KnightFrank.com FOR SALE EXCEPTIONAL INVESTMENT OPPORTUNITY Sentrim Elementaita Lodge, Nakuru County

Summary

• An excellent hospitality property situated directly on the shores of Lake Elementaita in Nakuru County approximately 2 kilometres off and due south of the Nakuru-Nairobi Highway. • The property is well known as Sentrim Elementaita Lodge, a modern and luxurious facility located on the eastern shores of Lake Elementaita, about two and a half hours’ drive north west from Nairobi and 30 minutes south of Nakuru. • A substantial lodge comprising 84 furnished guest rooms consisting of 42 single storey cottages, 16 double storey cottages, 18 conference facility rooms, 2 directors’ rooms, 4 family rooms and 2 double storey family rooms with a total built up area of about 79,982 square feet. • Completed in 2015, the lodge provides a blend of modern facilities designed in an authentic traditional style in a stunning location. • The property is developed on a freehold title totalling to approximately 14.03 acres. • Water to the property is supplied by both mains and onsite borehole, power is via mains supplemented by an additional 145 KVA backup generator and solar whilst drainage is to septic tanks. • Sale by informal tender subject to bid terms and conditions to be confirmed. • Viewing strictly by appointment. KnightFrank.com

Location

Lake Elementaita is a fresh water lake located within the Great Rift Valley 120 Kilometres northwest of Nairobi between Lake Naivasha and Lake Nakuru. The area surrounding is predominantly agricultural and conservation uses with a mix of residential users in nearby township such as Gilgil. The last two decades have seen substantial rise of tourism related activities around the lake which host both local and international guests as there is increasing demand for such facilities as people look to escape the cities. Some of the notable establishments include Serena, Jacaranda, Oasis Eco Camp and Lake Elementaita Lodge and the subject property which is the newest and the most modern amongst the competition.

The Lake Elementaita area is a very popular destination for holiday makers specifically local based in search of a tranquil place to spend their holiday and short weekend stays. Some of the recreational activities include birdwatching, game watching, lake trips, camping and other outdoor pursuits. Other attractions in the area include Soysambu conservancy which hosts 12,000 animals, Kekopey hot springs and Lake Nakuru National Park. Corporate clients have also increased their team building activities in addition to conferencing in these areas further boosting demand for bed nights plus recreational conferencing facilities.

Situation

The property lies approximately 2 kilometres off and due south west of the Nakuru-Nairobi Highway on the eastern shore of Lake Elementaita in Nakuru County and about 3 kilometres due north of Gilgil town. The close proximity to the highway enhances accessibility to the property by tourists and corporate clients from Nairobi and Nakuru. KnightFrank.com KnightFrank.com

Description

Sentrim Elementaita Lodge is a modern and luxurious tourism and conference facility located on the shores of Lake Elementaita in Nakuru County. The property is the newest in the Sentrim Portfolio. The construction was completed in 2015 and the property provides 84 guest rooms comprising of 42 single storey cottages, 16 double storey cottages, 18 conference block rooms, 2 directors rooms, 4 family rooms and 2 double storey family rooms laid out in two wings (eastern and western). The cottages within the lodge are inspired by the shape of a traditional African hut while offering modern fixtures and fittings that guests would require of a modern hospitality establishment. The conference halls make the property ideal for conferences and retreats across the country and has been a hugely successful income generator.

This is a substantial lodge and other developments within the property include the administration block, bar lounge, main kitchen and dining, laundry block, swimming pool and jacuzzi with a pool bar, changing rooms and massage rooms, gym block, workshop, staff canteen, staff and driver’s quarters, an effluent treatment plant and separate grounds for hosting outdoor events. The total built up area for the property is approximately 79,982 square feet.

The property is served with mains water as well as a borehole to supplement regular water supply. The total water storage capacity is approximately 33,000 litres in total and comprises of both PVC tanks and an overhead water tower from which water flows to all other sections of the property through gravitational pull. Mains power is connected to the property and is supplemented by an additional 145 KVA generator as well as solar power. Foul drainage is to a septic tanks. In summary therefore the property is well serviced.

Investment Considerations

The key investment characteristics that highlight the capital value of Sentrim Elementaita are; • Strong income stream - the lodge has been operational for only 3 years and the average revenue per annum for the last 3 years is KES 151,102,532 and the average Gross Profit per annum over the last 3 years is KES 68,674,214. The lodge has good conference facilities which hosts corporate clients across the country and this has been a significant boost to the lodge’s income. There is a considerable scope to expand on this area and increase revenue. • Good occupancy levels - in the last 1 year the lodge has enjoyed high occupancy rates at certain months of up to 73%. • Modern substantial lodge in an excellent location with improving occupancy.

The following additional information is available on request:-

• Audited Accounts for the last 3 years • Management Accounts for the last 3 years • Copies of Title • Knight Frank Valuation Report KnightFrank.com KnightFrank.com

Tenure

The property is held on one freehold title. The area and the registered proprietor is as shown below;

Title Number Area (Acres) Registered Proprietor

Gilgil/Gilgil Block 1/12829 14.03 Operation Castle Limited

Total 14.03

Guide price: We have been instructed to seek offers in the region of Kshs 750 Million (Seven Hundred and Fifty Million Kenya Shillings) exclusive of VAT and subject to contract for the corporate vehicle which owns the lodge.

For further information, to obtain access to the online data room and viewing arrangements please contact the sole agents;

Contacts

Anthony Havelock [email protected] +254 [20] 423 9000 / +254 727 099 364

Judith Muange [email protected] +254 [20] 423 9000 / +254 732 400 440

Kelvin Otieno [email protected] +254 [20] 423 9000 / +254 731 296 271

Important Notice 1. Particulars: These particulars are not an offer or contract, nor part of one. You should not rely on statements by Knight Frank Kenya Limited in the particulars or by word of mouth or in writing (“information”) as being factually accurate about the property, its condition or its value. Neither Knight Frank Kenya Limited nor any joint agent has any authority to make any representations about the property, and accordingly any information given is entirely without responsibility on the part of the agents, seller(s) or lesson(s). 2. Photos etc: The photographs show only certain parts of the property as they appeared at the time they were taken. Areas, measurements and distances given are approximate only. 3. Regulations etc: Any reference to alterations to, or use of, any part of the property does not mean that any necessary planning, building regulations or other consent has been obtained. A buyer or lessee must find out by inspection or in other ways that these matters have been properly dealt with and that all information is correct. 4. Neither Knight Frank Kenya Limited nor the vendor of the property accepts responsibility fo any error these particulars may contain however caused. Any intending purchaser must therefore satisfy himself by inspection or otherwise as to the correctness. 5. VAT: All terms quoted are exclusive of VAT. 6. Terms and conditions for the tender apply. 7. September 2018.