approximately 15 to 20 million Rand)
• Target Customers
o Based on the identified number of potential (local) customers 0.0035% or 12
of these customers will be required to invest in sectional title units to reach
projected sales targets.
• Phinda Game Reserve remains a direct competitor.
• Phinda Game Reserves core business or business activity involves promoting eco-
tourism and safaris in KZN - South Africa offering guests 5 star hospitality.
• Phinda Game Reserve is a neighbouring game reserve.
• Phinda’s geographical areas of operation extends from north of St Lucia Estuary up
to the coastline spanning 21000ha of nature reserve.
• Phinda Game reserve started with a natural bush farm and later introduced the Big 5
game. Hence the name Phinda, which means ‘to bring back’ in the local Zulu
language’. Partnerships were forged with neighbouring farms and reserves and their
borders had expanded rapidly.
• Phinda has successfully captured a niche overseas market, by offering 5 star
hospitality in the heart of the African Bushveld. Their marketing is done exclusively on
the Internet, via their website.
• Phinda Game reserves strengths remain in the size and location of their well stocked
and well maintained game lodge an up market accommodation.
• Their weakness being, that they only cater for the Mercedes “S” class and this
development can be the Mercedes “C” class.
• They also only cater for the top 1% of the upper class traveller, this development can
be for the 20% mid upper class traveller.
2.5 Competitive advantage
The proposed game lodge will succeed with the early recovery of establishment costs through
the sale of sectional title units and working in partnership with our neighbouring game lodges.
Our competitive advantage being, utilization of the ample space for development of
accommodation on the property in partnerships and in mutually beneficial developments.
1. The proposed Big 5 game lodge is ideally situated within a nature reserve with
conservation sanctuaries, cultural villages and the coastline just a stone throw away
and ample space for development.
2. There is a huge demand for sectional title stands in the area and we have already been
approached by estate agents requesting a mandate market the same to their databases
of potential investors.
3. They are established online in accommodation reservations and have booked over 1
million bed nights to date via our website, alliance partners and a network of over 150
travel agents abroad.
4. With the economy being on a downswing, most foreign investors seek solutions
whereby they could capitalize on favourable rates of exchange when investing.
1. Lack of operating capital.
1. The opportunity to create over 50 new jobs locally, 30 permanent at the game lodge.
2. The opportunity to assist local entrepreneurs in establishing mini lodges within our
3. The opportunity to network internationally and promote KZN - Tourism.
4. The opportunity to become self funded within year two of acquiring the game reserve.
We remain very optimistic about the future of our country and South Africa will remain one of
the hottest and most vibrant tourist and investment destinations in the world. No threats have
been identified at present and nothing foreseen in the near future.
3.1 Costing and pricing (Sectional title stands with chalets)
• Cost Price
o Each sectional stand would comprise of either a 3 or 4 bedroom chalet.
o The 3 bedroom chalet would retail R5,900,000-
o The 4 bedroom chalet would retail R6,500,000-
o Total cost includes the 10ha stand with a 3 or 4 bedroom mini-lodge.
o The total retail price includes the above and R 400,000 agent commission but
excludes transfer duty & VAT.
o Each unit will be serviced with a servant, chef and guide and would attract a
o Each lodge will be rented out on the behalf of the owners on a 30 / 70 split
after costs and levy have been taken into account.
o Lodge rooms are loose standing, 2nd , 3rd and 4th Bedrooms
3.2 Sales projections
• Unit sales
o 1 unit is expected to be sold per month over a period of 12 months.
• Increase in sales
o An aggressive online marketing campaign would be run over the short term.
o The 12 sectional title units will be offered initially as a personal investment
option to all within our REMAX network. All agents work for commission and
R 400,000 set aside per lodge is very attractive to ensure that all concerned
will go the extra mile to promote sales of the sectional title units.
o Sales of the 12 sectional title units will also be promoted by other estate
franchises but REMAX Heritage as sole mandate.
3.3 Marketing plan
The following marketing actions will be employed to achieve the expected sales.
• Online advertising will capture both local and international audiences.
• Promotion REMAX existing network of Estate agents abroad.
• Displays outside Johannesburg & Mumbai Stock Exchanges to attract the ‘right’
standard of investors.
• Existing local and foreign representatives would be given the added responsibility
of ensuring sales on an incentive basis.
• Being flexible on payment with foreign buyers whereby 50% deposit secures the
o All online marketing and other campaigning undertaken by will be at no cost
to the lodge. This arrangement will remain in force until such time that all 12
units have been sold.
o Independent estate agencies advertise at their own expense.
4.1 Key operational functions
Marketing and sales
A network of agents, affiliates and independent estate agents would execute
the marketing plan as described.
All sectional title enquiries would be handled by REMAX Heritage
Finance required for Show Lodge
3 Bedroom Lodge 2,240,000
Cost per 3 Bedroom Lodge
Land purchase 1,058,333
Per Lodge 2,240,000
Agents commission 400,000
Developer Profit 1,625,901
Cost per 4 Bedroom Lodge
Land purchase 1,058,333
Per Lodge 2,740,000
Total 3,898,333 Estimated developers Profit
3 Bedroom Profit
12 x 3 Bed Lodges
Agents commission 19,510,812
Developer Profit 1,655,900
Estimated income to Lodge Owner and
Managing Agent / Developer
12 x Lodge’s Occupancy per Month
Rate 50% of Phinda's Zuka Lodge 80% 30%
12,500 Rand per night 310,000 116,250 p/m
Expenses 50% of Income
155,000 58,125 p/m
Profit of 50% of Income
70% of Profit Owner 108,500 40,687 p/m
30% of Profit Managing Agent 46,500 17,437 p/m
12 Lodges Rent
Managing Agent 12 Lodges 558,000 209,250 p/m
Link to Phinda Zuka Lodge:
50 sq/m Floor Area
6. Big 5 Lodge
Estimated Big 5 Lodge Development Cost on 125 Ha
Building Cost 12000000
Management 1000000 Quarters
Cash flow 500000
Total Cost 19000000
Estimated income of Big 5 Lodge
Lodge Occupancy per Month
Rate 50% of
Forest Lodge 80% 50% 30%
Rand per per room
1,648 Night 40,858 25,536 15,321 p/m
Expenses 50% of Income
1 Guest Sharing 20,429 12,768 7,660 p/m
Profit 50% of Income
2 Guests Per Room Profit 40,858 25,536 15,321 Room
20 Room Lodge
Per Month Profit 20 Room 817,160 510,725 306,435 Lodge
20 Room Lodge in Year
Per Year Profit 20 Room 9,805,920 6,128,700 3,677,220 Lodge
Link to Phinda Forest Lodge:
Estimated Development Combined Profit:
80% 50% 30%
20 Room Lodge Profit in Year
9,805,920 6,128,700 3,677,220 p/y
12 Lodges Year Profit to Managing Agent
6,696,000 4,185,000 2,511,000 p/y
Development Per Year Profit
16,501,920 10,313,700 6,188,220 p/y
7. Contact information
• Physical address
o 09 Dolphin Avenue, St Lucia
• Postal address
o P.O. Box 267, St Lucia, 3936
• Contact person
o Lourens de Lange
• Contact detail
o Tel - 035 590 1717
o Cell - 072 735 0138
o Fax - 086 613 4768
o E-mail - email@example.com
o Website - www.remax-heritage.co.za