Overview of Golf Estate Lodges

The Elements Private Golf Reserve's 14-bed corporate lodges, on 18 000sqm stands, will offer 'in-house, out-of-office' dedicated conference facilities, while the golf lodges will consist of two and four bed units. A factor that will appeal to many investors is that when not in use, the lodges can be sub-let through the commercial rental pool system that will be operated by the Legacy Hotel Group.

Elements Private Golf Reserve Golf & Corporate Lodges

Background Information

These comprise fully complete and furnished lodges (although the option to acquire a non-furnished option does exist). The golf lodges represent a hassle free, turnkey investment for both private and institutional investors.

Three types of lodges are being offered on Elements Private Golf Reserve:

• a two bedroom (both en-suite) lodge
• a four bedroom (all en-suite) lodge
• a corporate lodge and conference facility

The golf lodges have been designed in a manner conducive to entertaining through having a centralised living area, pool and boma, while bedrooms are detached, maximising guest privacy. The golf lodge designs are shown on the Elements Private Golf Reserve website. TC Design, the architects assigned to the project, have produced a product that focuses on styled simplicity that compliments the surrounding beauty of the natural elements. Interior decorating profiles are also available and reflect an up market, "mod bush" theme. Building materials, internal finishes and décor place emphasis on stimulating all the senses to create a 'bush' atmosphere in an environment of luxury.

There are a planned 24 two bedroom golf lodges and 36 four bedroom golf lodges. The average size of the two bedroom lodge sites being 1 500m² and the four bedroom lodge sites being 4 000m². As such the developers have ensured that the sites are generous in extent, maximising lodge privacy.

From a demand perspective, the golf lodges are being targeted at both private and institutional investors. The corporate lodges reflect a relatively unique offering that is being taken to the market. These lodges constitute a complete 'out office, in-house' conference facility, as well as an ideal client and management entertainment resource. Each corporate lodge is located on an 18 000m² (close to 2ha) site, and comprises a centralised living / entertainment and recreational / conference / boma area, with 14 outlying en suite double rooms. Again concept designs are reflected on the website, although it must be emphasized that customised solutions will be generated with institutional investors.

The Rental Pool System

One of the primary reasons for taking the golf and corporate lodge option to the market is to support financial justification of investment into Elements Private Golf Reserve. The reality is that the vast majority of leisure / holiday properties on golf estates in South Africa are significantly under-utilised, thus compromising the financial viability from an investor perspective.

For this reason the Elements Private Golf Reserve will operate a commercial rental pool system out of the golf lodges. Golf lodge owners are not obliged to be part of this rental pool, however, they are afforded the option of participating in the system when not utilising their lodges. More detail on the dynamics of the rental pool system is available on the website, and through Legacy Hotels Group.

Similarly on the corporate lodges, the Elements Private Golf Reserve Hotel will operate a commercial conference facility rental system of behalf of institutional investors.

The Elements Private Golf Reserve Hotel

The hotel component comprises a maximum of 30 en suite double rooms. The upmarket, 'boutique' hotel offering will compliment the private and exclusive mood of Elements Private Golf Reserve.

As part of the lodge and hotel development other amenities include central food and beverage facilities and conference facilities. These facilities are integral components in supporting the golf lodge rental pool, as well as the hotel suites. Commencement date for the starting of the hotel suites is still to be determined.

The Development Team

The team encompasses an experienced blend of property development, hotel development and operations, golf estate development and sales, and investment / financial product expertise. The team also has established relationships with well branded and reputable operators that strive to ensure that Elements Private Golf Reserve will be a superior quality product.