Three-Star Hotel 28-Keys, Ocean-View Hotel, Scope to Upgrade and Add Rooms, North of Durban, South Africa

Location: KwaZulu-Natal’s North Coast, 15 mins drive (12km) from King Shaka International Airport, North of Durban, South Africa

Name: La Mercy Beach Hotel

Guide Price: ZAR 27m – Around £1.3m

No. of Keys: 28…scope to add further rooms, subject to planning consent

The Opportunity: This three-star hotel is located on prime Indian Ocean beach-front, and is ripe for a refurb to realise it’s full potential as a deluxe boutique hotel. The hotel has good-sized conference and events space and can cater for upto 200/300 people in three different rooms, as well as a full restaurant and 2 bars. The hotel is two hours away from the Umfolozi and Hluhluwe game parks. 

15 minutes away (14km) is the Mt. Edgecombe golf estate and the Zimbali resort development.  The hotel size is 2,579 sqm.

Mt. Edgecombe Golf Estate and Country Club

La Mercy is situated between Ballito and Umhlanga. It forms part of the greater northern corridor, and is accessed via the M4, which is easily accessible to the N2 Freeway. The township forms an integral part of the expanding northern corridor with large scale developments underway in Umdloti to the south and Ballito and Zimbali to the North.

It is predominantly a middle to high income residential area, which is supported both
by the Ballito and Umhlanga CBD’s.

Most amenities are located within Ballito, Umdloti and Umhlanga, and are within a short driving
distance. There are shopping centres in close proximity including the Umdloti Shopping Centre, the Gateway Shopping Centre, Ballito Lifestyle Centre, and the Umhlanga Shopping Centre.

Main Picture: The hotel and it’s view over the ocean

Current Owner: Privately-owned since….

Flag and Management: Both free to the new owner

Financials: 2019 data available upon signing LOI/EOI, as well as floorplans

Tenure: Freehold

Agent: Local agent in partnership with THPT

Guide Price: ZAR27m

Price per Room: ZAR964,286 – around £46k

Date Posted: February 2021

THPT Comment: An opportunity to buy this three-star hotel, awaiting a full-refurb, with stunning views of the Indian Ocean to transform the property into a mainstream luxury boutique hotel.

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MISREPRESENTATION ACT 1967. This information is provided as a general guide and is not intended to be constructed as a statement of fact upon which interested parties can rely. All interested parties should make their enquiries by inspection or otherwise. Neither The Hotel Property Team (trading name of Impetus Marketing 2006 Ltd) nor any person in our employment has the authority to make, give or imply any representation or warranty whatsoever relating to the premises referred to in these particulars. These details do not constitute any offer, contract or any part thereof and all negotiations relating to the premises should be conducted through THPT.